One of Vladimir Putin’s closest allies and a former colleague from the KGB is set to head Norilsk Nickel, the world’s biggest nickel miner, as the Russian government moves in on plans to create a Russian metals and mining group on a par with BHP Billiton.

Vladimir Strzhalkovsky, who heads Russia’s state tourism committee and served 11 years in the KGB in Leningrad, said on Tuesday he was accepting a proposal by Vladimir Potanin, Norilsk’s largest shareholder, to stand as candidate for chief executive at the company’s next board meeting.