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Canada Awards C$66M Deal to MDA Space for Frigate-Based Surveillance Drones

This award marks Canada’s first ship-based Class-2 UAS deployment, reinforcing the domestic defence industrial base.

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The RCN’s Halifax-class frigate, HMCS Fredericton, transits Istanbul Strait. Credit: Archaeonavall/Shutterstock.com.
CH-148 c RCAF

Overview

  • The contracts include C$39 million for two VTOL UAS and a C$27 million in-service support deal over five years, with options to procure up to four additional systems.
  • Under the ISTAR-UAS programme, Halifax-class frigates will field all-weather drones with a 50 nm operational radius and multi-function electro-optic/infrared and maritime radar sensors.
  • Initial operational capability is slated for 2027 and full operational capability by 2032, with delivery and integration already underway.
  • The procurement aligns with Canada’s ‘Our North, Strong and Free’ defence policy and advances Ottawa’s objectives to meet NATO spending targets while reducing dependence on U.S. suppliers.
  • Analysts estimate the C$66 million investment will add about C$18 million annually to Canada’s GDP and sustain roughly 145 jobs per year in the aerospace and defence sectors.