Moscow, August 22 (KCNA) -- Russia plans to set up a state geological prospecting company.

In July Russian President Dmitri Medvedev signed a decree on setting up Rosgeologiya specializing in surveys of continental shelf.

The company, which is of strategic importance, will amalgamate 38 state geological prospecting companies and stock companies.

The Russian government plans to allot 102.6 billion Rbls for exploring for underground resources in the 2012-2014 budget. A great share of the amount is likely to go to the new company.