``There has been no cooperation between Russia and India in creating missile systems for New Delhi,'' a foreign ministry spokesman said.

The Russian denial came after White House spokesman Mike McCurry said that Washington was watching the situation carefully and raising US concerns to Moscow out of fear that such a missile could destablise South Asia.

The New York Times yesterday said that the missile, not yet tested, has a range of nearly 320 km and is meant to be launched from submerged submarines. The missile, which can strike deep into Pakistan, is named Sagarika, it said.

Yevgeny Ananiyev, director-general of Russia's state-owned Rosvooruzheniye Company, which controls arms exports, also denied US press reports about Moscow'sassistance to New Delhi in developing Sagarika, the naval version of Prithvi missile.

``We have no access to India's missile programme, it is closed for us,'' Ananiyev said, responding to a question at a news conference here yesterday. He also said that the Indo-Russian defence co-operation did not in anyway violate the Missile Technology Control Regime (MTCR). ``In some way or the other, Rosvooruzheniye is involved in all projects of military-technical co-operation with India, and I have not come across any uch fact,'' the chief Russian arms exporter opined.

Ananiyev said that Russia is firm on the policy of not supplying offensive weapons capable of destablising the regional balance in the Indian subcontinent. Ananiyev believes that these reports could have been disseminated ``by some quarters -- on the backdrop of recent tension between India and its traditional military rival in the region -- to express their unhappiness over Russia's defence co-operation with the Indian country.''