  The accreting millisecond pulsar XTE J1807-294 was observed by XMM-Newton on
March 22, 2003 after its discovery on February 21, 2003 by RXTE. The source was
detected in its bright phase with an observed average count rate of 33.3 cts/s
in the EPIC-pn camera in the 0.5-10 keV energy band (3.7 mCrab). Using the
earlier established best-fit orbital period of 40.0741+/-0.0005 minutes from
RXTE observations and considering a circular binary orbit as first
approximation, we derived a value of 4.8+/-0.1 lt-ms for the projected orbital
radius of the binary system and an epoch of the orbital phase of MJD
52720.67415(16). The barycentric mean spin period of the pulsar was derived as
5.2459427+/-0.0000004 ms. The pulsar's spin-pulse profile showed a prominent
(1.5 ms FWHM) pulse, with energy and orbital phase dependence in the amplitude
and shape. The measured pulsed fraction in four energy bands was found to be
3.1+/-0.2 % (0.5-3.0 keV), 5.4+/-0.4 % (3.0-6.0 keV), 5.1+/-0.7 % (6.0-10.0
keV) and 3.7+/-0.2 % (0.5-10.0 keV), respectively. Studies of spin-profiles
with orbital phase and energy showed significant increase in its pulsed
fraction during the second observed orbit of the neutron star, gradually
declining in the subsequent two orbits, which was associated with sudden but
marginal increase in mass accretion. From our investigations of orbital
parameters and estimation of other properties of this compact binary system, we
conclude that XTE J1807-294 is very likely a candidate for a millisecond radio
pulsar.
