Gloucester-based Gastops sees major opportunity in Canada's submarine procurement contract

Gastops, a Gloucester-based defence technology firm, has signed an agreement with German shipbuilder ThyssenKrupp Marine Systems (TKMS) that positions it to play a major role in Canada's multibillion-dollar submarine procurement contract.

Prime Minister Mark Carney announced last week that TKMS is Canada's preferred choice to build 12 submarines to replace the Royal Canadian Navy's aging Victoria-class fleet. The deal is expected to be worth tens of billions of dollars over the life of the vessels, with the federal government now entering into negotiations with TKMS to sign a contract — a process that will likely take several months.

Gastops will establish an automation system in-service support centre for the submarines. The company, which has traditionally specialized in diagnostic tools for commercial and military aircraft, will work with TKMS to build a land-based "digital twin" that mimics the operational systems in the actual Type 212CD submarines. This will allow engineers to test components such as steering, diving and autopilot systems and troubleshoot problems.

"It's not every day a procurement of this size happens," Gastops president and CEO Shaun Horning said. "This is a generational opportunity for Canadian business."

TKMS has pledged to deliver the first submarines by 2036. While much of the work will take place on Canada's east and west coasts, companies in the National Capital Region are positioned to play a major role in construction.

The company now has about 210 employees at offices in Ottawa and Dartmouth, Nova Scotia. Horning said that number will increase as work on the support centre ramps up. "This isn't a three-year project," he explained. "We're talking decades of support that's required. It's going to create jobs for a long period of time. For business, having that stability of a long-term program allows you to invest not only in the program, but in other things."