The government of Canada announced Thursday that it has awarded a $500-million contract to Irving Shipbuilding Inc. of Halifax to carry out maintenance work on its Halifax-class frigates.

The federal government also said it is investing more than $7.5 billion in the Royal Canadian Navy’s 12 Halifax-class frigates to provide necessary ongoing maintenance until they are retired in the early 2040s.

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According to the government, the initial five-year contract guarantees a minimum of three frigates for the shipyard, with work planned to begin in the early 2020s. The contract is expected to rise in value as additional work packages are added.

On July 16, 2016, the government of Canada awarded similar contracts to Seaspan’s Victoria Shipyards Limited in Victoria, B.C., and Chantier Davie in Lévis, Que.