Calgary-based ZS2 secures $2.7M in innovation funding

Key Takeaways:

• Prairies Economic Development Canada announced a repayable investment of over $2.7 million to help ZS2 Technologies scale up its manufacturing operations in Calgary
• ZS2 Technologies manufactures proprietary magnesium oxide-based cement panels that are completely fire-resistant and storm-resilient to support climate-vulnerable regions
• The funding is one of the final allocations under the two-year $50 million national Regional Homebuilding Innovation Initiative launched in 2024

The Whole Story:

Prairies Economic Development Canada (PrairiesCan) announced a repayable investment of over $2.7 million to help Calgary-based ZS2 Technologies scale up its advanced, climate-resilient manufacturing operations. Funded through the federal government’s Regional Homebuilding Innovation Initiative (RHII), the capital injection will be used to purchase advanced manufacturing equipment and rapidly expand production capacity for structural building materials tailored to resist extreme weather.

ZS2 Technologies specializes in manufacturing proprietary magnesium oxide-based cement Structural Insulated Panels (SIPs). Unlike traditional wood-framing or standard drywall, these advanced panelized systems are completely fire-resistant, non-combustible, and storm-resilient, making them highly advantageous for construction in wildfire-prone and climate-vulnerable regions. The pre-fabricated panels allow multi-unit and single-family homes to be framed in days rather than weeks, significantly reducing on-site labor costs and accelerating the overall housing delivery chain.

The funding marks one of the final allocations under the time-limited RHII program, a two-year, $50 million national envelope launched in 2024 to modernize Canada’s residential construction sector through pre-fabrication and modular tech. Across the prairie provinces, PrairiesCan has deployed $9.59 million of that total to de-risk local supply chains. While the application portal officially closed on March 31, 2026, the capital rollout continues to flow into shovel-ready manufacturing expansions designed to catalyze secondary private investment.

“Support from PrairiesCan through the Regional Homebuilding Innovation Initiative has helped ZS2 scale production of our proprietary fire- and storm-resistant building materials at a time when demand for climate-resilient construction solutions continues to grow,” said Scott Jenkins, CEO and Co-Founder of ZS2 Technologies. “This investment has helped catalyze private investment, strengthen key partnerships, and support our ability to bring made-in-Alberta innovation to communities across Canada.”

The panelized solutions manufactured at ZS2’s Calgary facility aim to replace traditional wood framing with high-performance composite layers:

• Outer Facing Layers: High-density Magnesium Oxide (MgO) cement boards that provide absolute fire resistance, water immunity, and defense against mold or pests.
• Insulating Core: Rigid, high-efficiency foam core providing superior thermal performance ($R$-value) compared to traditional fiberglass batting.
• The Structural Benefit: Combines framing, insulation, and sheathing into a single, pre-engineered structural component dropped onto the job site ready for assembly.