Canadian Strategic Missions Corporation (CSMC) has been awarded investment of CAD4.5m ($3.2m) by the Federal Economic Development Agency for Southern Ontario (FedDev Ontario) to develop microreactor technology for Arctic deployment. CSMC targets a fuelled demonstration unit by 2029–2030, with full commercial and fleet-scale deployment in the early 2030s.

CSMC is developing a fleet of nuclear fission microreactors aimed at powering remote Arctic defence sites, off-grid civilian communities, and future space exploration. The technology, developed under the project name LEUNR (Low Enriched Uranium Nuclear Reactor) is an adaptation of Canada’s classic SLOWPOKE-2 research reactor design.

The investment from FedDev Ontario is intended to move the reactor platform from the drawing board into detailed design and toward a working, fuelled demonstration unit. The funding is part of a broader CAD40.5m federal investment package distributed among 23 organisations in the region, intended to strengthen the domestic supply chain and defence industrial base.

Federal policy increasingly prioritises dual-use technology capable of supporting both civilian and military infrastructure in high-latitude environments. The Department of National Defence faces significant logistical constraints in supplying diesel fuel to remote northern outposts. Microreactors offer a potential solution by providing stable, long-term power and heat for off-grid operations.

CSMC was founded in 2020 and was formerly known as Canadian Space Mining Corporation. It operates subsidiaries focused on nuclear systems and laboratory research. The development of its microreactor leverages existing Canadian nuclear expertise, adapting the established SLOWPOKE-2 research reactor model for remote commercial and military applications to reduce regulatory bottlenecks and development timelines.

The LEUNR microreactor transitions SLOWPOKE-2 design from a static, low-power laboratory neutron source into a rugged, high-output commercial power plant. While it preserves the iconic passive safety features of the original architecture, CSMC has completely re-engineered the cooling, fuel density, and control systems to meet the energy demands of extreme environments.

The primary technical bridge between SLOWPOKE-2 and LEUNR is inherent safety via a strong negative temperature coefficient. In both designs, if the reactor core gets too hot, the physical density of the water/coolant drops. This naturally slows down the fission chain reaction without requiring human intervention or moving parts. This safety profile is why SLOWPOKE-2 remains the only reactor framework ever licensed in Canada for unattended operation.

The original SLOWPOKE-2 was deliberately underpowered (20 kWt) to prevent it from ever boiling its pool water. To jump to megawatt-class industrial power, CSMC is expanding the physical core surface area and swapping out the open pool for a high-pressure, closed thermal loop. This pulls heat away from the fuel pins exponentially faster, allowing the system to drive a turbine for electricity without losing its core passive safety characteristics.

The classic design relies on a massive water pool for both cooling and shielding. Because water cannot be easily managed on the lunar surface or in sub-zero Arctic transportation, LEUNR replaces or heavily modifies the open-water jacket. It utilizes advanced solid-state materials or specialized closed fluids (similar to historical organic-cooled or gas-cooled reactor studies) to transfer heat efficiently in a vacuum or during transport.

A standard SLOWPOKE-2 core can operate for up to 30+ years on a single fuel charge because its power drain is incredibly low. However, LEUNR draws significantly more energy to power communities and radar systems and so requires highly optimised fuel packing. By using high-density fuels, CSMC balances high power output with a multi-year “plug-and-play” lifespan, ensuring the core does not require frequent refuelling in remote locations.

CSMC CEO Daniel Sax noted the importance of public-private cooperation in scaling the technology. “As private industry continues to drive innovation within the nuclear sector, CSMC is proud to partner with the Canadian government to accelerate the R&D process,” he said. “Our goal is to bring promising new technology online faster, in line with peer markets, to ensure that our nation can reinforce its defence capabilities, including in the North.”

Evan Solomon, Ontario’s Minister for Artificial Intelligence & Digital Innovation and Minister Responsible for FedDev Ontario, stated that the government is funding critical technologies to support national defence and security capabilities while building a more resilient economy.

The FedDev Ontario investment is just the latest of several developments for CSMC this year. In April, CSMC secured a CAD5m provincial grant from Alberta to build an unfuelled, prototype testing loop at the University of Alberta.

Also in April, using a CAD1.2m grant from Next Generation Manufacturing Canada (NGen), CSMC partnered with Samuel Automation and Stern Laboratories to establish an advanced manufacturing cell to build reactors consistently at scale.

In May, the company signed a memorandum of understanding with Telesat to leverage their Lightspeed satellite constellation to securely monitor and operate nuclear microreactors remotely via space-based networks.