Beijing, Aug 04, 2004, 2004 (AFP)

A Chinese firm Wednesday signed the first contract to provide components for a second nuclear power station Beijing is building in Pakistan, state media reported.

China First Heavy Industries Co. Ltd. won public bids to supply the pressure vessel for the new reactor which will be built at Chashma, some 270 kilometers (167 miles) south of Islamabad, Xinhua news agency said.

The pressure vessel, where the core of the reactor will be placed, is the key component guaranteeing the security and durability of the nuclear power plant, it said.

The vessel will be built in the northeastern city of Dalian and it is due to be completed in 38 months.

It was the first equipment supply contract signed by China National Nuclear Corporation (CNNC), which is constructing the 300-megawatt plant, it said.

CNNC and Pakistan Atomic Energy Commission in May signed an agreement to build the plant.

The 600-million-dollar C-2 (Chashma-2) project is likely to be completed in six years. A similar capacity plant built in Chashma with Chinese help became operational in 1999.

CNNC deputy general manager Huang Guojun told Xinhua that China's transfer of nuclear technology and its nuclear cooperation with Pakistan were strictly in accordance with international treaties.

The Chashma project had been under the supervision and inspection of the International Atomic Energy Agency, Xinhua said.

Pakistan has said the plant is for civilian use.

China, Pakistan's strongest and oldest ally, is also financing some 200 million dollars of a port project in Gwadar, southwest Pakistan.

Pakistan has relied heavily on China for its defence needs since 1990 when the United States stopped supplying it with military hardware over its nuclear programme.

Pakistan confirmed it had nuclear weapons in May 1998 when it matched tests conducted by India.