South Korea's Hanwha Ocean to open new office in Canada

South Korean shipbuilder Hanwha Ocean has confirmed its plans to establish a new office in Canada in line with its participation in the tender for the Royal Canadian Navy's patrol submarine procurement (PSP) project.

The company also intends to put up submarine maintenance facilities in Canada and recruit local personnel.

Hanwha Ocean's unsolicited proposal for the PSP project was jointly developed with HD Hyundai Heavy Industries, South Korean media reported earlier this year.

The partners intend to deliver four newbuild submarines to Canada within the next 10 years for an estimated total cost of over US$20 billion.

Through the PSP project, Canada will acquire a larger, modernised submarine fleet to enable the Royal Canadian Navy to covertly detect and deter maritime threats, control maritime approaches, project power and striking capability further from Canada's shores, and project a persistent deterrent on all three of the country's coasts.

The Canadian Department of National Defence had earlier said that the procurement of up to 12 submarines is necessary to ensure the defence of the three coasts.