Canada's Infrastructure Dealmaking and Development

Global capital is once again finding opportunity in Canada’s major infrastructure, energy and resource development projects—and momentum is building. The message that Canada is ready to embark on a new era of infrastructure and major projects development has recently been reinforced by Mark Carney, Prime Minister of Canada, Canadian governments at all levels and industry leaders. The response from US and international investors is clear, with deal flow and project work on the rise. Based on the latest data, when adjusted per capita, Canada is attracting more foreign direct investment than any other G7 country (see graph below). 

This investor confidence is grounded not only in regulatory change and project activity, but also in long-standing cross-border relationships that are not just based on dollars and cents, but relationships. In this article we examine some of the ways that investors and project proponents can advance these relationships to maximize investment opportunity and get shovels in the ground on projects across infrastructure asset classes and key industries such as energy and critical minerals.

A Shifting Regulatory and Approvals Landscape

After years of project proponents working through complex regulatory and other processes causing delay, both federal and provincial governments have recognized that timely infrastructure and resource development is essential, not only for economic growth, but also for energy security, defense readiness and supply chain resilience.

Recent reforms—executed across regulatory, legislative and policy channels—have focused on:

• Streamlining approvals and reducing regulatory duplication
• Enhancing predictability and timelines (including targeted review periods, such as 120-day approval frameworks discussed at the event)
• Enhancing Indigenous engagement and participation with well-established structures and financing tools
• Aligning major infrastructure with national priorities, including energy transition, transportation corridors, and critical minerals

Indigenous Equity Participation

One of the most significant shifts in Canada’s project environment is the move from consultation to active Indigenous equity participation. The prevailing view in today's projects landscape is that responsible relationships in many cases will mean working with Indigenous groups as real equity partners. An emerging suite of federal and provincial government-backed loan guarantees have changed the landscape, making it more viable and economically beneficial for Indigenous groups to have a real economic stake in projects.

At the federal level, the Indigenous Loan Guarantee Program and the Indigenous Equity Initiative (through Canada Infrastructure Bank) offer loans to support Indigenous equity participation in projects. In Alberta alone, the Alberta Indigenous Opportunities Corporation (AIOC) has provided approximately $745 million in loan guarantees, supporting more than 43 Indigenous groups across infrastructure, power, natural resources, telecom, tourism, agriculture and digital projects.

These transactions are now highly sophisticated, well-financed and institutionally bankable, and early Indigenous engagement has become a practical necessity for project success. Read more in our article "Pathways to Prosperity: Exploring Indigenous Participation in Major Energy Projects". 

Investor Focus

As governments prioritize transportation, logistics and northern-access infrastructure, often aligned with defense and sovereignty objectives, investors are following suit. This is part of a broader move to intensify investment in defence and other sovereignty initiatives, including dual-use defence and civilian infrastructure projects (read more in our recent defence blog post "Policy, Dual-Use and DefTech Drive a New Era for Private Capital in Defence"). In northern Canada, there are clear indicators that the current wave of federal infrastructure investment is tied to both defense and resource development.

Infrastructure Investment

Transportation and port infrastructure to improve access to northern waters is a priority. So too is government-backed road and rail projects supporting iron ore and other mining developments in remote regions. Read more on the latest infrastructure investment outlook in our "Canada's Q1 2026 M&A Landscape".

Energy and Energy Transition

Conventional energy infrastructure remains attractive where export capacity, reliability and responsible development align. At the same time, significant capital is flowing into electricity generation, transmission and storage, carbon capture, hydrogen and transition technologies as well as power infrastructure linked to data centers and hyperscalers. Read more in our article "Wind In the Sails of Canadian Energy Project Development: Major Projects Office Open For Business, and Details of Fast-Tracked Projects Emerging".

Natural Resources and Critical Minerals

Canada’s role in global critical mineral supply chains remains a key focus of interest to Canada's long term economic and energy objectives. While mining policy protects strategic control, export markets remain global, and the attention has shifted to domestic processing and refining capability, particularly for lithium. Read more in our article "Second Wave of Fast-Tracked Projects Unveiled including Critical Minerals and Energy Projects".

Digital Infrastructure

Beyond mining and transportation, investors are also exploring digital infrastructure in the Arctic, including subsea and terrestrial fiber optic networks, projects attracting both private equity and strategic interest. Read more on trends in digital infrastructure investment in our article "Private Equity Investment in the Picks-and-Shovels of the AI Infrastructure Boom".

What's Next?

For sophisticated investors, Canada’s strengths are familiar. What is different now is that alignment with policy reform, capital readiness and project execution are converging. The question of the day is no longer whether Canada can deliver major projects, but how quickly investors will seize opportunity.

About Bennett Jones

Bennett Jones advises private equity sponsors, investors and funds on complex cross-border transactions, structuring and value creation, delivering tailored strategies that maximize returns and manage risk. Our practice is collaborative and multidisciplinary, drawing upon the firm's strengths in mergers and acquisitions, capital markets and acquisition finance, along with industry expertise in domestic and cross-border issues related to oil and gas, mining, power and renewables, and infrastructure. Connect with us to learn why clients in Canada and around the world trust Bennett Jones to solve their most complex legal matters.