Advancing Sovereign Capability Through Clean Energy: Canada–Korea Partnership Targets Defence and Arctic Needs
Press Release + Noah Note
April 28, 2026, Montreal, Quebec
As Canada strengthens its defence industrial base and Arctic sovereignty posture, a new cross-border collaboration is exploring the role of next-generation energy systems in supporting crucial national missions.
Hanwha Power and Hanwha Ocean have entered into a Memorandum of Understanding with Ottawa-based Boreal Energy Systems to evaluate the application of Micro Modular Reactor technology across defence infrastructure and industrial applications in Canada.
The partnership brings together Hanwha Power’s advanced energy systems capabilities, including supercritical carbon dioxide (sCO₂) power cycle technology, alongside Canadian nuclear innovation, to assess how resilient, low-carbon power solutions can support Canada’s evolving operational requirements. Hanwha Ocean will explore the potential application of these capabilities across maritime sectors, including offshore platforms, industrial marine assets, and large-scale assets such as Floating Production Storage and Offloading (FPSO) units.
Beyond defence use cases, the parties intend to evaluate pathways for scaling Micro Modular Reactor applications to support Canada’s mining and industrial sectors, leveraging Hanwha Power’s expertise in energy systems and advanced power technologies. This includes the potential adaptation of existing capabilities for industrial-scale deployment and the development of joint technical and commercial proposals targeting remote, off-grid energy demand, as well as potential future deployment across maritime and offshore environments.
“Canada’s ability to operate effectively in the Arctic and other remote regions will increasingly depend on resilient, sovereign energy solutions,” said Glenn Copeland, CEO of Hanwha Defence Canada. “This collaboration brings together Canadian innovation and global industrial expertise to explore how next-generation energy systems can support defence capability while contributing to long-term industrial development in Canada.”
This initiative aligns closely with Canada’s Defence Industrial Strategy, which emphasizes sovereign capability, industrial participation, and long-term economic value creation. By exploring applications that span defence, energy, and industrial sectors, the collaboration reflects a shift from transactional procurement toward capability-building partnerships rooted in innovation and domestic integration.
From a Canadian industry perspective, the partnership also highlights how defence investment can translate into domestic industrial growth and innovation.
“This partnership with Hanwha truly leverages Canada’s Defence Industrial Strategy and Industrial Technological Benefits (ITB) policy,” said Albert Heller, Founder, CEO, and Chief Technology Officer of Boreal Energy Systems. “Through Canada’s defence investment commitments, Boreal Energy Systems will seek additional financing and grow a domestic industrial base for military and dual-use civilian technology. Boreal Energy Systems is a prime example of the Government of Canada’s defence strategy in action.”
Collectively, these efforts underscore a shift toward integrated, capability-driven partnerships that connect defence, energy, and industrial development – positioning advanced clean energy solutions as a strategic enabler of Canada’s sovereign operational capability and long-term economic resilience.
About the KSS-III Canadian Patrol Submarine (www.KSS-III.ca)
Hanwha Ocean’s KSS-III is a proven, in-service, in-active production submarine that fully meets and exceeds all requirements for the Canadian Patrol Submarine Project (CPSP). These include superior underwater surveillance capability and deployability in the Arctic with extended range and endurance that will provide stealth, persistence and lethality to ensure that Canada can detect, track, deter and, if necessary, defeat adversaries in all 3 of its oceans.
Equipped with Lithium-ion batteries and an Air Independent Propulsion (AIP) system, the KSS-III offers the longest submerged endurance among any conventional submarine – exceeding 7,000 nautical miles. It is outfitted with both a state-of-the-art sonar system and acoustic tiles, offering outstanding target detection capability and advanced stealth performance. The platform is fully optimized for Anti-Submarine Warfare, Anti-Surface Warfare, Intelligence, Surveillance and Reconnaissance (ISR), Minelaying, and Special Operations Forces (SOF) support.
Importantly, Hanwha Ocean has the fastest delivery schedule, able to deliver four KSS-III submarines to fully replace Canada’s current Victoria Class fleet before 2035 if on contract in 2026. Earlier retirement of the Victoria Class fleet will result in estimated savings of approximately $1 Billion on maintenance and support costs. The additional 8 submarines will be delivered at a rate of one per year, meaning the entire fleet of 12 submarines will be delivered to Canada by 2043. No other option can come anywhere close to this delivery schedule.
About Hanwha Ocean (www.HanwhaOcean.com)
Hanwha Ocean is a leading global shipbuilder with more than four decades of experience in complex naval and commercial shipbuilding programs. Supported by its large-scale, integrated shipyard in Geoje, South Korea that spans 5-square kilometers and has more than 31,000 employees, the company combines proven industrial capacity with operational experience to deliver modern, in-service naval platforms backed by a resilient through-life support model.
Since its establishment in 1973, Hanwha Ocean has delivered more than 1,400 vessels worldwide and has built deep expertise in the design, construction and sustainment of submarines and surface combatants for the Republic of Korea Navy. The company builds approximately 45 commercial and naval ships each year.
Hanwha Group, a Fortune 500 company with more than 100,000 employees and 91 subsidiaries globally, is the Republic of Korea’s leading defence company. Other Hanwha business areas include aerospace and mechatronics, energy and ocean solutions, finance, and retail and services.
Hanwha is committed to establishing a robust and long-term presence in Canada in several strategic areas that will create jobs and economic growth, accelerate Canada’s domestic defence capabilities, and enhance cooperation, partnership and supply chains between Canada and South Korea – a relationship that is becoming increasingly important, and one that supports the objectives of Canada’s Indo-Pacific Strategy.
Hanwha has teaming agreements and MOUs in place with more than 30 Canadian companies.
About Boreal (www.boreal-energy.com)
Boreal will move into its 180,000-square-foot state-of-the-art R&D centre in Kanata, Ontario later this year. The company plans to grow to 75 employees by the end of 2026 and over 200 by the end of 2027, including a diverse workforce of nuclear scientists, engineers, and highly-skill tradespeople such as machinists and welders. Backed by early-stage financing, the core Boreal Energy Systems team combines former high-tech executives with a proven track record of scaling small- and medium-sized enterprises, alongside veteran nuclear executives, scientists, and engineers.
About Hanwha Power (www.HanwhaPower.com/en)
Hanwha Power is a global leader in high-efficiency energy equipment and a pioneer in future energy solutions. The company provides a comprehensive portfolio, including advanced compressors, expanders, and cutting-edge sCO2 power systems, alongside hydrogen and ammonia gas turbine technologies. Following its recent integration with U.S.-based gas turbine specialist PSM, the company rebranded from Hanwha Power Systems to Hanwha Power. This strategic evolution signifies its commitment to delivering integrated, innovative energy solutions and leading the global transition toward a sustainable, carbon-neutral future.
Noah Note: ight now they're just pulling these things to mess with me. Nuclear Powered FPSO. That is where we are now, as well as floating and offshore reactors. I know Pops is just sitting there laughing. This is for you. He's been floating that concept for years.
Boreal offers µMRs in the 1 to 2 MWe range with a focus on industrial operations, data centers, and remote communities. Can't wait to see someone propose something like AMPS from this. Someone on Canadian Naval Review is probably already there. Although, it is a funny question to ask how Canadian industry might contribute to the potential Korean nuclear program. I won't speculate here, however, nuclear definetly seems like an area that the Koreans have taken renewed interst through with CPSP.