Babcock Canada has entered into an agreement with Hyundai Heavy Industries (HHI) to develop Canada’s next-generation patrol submarine.
The deal was signed during the International Maritime and Defence Exhibition in South Korea on Wednesday.
As part of the agreement, the two companies will share their respective capabilities in shipbuilding and submarine sustainment.
The South Korean firm reportedly has excellent submarine construction experience, while Babcock is known for providing in-service support for Canada, Australia, and the UK’s underwater vehicles.
HHI chief executive Young-seuk Han stated that the collaboration will produce an “optimal submarine” best suited for the Canadian Patrol Submarine Project.
He further revealed that the vessel will be equipped with the latest technologies in both Seoul and Ottawa.
Canadian Patrol Submarine Project
Earlier this year, the Ottawa Citizen reported that the Royal Canadian Navy is pressing the government to support a program to develop 12 new submarines.
The vehicles will replace the country’s aging fleet of Victoria-class submarines.
Sources estimate the cost of the new fleet to be at least 60 billion Canadian dollars ($45 billion).
However, the concern is that Canadian shipbuilding projects tend to go over budget.
In 2022, the Royal Canadian Navy wanted to build a fleet of 15 new frigates for 14 billion Canadian dollars ($10.4 billion), but the total cost reportedly reached 80 billion Canadian dollars ($60 billion).