News
June 11, 2026

PCL Construction, Hanwha Ocean Advance Canadian Submarine Infrastructure Initiative

Construction Owners Editorial Team

Highlights

  • PCL Construction and Hanwha Ocean signed a teaming agreement tied to Canada's Canadian Patrol Submarine Project.
  • The partnership focuses on developing submarine maintenance, repair and overhaul infrastructure.
  • Proposed facilities are planned for Esquimalt, British Columbia, and Halifax, Nova Scotia.
  • The program is expected to support tens of thousands of direct and indirect jobs.
  • Canadian contractors, suppliers and small businesses are expected to participate throughout the project lifecycle.

Lead Paragraph

Major defense infrastructure investments continue to create long-term opportunities for construction firms, suppliers and skilled trades across Canada. A new agreement between PCL Construction and Hanwha Ocean positions the companies to support future submarine maintenance infrastructure projects that could generate substantial construction activity on both coasts.

Key Development

PCL Construction and South Korean shipbuilder Hanwha Ocean have formalized a teaming agreement supporting Canada's Canadian Patrol Submarine Project. The agreement expands on a memorandum of understanding established in 2025 and focuses on the potential development of submarine maintenance, repair and overhaul facilities serving Canada's future submarine fleet.

The initiative includes plans for infrastructure at Canadian naval bases in Esquimalt, British Columbia, and Halifax, Nova Scotia. The facilities would support long-term submarine sustainment operations while creating construction, engineering, manufacturing and specialized trade opportunities.

PCL is expected to provide construction expertise, project delivery capabilities and access to its national network of subcontractors and suppliers. Hanwha Ocean contributes experience in submarine design, shipbuilding and sustainment programs.

According to project information, Canada has allocated a significant portion of the Canadian Patrol Submarine Project budget toward maintenance, operational and training infrastructure at both naval bases.

Business Implications

The agreement expands PCL's presence in Canada's defense infrastructure market and could generate substantial construction opportunities tied to facility development, upgrades and long-term support operations.

The program is also expected to create opportunities for Canadian subcontractors, consultants, manufacturers and suppliers. Small and medium-sized businesses, including Indigenous enterprises, may benefit from procurement and supply chain participation throughout planning, construction and operational phases.

For construction firms, the initiative represents a potential source of multi-year project activity supported by federal defense investment and long-term infrastructure requirements.

Industry Context

Governments across North America continue to increase investment in military readiness, asset modernization and critical infrastructure. These programs frequently require specialized facilities capable of supporting advanced equipment and long-term maintenance operations.

Submarine infrastructure projects are among the most technically complex defense construction assignments, requiring specialized engineering, marine construction expertise, security considerations and highly coordinated supply chains. As countries modernize naval fleets, demand for maintenance and operational infrastructure is creating new opportunities for contractors with experience delivering large-scale government and defense projects.

What This Means for Construction Owners

For public-sector owners and agencies managing major infrastructure programs, the partnership demonstrates how large projects are increasingly being delivered through collaborations that combine international technical expertise with domestic construction capacity.

The proposed submarine facilities highlight the importance of early supply chain engagement, workforce planning and long-term asset management strategies. Owners pursuing complex defense, transportation or industrial projects may view this model as an example of how strategic partnerships can help support local economic development while delivering specialized infrastructure requirements.

The scale of the proposed investment also underscores the growing role of construction in supporting national security infrastructure, creating opportunities for owners to leverage established contractor networks, regional suppliers and skilled labor resources throughout project delivery.

Source: PCL Construction.

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