Spain, Russia to sign energy cooperation agreement

MADRID, March 2 (Reuters) - Spain and Russia are set to sign a broad agreement for energy cooperation, Spanish Prime Minister Jose Luis Rodriguez Zapatero said on Monday.

"Tomorrow our states will sign a broad agreement on energy cooperation ... in developing, exploiting, transporting and selling energy resources, both renewables and traditional," Zapatero said.

Zapatero was speaking to journalists alongside Russian President Dmitry Medvedev on the first day of the leader's state visit to Spain.

Both Medvedev and Russian Prime Minister Vladimir Putin have openly said they wish to promote Russian companies' business interests abroad.

A source from the energy sector said Spanish oil giant Repsol YPF (REP.MC) would be part of the "memorandum of understanding" that will be signed between the two countries on Tuesday.

Repsol owns 10 percent of West Siberian Resources WSIBsdb.ST and has also been eyed by Russian oil major Lukoil LKON.MM, which was reported to be interested in Spanish builder Sacyr's (SVO.MC) 20 percent stake in the Spanish oil major.

On Sunday, Medvedev spoke in positive terms to Spanish media about LUKOIL's proposal to buy a stake in Repsol. [ID:nL122972] (Reporting by Oleg Shchedrov, Clara Vilar and Jonathan Gleave; Writing by Tracy Rucinski; editing by Jim Marshall)