Government of Canada awards contract for acquisition of four naval large tugs

News release

April 29, 2019 - Gatineau, Quebec - Public Services and Procurement Canada

The National Shipbuilding Strategy continues to deliver on its commitment to equip the Royal Canadian Navy with the ships needed to serve Canadians, while bringing jobs and prosperity to communities across the country and revitalizing our marine industry.

Today, the Honourable Diane Lebouthillier, Minister of National Revenue and Member of Parliament for Gaspésie–Les Îles-de-la-Madeleine, announced that Public Services and Procurement Canada, on behalf of National Defence, has awarded a contract of $102 million (including taxes) to Ocean Industries Inc., from Isle aux-Coudres, Quebec, for the acquisition of four tugs.

These new tugs will provide towing, firefighting and other critical support services to both the Atlantic and Pacific Maritime Forces. They will replace the Royal Canadian Navy's five civilian-crewed Glen-class large tugs and two Fire-class rescue boats.

This contract will help sustain or create up to 140 jobs for Ocean Industries Inc. and its subcontractors.

Quotes

“The Government of Canada is committed to equipping the women and men of the Royal Canadian Navy with the ships they need to carry out their important work. Today’s announcement is yet another example of how the National Shipbuilding Strategy is supporting jobs and prosperity in communities across Canada, including in Quebec.”

The Honourable Diane Lebouthillier
Minister of National Revenue and Member of Parliament for Gaspésie–Les Îles-de-la-Madeleine

“Providing the women and men of our Canadian Armed Forces with what they need to do the important job we ask of them is one of our government’s top priorities. Large tugs are an essential part of our Royal Canadian Navy fleet, and this contract to build four large tugs here in Canada will grow our economy and create or sustain good, middle-class jobs.”

The Honourable Harjit S. Sajjan
Minister of National Defence

“We’re very pleased to have obtained this contact to complete this project at our shipyard in Isle-aux-Coudres in the Charlevoix region. Though we’ve built a lot of ships, this is the most important contract ever taken on by Ocean Industries Inc. Today, it’s our advanced expertise as a builder and naval tug operator that is recognized by the federal government. We worked hard to present the federal government with a competitive offer, and we’re pleased that our efforts are materializing in these initial significant economic results for our company related to the National Shipbuilding Strategy.”

Jacques Tanguay
President and Chief Executive Officer, Ocean Group

Quick facts

  • Two of these tugs will go to Canadian Forces Base (CFB) Esquimalt in British Columbia. The other two will be delivered to CFB Halifax in Nova Scotia.

  • The first two tugs are scheduled to be delivered in 2021. The last two tugs will be delivered in 2023.

  • Canada has applied a voluntary set-aside for the Aboriginal participation component at 1% of the contract value.

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Contacts

Ashley Michnowski
Director of Communications
Office of the Honourable Carla Qualtrough
819-997-5421

Media Relations
Public Services and Procurement Canada
819-420-5501
media@pwgsc-tpsgc.gc.ca

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