Indigenous-owned Regina steel company secures historic $1M defence contract with General Dynamics

An Indigenous-owned Saskatchewan manufacturing company has secured a million-dollar defence contract.

Regina-based Pro Metal Industries, owned by the Pasqua First Nation, will produce fabricated and machined components for light armoured vehicles, or LAVs.

Pro Metal is the first fully Indigenous-owned supplier for General Dynamics Land Systems — Canada, one of the largest military defence contractors in the country, the First Nation said in a news release.

"This contract is, hopefully, just the first of many, because it depends on how we perform and fulfil the contract obligations," said Pasqua First Nation Chief Todd Peigan.

Cory Coleman/CBC
Cory Coleman/CBC

"We have the capability, we have the personnel, we have the machinery and we have the facility," he said, adding the company has other military contracts. "So we have the skills already."

Peigan said money from the deal will go towards local social programs.

Bob Dumur, president and general manager of Pro Metal Industries, said the contract provides stability for the company and could create 25-30 jobs over the long term.

"I'm pretty proud of the Pasqua band to want to get involved in the military production, [and] very happy with General Dynamics that they've taken an interest in Pasqua," Dumur said.

Cory Coleman/CBC
Cory Coleman/CBC

At one point, the company employed 50 people, but that number has dwindled because of lack of work.

Peigan said this deal, and others, may bring the workforce back up to between 35 or 40 employees.

He said when Pasqua First Nation bought Pro Metal there was only one Indigenous employee.

"I believe now we have 50 per cent Indigenous employed here."

Contracted to supply LAVs to Saudi Arabia

General Dynamics Land Systems Canada is contracted to supply LAVs to Saudi Arabia. Last year, CBC reported that documents indicated the London, Ont.-based manufacturer's order for LAVs had been scaled back.

Critics have called for the government to cease arms sales to Saudi Arabia, citing the kingdom's human rights record.

Peigan said he is not sure if this contract is part of the deal with Saudi Arabia, because General Dynamics has other contracts for LAVs.

But he said his first priority is to his First Nation.

CBC News
CBC News

"I have to create wealth for my First Nations," Peigan said.

"Look at the scale on First Nations on how they rank in the world.… We need that assistance, but we don't have that financial resource. In fulfilling these obligations it creates financial resources for Pasqua First Nation to pass on for programs and services for people that I represent."