Today, the Government of Canada announced the award of two contracts to MDA Space to equip the Royal Canadian Navy (RCN)'s Halifax-class ships with up to six state-of-the-art Uncrewed Aircraft Systems (UAS). The initial acquisition contract for two UAS is valued at approximately $39 million (including taxes) and the initial in-service support contract has an estimated value of $27 million (including taxes) for a period of five years and could be extended up to 20 years. These UAS will enhance the RCN's ability to conduct long-range surveillance and targeting operations.
The award of these contracts to MDA Space is important for the continued development of Canada's defence industry. The two new contracts have the potential to contribute $18 million annually to Canada's gross domestic product and create or maintain 145 jobs annually to the Canadian economy over a 20-year period.
This investment, part of the Intelligence, Surveillance, Target Acquisition and Reconnaissance Uncrewed Aircraft Systems (ISTAR-UAS) project, marks the first time the RCN will operate and support a Class-2 UAS. The project will cover acquisition, integration and long-term in-service support. Initial operational capability is anticipated in 2027, with full operational capability expected in 2032.
These new systems will significantly enhance the RCN's ability to detect and monitor potential threats, both at home and abroad. By extending the Navy's situational awareness and operational reach, the advanced technology of the RCN-ISTAR UAS will support Canada's naval missions by providing the RCN with critical expertise in uncrewed systems and intelligence, surveillance and reconnaissance operations, and reinforce Canada's commitment to modern, adaptable, and effective naval defence.
