Russia has agreed to pay €1.37bn ($1.81bn) for two French Mistral Class amphibious assault warships, including joint construction of the vessels.

The first ship will cost €720m and will be produced in France and the second will cost €650m, with Russia contributing a 40% share of the project, according to Agence France Presse.

The third and fourth ships would be fully manufactured in Russia as per the terms of the agreement, but details of when the craft would be built has not been disclosed.

The French Mistral Class ship is capable of carrying up to 16 helicopters, four landing craft, 13 battle tanks and 100 other vehicles.

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The ship, equipped with a 69-bed hospital, can accommodate a force of 450 and has facilities for a full command staff.

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