Moscow, November 25
A top-level Indian delegation led by Vice-Chief of the Naval Staff Vice Admiral P R Suthan is here to review ongoing naval projects, including trials and delivery of Nerpa nuclear attack submarine to be leased to India next year and the refit of the Admiral Gorshkov aircraft carrier.

Vice Admiral Suthan’s visit is taking place at a time when New Delhi and Moscow are locked in financial wrangling over the refit of Gorshkov which is far behind the delivery schedule.

The Russians are demanding additional $2 billion for the refitting and work on the carrier is almost at a standstill.

The Gorshkov cost escalation demand could include hidden costs for the Nerpa
nuclear submarines as the purchase of both the systems was taken up as a
package deal.

If the deals fall through, Russian Defence Ministry said, it will induct both the vessels into its Navy under the force modernisation programme till 2015 and foot the bill.

The failure of the Gorshkov deal and its larger package including lease of two Akula-II nuclear attack submarines of Project ‘Shchuka B’ would be a major setback to the Indian Navy's strategic plans to project its might in the blue waters and putting in place the nuclear triad of ‘credible deterrence’.

The Navy delegation was also on a fact-finding mission following a recent mishap on board a Nerpa submarine that claimed 20 lives.

Although the Indian Embassy here is tight-lipped about Suthan’s Russia trip, the local media has reported about his visit to Yantar Shipyards in Kaliningrad to inspect the ongoing construction of three additional Project 11356 ‘Krivak IV’ class stealth frigate ordered by the Indian Navy under a $1.6 billion deal. — PTI