Authorities have said that India and Russia have signed a contract for delivery of a re-fitted Russian aircraft carrier to the Indian navy in 2012.

The Hindustan Times reported on Friday that the final agreement in the long-negotiated deal put the price of the Admiral Gorshkov, renamed by India the INS Vikramaditya, at $2.35 billion.

Russian Deputy Prime Minister Sergei Ivanov said," A new contract on the aircraft carrier Admiral Gorshkov was signed, the price is agreed upon."

The Times further said that while France, Israel and the United States have been supplying military hardware to India, 60 percent to 70 percent of the country's total defense spending continues to go to Russia, making it the largest supplier of military equipment to India.

The newspaper further said that Indian Prime Minister Manmohan Singh met with visiting Russian Premier Vladimir Putin to discuss cooperation in nuclear energy, space, high-technology, defense, trade and telecommunications.

Singh said at a joint news conference with Putin," I convey to Prime Minister Putin that relations with Russia are a key pillar of our foreign policy and we regard Russia as a trusted and reliable strategic partner." (With Inputs from Agencies)