Irving Shipbuilding strikes deal to build three River-class destroyers for Canadian Navy

The Government of Canada has awarded an implementation contract to Irving Shipbuilding for the construction of initial three River-class destroyers.

With an initial value of $8 billion (including taxes) intended to fund the first six years of construction, this contract supports the construction and delivery of the initial three ships as well as the development and delivery of necessary training, spares, and maintenance products required to operate and support the ships in service. 

Furthermore, the government established the cost to build and deliver the first three ships at $22.2 billion (excluding taxes). This estimate includes the costs that will be paid to ISI through the implementation contract, as well as costs associated with the delivery of equipment, systems, and ammunition that Canada will be acquiring to bring the first three ships into service. 

This modern fleet of warships will enable the navy to respond to Canada’s defense and security commitments. The destroyers will be able to perform a broad range of missions with the North American Aerospace Defence Command (NORAD), Five Eyes nations, the North Atlantic Treaty Organization (NATO), coalition partners, and other Canadian government departments and agencies.

The program is the largest and most complex shipbuilding initiative in Canada since the Second World War and represents a historic investment into the recapitalization of the navy’s surface fleet. The first three ships will be named HMCS Fraser, Saint-Laurent, and Mackenzie.  As Canada’s next-generation combat ship, the vessels will replace both the Iroquois-class destroyers and the Halifax-class frigates.

This Canadian surface combatant is based on BAE Systems’ Type 26 warship design being built for the Royal Navy and Australian Navy. The ships will have enhanced underwater sensors, radar, and modern weapons.