Chinese and German companies have suspended their contacts on the cooperative project concerning MOX,a fuel for nuclear power plants, Foreign Ministry spokesman Kong Quan said Tuesday.

In response to a question on Sino-German MOX cooperative project, the spokesman said the Chinese company had had some initial contacts with the German firm for purchasing the equipment used to make MOX, but they had suspend the contacts afterwards.

Still, the two sides can have further contacts if they consider the cooperative project mutually beneficial and want to continue the project, but the contacts must be fair and transparent, added Kong.

The fuels used for nuclear power stations are called spent fuels, which are made up of unexhausted uranium and plutonium. Coming out of the two radioactive metallic elements, the mixed-oxide MOX will be again applied in nuclear power stations. The theory behind further processing is to improve the utilization ratio of the uranium resource and thus increase the economic benefits of a nuclear power station.

Iraqi sovereignty inseparable

The sovereignty of Iraq is of course inseparable after the handover of its power which is scheduled for June 30, said the spokesman.

"The Iraqi people should run their own country after the handover of its power so as to let the United Nations play its due role and create conditions for a lasting, secure, stable and peaceful Iraq in future," said Kong at a regular press conference.

However, the situation in Iraq is turning increasingly more turbulent instead of moving toward a good direction, Kong acknowledged. "China is very concerned about that."

To settle the Iraqi issue, China holds that the voices of the Iraqi people from various strata should be heard on such major issues as transition and election, said Kong, adding that primary consensus can be reached according to their voices while the Iraqi sovereignty can be resumed based on the consensus.

China expresses respect to Cypriots' choice on reunification referenda

Kong Quan said that China respects the choice of the Cypriots and will continue to make its efforts with the international community for a proper solution to the Cyprus issue.

On last Saturday, most Greek Cypriots rejected UN Secretary General Kofi Annan's plan on Cyprus reunification while some 65 percent of Turkish Cypriots voted "yes" for the peace deal in referenda.

Kong said China has always maintained that the independent sovereignty and territory integrity of Cyprus should be respected and relevant UN resolutions on Cyprus should also be implemented.

The Chinese government sincerely hopes that the Cyprus issue will be resolved with a comprehensive, just and reasonable solution through continuos dialogue and patient negotiations between the Greek Cypriots and Turkish Cypriots, Kong said.

He said China believes that an early solution complies with the interests of the Cypriots will also benefit the regional peace, stability and development.

As a permanent member of the UN Security Council, China has expressed favorable remarks to the efforts of UN Secretary General Kofi Annan as well as relevant parties on solving the Cyprus issue, Kong said.

"China will continue to join with the international community and exert its efforts for a proper solution to the Cyprus issue," he said.