Government announces largest Indigenous loan guarantee in Canadian history to support Darlington New Nuclear Project

From: Department of Finance Canada

News release

June 23, 2026 – Clarington, Ontario - Department of Finance Canada

Economic reconciliation means ensuring Indigenous communities can participate fully in—and benefit directly from—the major projects shaping Canada’s future. Through the Indigenous Loan Guarantee Program (ILGP), the Government of Canada is helping Indigenous Peoples build long-term wealth, create economic opportunities, and secure ownership stakes in projects of national significance.

Today, the Honourable François-Philippe Champagne, Minister of Finance and National Revenue, announced a loan guarantee transaction that will allow seven First Nations in Ontario (the Williams Treaties First Nations) to eventually own a significant minority interest in the Darlington New Nuclear Project. This transaction represents the largest Indigenous loan guarantee ever issued in Canada and one of the largest Indigenous investments in a major infrastructure project in Canadian history.

Half of the guarantee is provided through ILGP, and the other half of the guarantee is supported by the Province of Ontario through its Indigenous Opportunities Financing Program, administered by Building Ontario Fund. Together, the two programs are supporting approximately $715 million in financing for the investment.

The transaction is the first collaboration between the Canada Indigenous Loan Guarantee Corporation (CILGC) and a provincial loan guarantee program. It will support participating First Nations in acquiring a significant ownership stake in one of Canada’s most important energy projects and represents one of the first opportunities for Indigenous Nations to participate in nuclear energy infrastructure at scale. Acquiring an ownership stake in this project will ensure communities benefit directly from the long-term revenues generated by a major electricity generation asset.

In September 2025, the Darlington New Nuclear Project was one of the first nation-building projects referred to the Major Projects Office for consideration. In October 2025, the Government of Canada announced that the Canada Growth Fund had committed up to $2 billion in equity financing for the Darlington New Nuclear Project. Once complete, it will make Canada the first G7 country to have a small modular reactor, driving $500 million annually into Ontario’s nuclear supply chain and sustaining 3,700 jobs annually, including 18,000 during construction.

At its full potential, the project’s four planned new nuclear reactors will provide 1,200 megawatts of clean, reliable electricity—enough to power about 1.2 million homes (more than the number of households in the Greater Toronto Area)—while reducing carbon emissions by an average of up to 2.3 million tonnes annually between 2030 and 2050.

Nuclear power is key to a cleaner, stronger, more sovereign economy. It is time to build on decades of Canadian leadership as a modern nuclear energy superpower, and through our Nuclear Energy Strategy, the Government of Canada is delivering for Canadians today and for generations to come.

The ILGP is a key tool for advancing economic reconciliation by improving access to affordable financing and enabling Indigenous groups to take ownership stakes. Today’s announcement demonstrates how the Program can support meaningful Indigenous participation in large-scale, nationally significant infrastructure projects. This loan guarantee will support long-term community prosperity and self-determination, while strengthening partnerships and investment certainty in Canada’s energy sector.

Quotes

“Ensuring that Indigenous Peoples share in the benefits of major infrastructure and energy projects is essential to building a stronger economy and advancing reconciliation, and to ensure First Nations have greater access to the tools they need to invest, grow, and create lasting prosperity for their communities. Today’s announcement represents one of the largest Indigenous investments in a major infrastructure project in Canadian history, including the largest Indigenous loan guarantee ever issued, and will help create long-term opportunities for the Williams Treaties First Nations”

The Honourable François-Philippe Champagne, Minister of Finance and National Revenue

“This historic loan guarantee represents an unprecedented investment in Indigenous partnership and prosperity. Our government is determined to ensure that First Nations, Inuit, and Métis communities share fully in the benefits of Canada’s growth as owners and decision-makers in major projects. This support reflects that commitment in action, while advancing clean energy and long-term economic opportunity for all Canadians.”

The Honourable Rebecca Alty, Minister of Crown-Indigenous Relations  

“Today’s announcement illustrates a key part of our government’s build agenda: Indigenous partnership and—even more importantly—ownership in major, nation-building projects. Canada Strong for All means building clean energy infrastructure quickly, responsibly, and as a unified Team Canada with First Nations like the Williams Treaties First Nations and all Canadians. This is what being an energy superpower looks like.”

The Honourable Tim Hodgson, Minister of Energy and Natural Resources

“For the first time in Canadian history, First Nations are supporting and investing in made-in-Canada nuclear, as Ontario leads the Western World building the first SMR, a project that will create over 18,000 good-paying jobs, with 80 per cent of investment staying in our province. Ontario is entering a new era of how we build large energy projects in true partnership, with a plan to add $800 billion in economic value to our country’s economy and create 150,000 jobs as we generate reliable power for generations to come. This announcement sustains momentum behind Ontario as we build on-time and on-budget, the envy of the world.”

Stephen Lecce, Ontario's Minister of Energy and Mines

“This investment demonstrates the power of partnership to drive economic opportunity and long-term growth. By bringing together First Nations communities, governments and industry, we are helping to build the infrastructure and investment climate that will support Ontario's prosperity for generations to come.”

Peter Bethlenfalvy, Ontario's Minister of Finance

Quick facts

  • The Canada Indigenous Loan Guarantee Corporation (CILGC) is a subsidiary of the Canada Development Investment Corporation, a federal Crown corporation that manages critical financial transactions for the Government of Canada. CILGC is responsible for managing the ILGP, a $10 billion federal initiative supporting Indigenous equity ownership in major projects across Canada.

  • The ILGP is a key economic reconciliation initiative that supports Indigenous groups in obtaining more favourable borrowing rates, making it more affordable for most Indigenous communities to have a greater share in the economic benefits of major projects.

  • This program directly responds to calls from Indigenous groups to address historical barriers to economic participation and opportunities. It is also aligned with the Government of Canada’s broader objectives of economic reconciliation, fostering Indigenous economic development, and supporting self-determination.

  • The Government of Canada is taking decisive action to attract and enable transformative investments, including through the Canada Growth Fund’s commitment of up to $2 billion in equity financing for the Darlington New Nuclear Project.

  • The Darlington New Nuclear Project has the potential to position Canada as a global leader in the deployment of small modular reactor technology for use across the country and worldwide.

  • During construction and operations, the project is expected to generate and sustain approximately 3,700 jobs annually over 65 years, with peak construction activity supporting up to 18,000 jobs per year.

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Contacts

Media may contact:

John Fragos
Press Secretary
Office of the Minister of Finance and National Revenue
john.fragos@fin.gc.ca

Media Relations 
Department of Finance Canada 
mediare@fin.gc.ca 
613-369-4000

General enquiries

Phone: 1-833-712-2292 
TTY: 613-369-3230 
E-mail: financepublic-financepublique@fin.gc.ca

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2026-06-23