Russian President Dmitry Medvedev and his Armenian counterpart Serzh Sargsyan will discuss the implementation of Russia's investment projects in Armenia, including nuclear cooperation between the countries, during Medvedev's visit to Yerevan.

The Russian president arrived in Armenia on a state visit on Thursday.

"Nuclear energy is one of the most promising spheres [of cooperation]. An intergovernmental agreement on cooperation in the construction of a new generation nuclear power unit in Armenia is being prepared for signing during the visit," the Kremlin said in a statement issued ahead of Medvedev's visit.

Armenia plans to begin building the new nuclear power unit, with a capacity of 1000WT, in 2011. The cost of the project could reach $5 billion. The unit is expected to be operational by 2017, when the unit currently in service will be shut down.

A joint Russian-Armenian enterprise has been created to conduct research to find out if Armenia has any uranium reserves. According to expert estimates, the country could possess between 30,000 and 60,000 metric tons of recoverable uranium.

Russia has invested a total of $2,4 billion in Armenia's economy since 1991, which accounts for about 60 percent of all foreign investment in the country. Energy, banking, telecommunication, metallurgy and construction are the main spheres of Russia's investment.

YEREVAN, August 20 (RIA Novosti)