"Such technology exchanges and JV cooperation will help the Russian company expand its Asian markets and raise the competitiveness of the Chinese company in the field," said Han.

Russia-based miner En+ Group Ltd and the world's largest coal producer, Shenhua Group Corp Ltd, reached an agreement on coal exploration in the Zashulanskoye project near the Russia-China border. The two said they anticipate gaining the approval of authorities within two years.

Chinese, Russian presidents hold talks in Shanghai

49 deals cement partnership

As a coal-rich country, Russia will help China to diversify its resource supply. This cooperation is a major aspect of Shenhua's overseas expansion, which is in line with China's strategic resources policies, said Deng Shun, coal industry analyst with Shanghai-based energy consultancy ICIS-C1 Energy.

It is Shenhua's first coal project in Russia. In addition to cooperating in traditional energy, the two countries also have huge potential for joint work in alternative energy and renewables including solar and wind power, said Xia Yishan, senior research fellow at the China Institute of International Studies.

He said China's advanced technology in solar power plants can benefit Russia.

Evgeniy Konygin, chairman of energy policy and utilization with the Russian Federation League of Industrialists and Entrepreneurs, said the two countries should cooperate on alternative-energy projects, an area where China has many technological advantages.

China's State Nuclear Power Technology Corp has said it plans to cooperate with Rosatom State Atomic Energy Corp for establishing floating nuclear power plants, an area where Russia has high levels of technology and vast experience. Guo Haitao, associate dean of the School of Business Administration at the China University of Petroleum, said it is promising that China and Russia have taken a giant step in energy cooperation. However, they need to establish clearly each side's rights and responsibilities.