And so, at the beginning of the New Year, January 1st 1836, the Great Russian Empire gave their province of Armenia, as well as the territory of Agdam to the newly created Armenian state.
The Armenians quickly realized that it was of the utmost importance to maintain very close relations with Russia, the second most powerful nation in the world, despite the fact that the ultimate goal of the Armenian King Samuel I “Hayasdanhayrig” was to add the Russian provinces of Circassia, Azerbaijan and Georgia. Thus in July of the same year Samuel both broke the defensive alliance with Russia on the first and had Russia sign a full alliance on the twenty third.
Samuel, aware of the most wonderful new steam contraptions being built in Prussia and Britain, quickly realized the importance of such a system, so, in 1836 he set up a steel factory in Armenia, a Cement factory in Armenian Azerbaijan, and by late 1838 Armenia was the first nation to have railroads across their entire nation. All of this, however, required taxes. Luckily, however, the enigmatic Bey faction was a firm believer in State Capitalism, thus even during the very first months of the year Armenia had a steady income.
Samuel also realized the dire importance for an army, in case of either Iranian or Turkish aggression. By 1837, 10% of the Armenian population (30,000) where active in the infantry, as well as another 5 divisions in reserve.
On February 19th, 1838, Egypt claimed the heathen title of Caliph, and within the day the Ottoman Sultan, Mahmud II, declared war on Egypt. Realizing that this would cause great economic turbulence in a vital region for many precious items, the west responded, mostly be disavowing defensive treaties (France did not declare war on the Ottomans, the UK did not respond), or siding with the Ottomans (Prussia, Austria). However, this did very little to help Mahmud, as within a few months Egypt occupied half of Mesopatamia and was advancing into Karaman-Adana. This was only enforced when, on March 2nd, France decided to align with Egypt.
On August 4th, 1838, one of the most important events in Armenian, and possibly world history: Russia declares war on the Ottoman Empire, and asks Armenia for help. The strategy was simple-Russian divisions move into Bulgaria, Wallachia, Moldova and Trapzon, dispite a major war with Austria due to their allegiance with the Ottomans, while Armenian forces move thru Diyarkadr, Karaman and other parts of Turkish Armenia.
The first few months went very well for the Russo-Armenian alliance. By the time the Armenian reserves where ready, Armenia held most of Kars. The reserves doubled the size of the army, and within the end of 1839 Armenia was ready for peace, having taken, along with Egypt, most of Anatolia and Mesopatamia. However, Russian help continued to dwindle, as the Russians pushed further towards Vienna.