Azernews.Az

Azerbaijan and Russia will prolong Gabala radar station lease for two to three years on previous terms, RIA Novosti news agency reported with the reference to a reliable source.

The Gabala radar station located in north-west Azerbaijan was built during the Soviet period as one of the most important elements of the USSR's missile defense system. After Azerbaijan gained independence the radar station became the country's property but Russia continued to use it.
Previously, the Russian defense ministry reported it was holding negotiations with Azerbaijan to extend the lease of the Gabala radar station until 2025.

The term of lease of the Gabala facility will expire in December 2012.

Russia`s Kommersant newspaper reported in February that Azerbaijan is seeking to raise the lease payment to a staggering $300 million from the current $7 million per year.

But the Russian Defense Ministry official, who asked not to be named, said the proposed fee is inadequate, as this amount allows to build a new radar station instead.

Azerbaijani Presidential Administration official Elnur Aslanov said earlier Baku`s proposals on the Gabala facility ``reflect the current political and economic development of the country`` and the cited figure ``corresponds to present-day realities``.

Armenian Prime Minister Tigran Sargsyan said earlier that if Moscow does not reach agreement with Baku on the issue, Armenia is ready to provide a location for Russia to build a new facility on its soil.