Hanwha Ocean and Babcock Canada Sign Teaming Agreement for the Canadian Patrol Submarine Project
Hanwha Ocean, a recognized global leader in submarine design and construction, has signed a Teaming Agreement with Babcock Canada (Babcock), Canada’s leader in submarine support and the Prime Contractor of the Royal Canadian Navy’s (RCN) Victoria Class In-Service Support Contract.
Through this agreement, which follows an MoU and Technical Cooperation Agreement signed between Babcock and Hanwha Ocean in 2021 and 2022 respectively, Babcock becomes the exclusive In-Service Support partner that will support Hanwha Ocean on the Canadian Patrol Submarine Project (CPSP).
The CPSP is one of the largest conventional submarine procurements in modern history and offers a transformational opportunity for Canada. Hanwha Ocean has recently been selected as one of two qualified suppliers by the Government of Canada for the CPSP.
To successfully enter service by 2035 and operate a fleet of up to twelve submarines from coast to coast to coast, significant program investment and commitment will need to be made while the chosen submarine platform is being built. The opportunity to have Canada, the submarine builder, and an experienced Canadian submarine in-service support contractor working together through the build program will ensure Canada is best prepared to sustain its future fleet and deliver operational availability when and where the RCN needs it.
This Teaming Agreement enables both leading marine organizations to combine their respective capabilities in shipbuilding and submarine in-service support to deliver a sovereign Canadian sustainment solution that will support Canada’s future fleet of submarines from build to decommissioning.
Hanwha Ocean brings world-class design, construction, and logistics support capabilities. As a leading global company with extensive expertise and proven experience in shipbuilding and the offshore industry, Hanwha Ocean is unrivalled when it comes to building submarines.
Notably, Hanwha Ocean can deliver the first KSS-III CPS in just six years, followed by additional units at a pace of one per year. Assuming a contract award in 2026, four submarines can be delivered by 2035 – with the first delivered in 2032. This unmatched delivery schedule provides Canada with the fastest path to a new and greatly enhanced submarine capability.
Babcock Canada is a subsidiary of Babcock International Group, an international defence company. In the United Kingdom, Babcock International Group sustains the entirety of the Royal Navy’s submarine fleet. In Canada, Babcock combines the best of Canadian talent and in-country expertise with deep global submarine sustainment knowledge and experience from their work supporting navies of allied countries.
For over 17-years, Babcock has worked side-by-side with its partners and the Government of Canada to lead the only submarine sustainment enterprise in Canada. As a global leader in submarine sustainment and as Canada’s submarine in-service support partner, Babcock delivers program management, maintenance, engineering, and supply chain management support for the RCN’s fleet of Victoria Class submarines.
QUOTES
“This agreement further strengthens our existing relationship with Hanwha Ocean and enables the combination of both organisations’ extensive experience on the Canadian Patrol Submarine Project.”
- Tony March, CEO, Babcock Canada
“Hanwha Ocean's proven submarine construction capability and the fastest delivery schedule, combined with Babcock's established in-country supply chain and deep global sustainment knowledge, will provide the Royal Canadian Navy with the lowest risk and most reliable solution to ensure optimal availability of the submarine fleet."
- VAdm (Ret.) Steve Jeong, Senior Executive Vice President, Head of Naval Ship Global Business, Hanwha Ocean
ABOUT HANWHA OCEAN (www.hanwhaocean.com/en)
Hanwha Ocean’s shipyard in Geoje, South Korea, spanning 5 square kilometres, is one of the largest and most advanced shipbuilding facilities in the world and is where we build the KSS-III submarine. With more than 21,000 employees, Hanwha Ocean specializes in the design and construction of various naval and commercial vessels, including submarines, destroyers, frigates, auxiliary vessels, container ships, and tankers as well as offshore platforms, drilling rigs, Floating Production Storage and Offloading (FPSO) units and Floating Production Units (FPUs).
For more than forty (40) years, Hanwha Ocean has been building and servicing submarines for the Republic of Korea Navy and other navies.
Since 1973, the company has built more than 1,400 vessels, including 114 naval vessels. The company designed and delivered the first KSS-III to the Republic of Korea Navy in 2021, and the second in 2023.
In 2023 alone, Hanwha Ocean constructed 41 naval and commercial vessels.
Hanwha Corporation, with more than 100,000 employees and 91 subsidiaries globally, is the Republic of Korea’s leading defence company. As part of the company’s plan to expand into North America, including the recent acquisition of Philly Shipyard in Pennsylvania, Hanwha is committed to establishing a robust and long-term presence in Canada that will create jobs and boost economic growth, and accelerate the country’s defence capabilities.
ABOUT BABCOCK CANADA (www.babcockcanada.com)
Operating in Canada since 2008, Babcock Canada (Babcock) is a wholly owned subsidiary of Babcock International Group, a global defence, aerospace, and security company. For over 16 years, Babcock has been proud to play a critical role in supporting Canada’s safety and security, delivering engineering and critical support services to defence and civilian customers.
Drawing on decades of global experience, Babcock delivers fully integrated solutions tailored specifically for Canada and its unique environment across the land, marine, and aviation sectors.
In the marine industry, Babcock is proud to be a trusted partner of the Royal Canadian Navy and an undisputed leader in Canada’s submarine sustainment enterprise, leading the in-service support of the Victoria Class submarines throughout the course of the Victoria In-Service Support Contract.
Babcock’s work has generated over $3 billion in GDP impact on the Canadian economy and has maintained a total of 2,472 jobs annually, 55% of which are highly skilled. Babcock is committed to establishing partnerships with local universities, colleges, Indigenous communities, and small and medium-sized businesses to support skills development, training, and innovation.
At Babcock, we are proud to be a trusted partner of the Canadian Armed Forces and Armed Forces of allied nations around the world. Babcock’s mission is guided by the needs of our customers, we ensure their services and assets are equipped to fulfill their customers’ missions wherever, whenever, and however needed.
ABOUT KSS-III CANADIAN PATROL SUBMARINE
(www.KSS-III.ca)
The KSS-III Canadian Patrol Submarine (KSS-III CPS) is South Korea’s latest evolution in conventional submarine technology—indigenously designed and constructed through decades of spiral development of a modern, conventional, ocean-going submarine. Over the last four decades, Hanwha
Ocean has continued to evolve a proven MOTS submarine design culminating with the latest batch of the KSS submarine fleet.
Equipped with Lithium-ion batteries and an Air Independent Propulsion (AIP) system, the KSS-III CPS offers the longest submerged endurance among conventional submarines in service. The platform is fully optimized for Anti-Submarine Warfare, Anti-Surface Warfare, Intelligence, Surveillance and Reconnaissance (ISR), Minelaying, and Special Operations Forces (SOF) support.
KSS-III is not an export-only model—it is the same class of submarine actively operated by the Republic of Korea Navy in real-world conditions. This ensures Canada will benefit from a proven platform, backed by an established supply chain and validated operational and maintenance data throughout the 30+ years of in-service support (ISS).
The KSS-III is the backbone of the ROK Navy submarine force. Acquisition of the KSS-III would allow Canada to be a member of the international KSS-III User Group which consists of a growing number of nations.