Hike Metal lands $43M contract to build coast guard boats

Hike Metal, a Wheatley shipbuilding company has landed a $43-million contract to build six search and rescue lifeboats for the Canadian Coast Guard, the federal government announced Thursday.

This project will create 25 jobs in Wheatley and building should begin in November.

The order is part of a national shipbuilding strategy that will create 15,000 jobs across the country and generate $2 billion a year in economic activity across Canada over 30 years, Ottawa says.

The Hike Metal contract also has an option for the company to build four more search and rescue vessels after the original six are complete. All 10 will be used in the Maritimes.

Hike Metal has been in the news recently for missing out on the Ontario contract to build the new Pelee Island Ferry.

Andy Stanton of Hike Metal and Chatham-Kent-Essex Conservative MP Dave Van Kesteren stressed this is not a consolation prize. The federal contract for new coast guard boats has been in the works for some time.

Hike Metal has previously built search and rescue boats for the Canadian Coast Guard, according to the company's website.

The provincial government did not consider Hike Metal for the tender to build a new ferry to serve Pelee Island.

The company's owner was upset the work went to a Chilean company instead.