The province and Ottawa are contributing a total of $4.5 million toward the project to expand the Verschuren Centre at Cape Breton University into a national biomanufacturing centre.
$2.5 million is coming from the Nova Scotia government while the federal government is kicking in $2 million.
Biomanufacturing uses plant and animal cells to produce commercial materials.
The Verschuren Centre is already home to one of only three bioreactors in Canada.
The province says its expansion into a national bioprocessing centre will increase its bioreactor capacity by more than 10 times.