China Eastern Airlines and British jet engine-maker Rolls-Royce inked a 1.2 billion U.S. dollar deal Tuesday.

Chinese Premier Wen Jiabao and visiting British Prime Minister David Cameron witnessed the signing of the contract.

According to the agreement, Rolls-Royce will sell China Eastern Airlines engines for 16 Airbus-330-200 jets.

It also agreed to provide oil consumption-minimization systems to China Eastern.

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