Mumbai, July 09, 2006 (PTI)

The Defence Research and Development Organisation (DRDO) is believed to have shortlisted three aeroengine majors, including France's Snecma Moteurs and Russia's NPO Saturn, for joint development and production of India's indigenous jet engine Kaveri.

Two other aspirants - General Electric and its trans- Atlantic rival Rolls Royce - were understood to have not met certain criteria for the tie-up, leaving Snecma, NPO Saturn and Canadian firm Pratt & Whitney in the race for the defence contract valued between $ 1.2-2.4 billion.

When contacted, GE and Rolls Royce declined to comment on the issue, saying that it was up to DRDO to comment on it.

DRDO sources said they had shortlisted three firms out of five. "Its up to the individual companies to decide whether to participate in this programme," they said.

The ministry of defence is expected to take a final decision on the project soon, the sources added.

The project includes a risk-sharing, joint development and production relationship on the Kaveri or any other engine that can be developed afresh for India's homegrown warplane, Light Combat Aircraft (LCA), Tejas.

Last year, DRDO had invited tenders for global partners with proven record in combat aircraft engine development to help its one-and-half decade-old engine development programme.

Started in 1989, the Gas Turbine Research Establishment (GTRE), a Bangalore-based DRDO lab, is developing Kaveri engine.

GTRE has so far spent Rs 1,300 crore on the engine project. Last year, the Cabinet Committee on Security revised the estimate for Kaveri's future development to Rs 2,800 crore.