Putin Pumps Over $9B Into Shipbuilding for Nuclear Submarines

Prime minister of Russia, Vladimir Putin, has announced plans for the country to build five nuclear submarines in a massive $280 billion rubles (US$9.28 billion) shipbuilding and maintenance order for the Russian Navy. 

In all, seven contracts were signed by the Defense Ministry and United Shipbuilding at the Sevmash shipyard in Severodvinsk .  Among these contracts were orders for five Yasen and Borei class strategic nuclear submarines.  The agreements will serve as some of the final requirements set by the Defense Ministry in 2011 for the Russia’s military revamp. 

Putin, who is seeking to be elected for his third term next year, was quoted by Reuters saying that he is sure the realization of the unprecedented program in terms of both goals and financial resources will enable his nation to carry out a large scale modernization of the Naval fleet. 

PHOTO: Roll out ceremony of a Yasen class Russian submarine.

He added that all of these vessels will be built by Russian companies and that the Russian shipbuilding industry must be prepared for serial production of advanced hardware and weapons that are completely compliant with standards and tasks that the Navy must fulfill.

The Moscow Times said that the submarines are to be built at a Sevmash shipyard atop of an Orthodox monastery.  The precise value of each contract has not been disclosed, however it has been estimated that one Yasen submarine costs around US$1.3 billion.

Since 1993, the Borei and Yasen nuclear submarine programs in Russia have been strangled by delays and controversies with late delivery times, questionable technologies, and a sharp drop in military spending in the ‘90s. 

The nuclear submarine contracts are only one installment of the US$653 billion modernization plan to be completed by 2020.