Speaking to reporters, President Dmitry Medvedev said Russia sought a "strategic" energy project with Bolivia, which holds Latin America's second largest gas reserves, until 2030.
"We are talking about Russia providing help to our friends in Bolivia in hydrocarbon production and construction of a gas pipeline network on Bolivian territory," Medvedev told a news conference with President Evo Morales.
Medvedev said energy giant Gazprom, which has signed cooperation documents with Bolivia's state-run oil and gas firm YPFB, "is in effect getting down to practical work" in the Latin American country.
Gazprom, which is increasingly looking to the Latin American markets, and France's Total signed an agreement with Bolivia on the joint exploration and production of gas in the country in mid-September. Experts estimate investment could reach $4.5 billion.
Morales nationalized the country's gas industry in 2006 as part of reforms aimed at redirecting revenues to education, health and social programs.
Medvedev and Morales said in their joint statement after the talks that they had instructed their energy ministries with signing an agreement on energy cooperation in the near future.
Late last year, Medvedev said Russia was ready to take part in a project to build a gas pipeline linking Bolivia and Argentina. The two countries have signed a contract to build a $1.5 billion pipeline to quadruple Bolivian gas supplies to its southern neighbor.
Morales, the first Bolivian leader to visit Moscow, said he looked to Russian investment in the region. He also said the regional nations "welcome Russia's return to Latin America in any form."
Medvedev called the visit "historic" and urged more proactive cooperation with Bolivia and other Latin American nations. The Russian leader toured Latin America in November, and the presidents of Brazil, Argentina, Nicaragua and Cuba visited Russia late last and early this year.
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The clash of Russian and Western interests has given rise to a geopolitical battle. German politicians are trying to leave all doors and windows open for dialogue with Russia. Moscow does acknowledge this, and Germany is probably the only country with which it is ready to discuss European security.