Russia's Baltic Shipyard is to build a 36.96 billion ruble ($1.15 billion) nuclear-powered icebreaker for Atomflot company, the shipbuilder said on Monday.

Atomflot, which operates Russia's commercial icebreaker fleet, announced an open tender in late June for a 60 MW icebreaker. Baltic Shipyard was the sole bidder in the tender.

The icebreaker must be ready for Atomflot by late 2017 and will be delivered to Atomflot's Murmansk base. The icebreaker is expected to be floated out in November 2015, with sea trials due to start in August 2017 and ice trials in November 2017.

The ship is designed for operations in the western Arctic and shallow water areas of the Yenisei River and the Gulf of Ob.