Canada's 12 frigates to get refits in Halifax, Victoria

The federal government has awarded contracts worth $900 million to companies in Victoria and Halifax to refit the navy's entire fleet of frigates.

The 12 Halifax-class frigates, considered the workhorses of the navy, were built in the 1990s and are in need of upgraded weapons, sensors and communications equipment.

Defence Minister Peter MacKay announced on Monday that a $549 million contract was awarded to the Irving-owned Halifax Shipyard for seven frigates and another worth $361 million to a shipyard in Victoria for the other five frigates.

Led by J.D. Irving, dockyard workers gave a round of cheers as MacKay made the announcement in Halifax.

"Thank you sir, thank you very much," Irving said.

Ottawa expects the Victoria contract to create as many as 110 local jobs, while helping to maintain 450 more.

At its peak in 2012, the Halifax contract is expected to maintain and create as many as 600 jobs.

The contracts run until 2020. 

In Halifax, the deal was welcome news to the union at the shipyard, though they said a new building program is what is really needed.

Karl Risser, president of Local 1 of the CAW Marine Workers Federation, said the deal to refit the vessels will help keep workers in place until a contract to build is secured.

MacKay promised another announcement on rebuilding Canada's aging and shrinking navy, but did not give a date.