MV Asterix / Project Resolve - Background
Auxiliary Oiler Replenishment (AOR) vessels, such as the JSS, are a critical component of the RCN's routine operations and they directly impact the ability of its fleet to operate as an effective, agile, responsive 'Blue Water' navy. They allow at-sea replenishment (logistic support) capability and permit fleets to autonomously operate for extended periods at home and abroad.
On September 19, 2014, Vice-Admiral Mark Norman, Commander of the RCN, announced the retirement of the Navy's legacy refueling fleet. HMCS Protecteur was an AOR ship based in Esquimalt, British Columbia, and the lead ship of the Protecteur-class. Its sister ship, HMCS Preserver, was based in Halifax, Nova Scotia.
HMCS Protecteur was retired after sustaining serious damage in a fire in February 2014. An extensive assessment concluded that the ship was damaged beyond economical repair. Considering the relatively short service life remaining for HMCS Protecteur, which was scheduled to be retired in 2017, the cost to re-instate the ship to full operational capability did not represent the best use of public funds.
HMCS Preserver was scheduled for retirement in 2016, but engineering surveys done in 2014 identified levels of corrosion that had degraded the structural integrity of the ship below acceptable limits. As a result, the cost to reinstate the ship to full operational capability also did not represent a responsible use of public funds.
These unexpected circumstances created an urgent need for Canada to obtain refueling capacity in the short term to bridge the gap until the second JSS is operational. The Government will sign a contract valued at up to $587 million (exclusive of taxes) with Project Resolve Inc. to ensure the Navy has the assets it needs to do its job.
In order to help bridge the gap until the second JSS is anticipated to be operational in late 2021, an interim AOR capability was required to allow the Halifax-class frigates to continue to operate for extended periods away from home port, without relying on foreign ships or port visits for frequently required support/resupply.
To fulfill this requirement, the Government of Canada, on November 30, 2015, announced it had signed a contract with Project Resolve Inc. to develop an interim AOR capability. This contract entailed the conversion of a commercial container ship (MV Asterix) into an AOR ship. This interim supply ship would provide a more modest capability through supporting military operations in non-threat environments. The interim supply ship will provide capabilities such as at-sea oiler replenishment (NATO STREAM-type liquid and solid replenishment for alongside replenishment on both sides of the ship simultaneously with four stations), aviation support (with a helicopter deck and two hangars designed for Cyclone CH-148, capable of accommodating up to Chinook-size), medical and humanitarian assistance or disaster relief (large medical facilities and emergency accommodation for up to 350 passengers).
As per the contract, Chantier Davie Canada Inc. was to provide at-sea service by fall 2017. The initial period of service delivery will be five years, with options to extend the period of service by up to five additional one-year periods. The exercise of the options would be at Canada's sole discretion.
Conversion work would meet Transport Canada Regulations, and will be done at the Chantier Davie Canada Inc.'s facility in Lévis, Quebec. The project will also see economic benefits across the country. Chantier Davie Canada Inc. estimates 1 100 jobs will be created at Chantier Davie Canada Inc. and 400 at various Canadian subcontractors during the ship conversion period, and at least 85 jobs will be sustained during the service delivery period.
Until interim AOR services can begin to be delivered by Project Resolve, smart scheduling and Mutual Logistics Support Arrangements (MLSAs) with partner nations have and will continue to provide limited relief to the capability gap currently facing the RCN. The RCN has entered into a MLSA with Chile. This initial step in addressing this capability gap was a formal arrangement with the Chilean Navy (Armada de Chile) for the use of one of its replenishment ships, AO-52 Almirante Montt, for a dedicated period of 40 sea days, operating in the Canadian Pacific region in support to RCN requirements. This short-term arrangement ended in late-August 2015. The RCN completed an agreement with the Spanish Navy for the Atlantic region, though these arrangements have not yet been finalized.
These mitigation strategies do not, however, fully address the significant constraints placed on Canada's flexibility to conduct independent maritime operations, and they do present limits to the RCN's ability to train and retain key skill sets that will be required to operate Queenston-class ships.
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