The deal was announced by the Minister of Public Services and Procurement Judy M. Foote and Minister of National Defence Harjit Sajjan.
Construction work on the JSS is slated to commence next year, and once completed will enable the RCN to renew its fleet as well as provide its sailors with necessary equipment.
Naval task groups will be able to operate at sea anywhere in the world for longer periods of time using the JSS, without the necessity of going to shore to replenish their vessels.
The JSS will also provide both Canadian and allied ships with ammunition, fuel, spare parts, food and water, in addition to supplying medical and dental care facilities, as well as helicopter repair capabilities to the deployed forces.
Steel-cutting has also been completed for the Canadian Coast Guard’s third offshore fisheries science vessel (OFSV) as part of the National Shipbuilding Strategy.
Foote said: “The National Shipbuilding Strategy is supporting our women and men in uniform and renewing Canada's reputation as a major shipbuilding country.
“By building these ships here in Canada, we are creating good, well-paying jobs to the middle-class and economic prosperity for many communities throughout the country.”
All three OFSVs are currently under construction at the shipyards in British Columbia, Canada, with the first vessel slated to be delivered early next year.
The National Shipbuilding Strategy will help boost Canada’s marine industry and encourage technological innovation, as well as create new jobs and strengthen the country's overall economy.