The Yuri Dolgoruky will be the first model of the 935 Borei category, which is due to replace Russia's current fleet of Typhoon-category subs.

Construction work on the new submarine began in 1996 but was suspended because of financial and technical problems, particularly linked to the submarine's nuclear missile cargo.

"The first model will be completed in 2006, before the start of mass production," Ivanov said during a visit to the headquarters of Russia's Northern Fleet in the northern port of Murmansk.

He did not specify to what extent the new 935 Borei submarines would replace the current fleet of 13 strategic nuclear submarines, which carry a total of 216 ballistic nuclear missiles.

"The series will be sufficient. Not as large as during the Soviet era because we do not have the same needs, and because state finances do not permit it," he said.

Missile testing for the Yuri Dolgoruky is due to start soon, Ivanov said.

A large number of submarines in Russia's cash-strapped navy have fallen into disrepair following the collapse of the Soviet Union in 1991.

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