Dr. Lewis Yocum will perform the surgery on May 11 in Los Angeles. Yocum removed bone chips from Wada's elbow in 2007.
An MRI and CT scan confirmed a partial tear of the ulnar collateral ligament. The Orioles let Wada decide whether to have surgery or attempt to rehab.
The Orioles signed Wada to a two-year, $8.14 million contract. He pitched in two extended spring training games and one Triple-A game while on an injury rehab assignment - giving up six runs in 2 2/3 innings for the Tides.
Wada was shut down shortly after that outing because of pain in his elbow.
Wada also was shut down in spring training because of inflammation in his elbow, ruining any chance of breaking camp with the team.