CALGARY, Alta. – De Havilland Canada said Friday it has secured up to $2.5 billion in financing from the Government of Canada and Export Development Canada to double production capacity for its DHC-515 waterbombers.

The DHC-515, marketed as the Canadair 515, is a new version of the Canadair CL-415 amphibious waterbomber. It builds on the legacy of the CL-415 with modern avionics, improved maintainability and enhanced operational capabilities.

De Havilland Canada is producing an initial batch of 22 DHC-515s for six European customers: Croatia, Spain, Italy, Greece, Portugal and France. Purchase agreements for the aircraft were signed through the Canadian Commercial Corp. in 2024.

Assembly of the first DHC-515 is under way at the company’s Canadian manufacturing facilities. In a production update in July, the company said the cockpit and hull had been joined to form the forward fuselage, while the mid-fuselage and the aircraft’s first 28.6-metre wing box had also been completed.

The financing agreement will allow the company to accelerate production, with additional aircraft slots expected to become available starting in 2030.

The company also plans to hire more staff and expand capacity at its sites in Victoria, Calgary, Toronto, Kitchener and Fort Erie, Ont.

The transaction is expected to be completed in the first quarter of 2027.

Demand for waterbombers has increased in recent years amid catastrophic wildfires in various parts of the world.

In August, the Canadian government reached a conditional agreement with British Columbia-based Coulson Aviation to convert 10 retired Royal Canadian Air Force CC-130H Hercules transport aircraft into aerial firefighters.

Canada had 129 active wildfires as of Saturday, including 11 classified as out of control, according to the Canadian Wildland Fire Information System. Year to date, 5,560 fires had burned 4.5 million hectares, the platform’s data showed.