Russia to 'Restart Supply of S-300 Missile Systems to Iran'

Vladimir Putin is to hold talks with his Iranian counterpart Hassan Rohani over Russia's supply of advanced S-300 missile defence systems to Tehran.

A Kremlin source, cited in Kommersant Daily, claims the Russian leader will propose the renewal of an $800m (£508m) supply agreement between the two countries, when he meets Rohani on the sidelines of an economic summit in Kyrgyzstan.

The deal was signed in 2007 but cancelled in 2010 by Russia's then-president Dmitry Medvedev, following intense pressure from the US and Israel over Iran's nuclear programme.

Putin's anticipated proposal comes after Iranian Defence Minister Hossein Dehqan urged Russia to uphold the agreement, and "not follow the US so much."

During an interview with Iran's state-run television channel, Dehqan asked: "How is it that a former world power and one of the current powers of the world doesn't implement an inked legal international contract? They have signed a contract and they should come and implement it,"

Iran is currently pursuing a $4bn lawsuit against Russia's arms export agency in Geneva, and Moscow's renewal offer is reportedly subject to the withdrawal of this claim.

Putin will also sign a deal to build a second reactor at the Bushehr nuclear plant, according to the Kremlin source, who described the contract is not "particularly profitable from an economic point of view, but was rather political."

The move, if confirmed, is bound to enrage Washington given the volatile situation in the Middle East.