Kitchener-based Colt Canada has won a $32 million contract to make machine guns for the Canadian Armed Forces.
The government will be buying more than 1,100 brand new C-6-A-1 FLEX General Purpose guns.
The machine guns the military uses today are 30 years old and some have already been taken out of service due to wear and tear.
Officials say the contract will mean 13 new jobs at Colt Canada and will help maintain the other 100 jobs already there.
Colt Canada will start to roll out the weapons in September of 2018.