Ontario Construction News staff writer
Seven Ontario First Nations are set to become owners of a new nuclear reactor through a landmark partnership with the federal and provincial governments, marking what officials say is the first Indigenous equity stake in a nuclear energy project in Canadian history.
Officials estimate the project will create up to 18,000 jobs during construction and sustain roughly 3,800 highly skilled positions annually over its projected 65-year operating life. The project is also expected to contribute $38.5 billion to Canada’s gross domestic product.
The federal and Ontario governments announced Wednesday they will provide $700 million in loan guarantees to the Williams Treaties First Nations, enabling the communities to acquire an ownership interest in one of four small modular reactors (SMRs) being developed at Ontario Power Generation’s Darlington New Nuclear Project (DNNP) in Bowmanville.
The loan will eventually convert into equity in the project, giving the First Nations a minority stake in the facility once all four reactors are completed.
Ontario Energy and Mines Minister Stephen Lecce described the agreement as a milestone for both Indigenous participation in major infrastructure projects and the province’s growing nuclear sector.
“For the first time in Canadian history, First Nations are supporting and investing in made-in-Canada nuclear,” Lecce said. “Ontario is entering a new era of how we build large energy projects in true partnership.”
The Williams Treaties First Nations include Alderville, Curve Lake, Hiawatha, Scugog Island, Chippewas of Beausoleil, Chippewas of Georgina Island and Chippewas of Rama First Nations, whose traditional territories are located around Lake Ontario and Lake Simcoe.
Federal Finance Minister François-Philippe Champagne said Indigenous ownership aligns with Ottawa’s broader vision of building Canada’s energy infrastructure while advancing economic reconciliation.
“Canada strong for all means building clean energy infrastructure quickly, responsibly and as a unified Team Canada with First Nations like the Williams Treaty First Nations and all Canadians,” Champagne said.
The partnership will be supported through Ontario’s Indigenous Opportunities Financing Program, administered by the Building Ontario Fund, alongside a federal guarantee provided through the Canada Indigenous Loan Guarantee Corporation. Ontario and Ottawa will share the guarantee equally.
According to the province, Indigenous equity participation will lower borrowing costs for the project and could save electricity ratepayers up to $15 billion over the operating life of the reactors.
Greg Rickford, Ontario’s Minister of Indigenous Affairs and First Nations Economic Reconciliation, called the agreement a significant step toward economic reconciliation.
“This is a historic partnership that demonstrates a critical feature of Ontario’s nuclear advantage: First Nation communities as true equity partners,” Rickford said. “By working together in partnership, we are seizing the opportunity to strengthen economic reconciliation, support workforce development, and build a prosperous future for all.”
The Darlington New Nuclear Project is considered a cornerstone of Ontario’s long-term energy strategy. The province is constructing four small modular reactors at the existing Darlington nuclear site, a project expected to generate 1,200 megawatts of electricity — enough to power approximately 1.2 million homes.
Construction is already underway on the first reactor, which received a licence to construct from the Canadian Nuclear Safety Commission in 2025. Ontario approved the project that same year, while the federal and provincial governments committed up to $3 billion in combined investments through the Canada Growth Fund and Building Ontario Fund.
Ontario currently relies on nuclear power for roughly half of its electricity generation, and provincial officials argue the new reactors will play a key role in meeting growing energy demand while maintaining a low-carbon electricity grid.
More than 100 Canadian companies are already involved in the emerging SMR supply chain, positioning Ontario to compete in what governments and industry leaders expect to become a rapidly expanding global market for advanced nuclear technology.
The Darlington project is expected to become the first grid-scale small modular reactor deployment among G7 nations, placing Canada at the forefront of next-generation nuclear energy development.
