MercoPress. South Atlantic News Agency

Falklands' Port Replacement: FIG halts contract negotiations with Harland and Wolff

The government reaffirms its dedication to the timely completion of the port replacement project

The Falkland Islands Government (FIG) has announced the termination of contractual negotiations with Harland and Wolff for the port replacement project. The decision was reached after an extraordinary Executive Council (ExCo) meeting on August 1, 2024.

Harland and Wolff had been identified as the preferred bidder for the marine-side tender earlier this year. Despite constructive discussions, FIG and Harland and Wolff were unable to agree on a mutually acceptable commercial position. “Despite this setback, we remain fully committed to building the port and will continue to progress the project,” said MLA Mark Pollard, Portfolio Holder for Commercial Services. “While this development is unfortunate, we are confident in our path forward and look forward to achieving this vital project, so important to the future of our economic activity.”

The port replacement project, which includes replacement barges, a causeway, and an access road, remains on track for completion by the end of 2027. No financial transactions occurred during the pre-contract negotiations with Harland and Wolff.

The Falkland Islands Government appreciates the efforts of Harland and Wolff throughout the negotiation process and acknowledges their commitment. Despite the decision to cease negotiations, FIG remains optimistic about finding an alternative partner to ensure the project's successful delivery within the required cost, schedule, and risk parameters.

The government reaffirms its dedication to the timely completion of the port replacement project, which is crucial for the future economic activity of the Falkland Islands. The search for a new partner will continue with the goal of maintaining the original project timeline.

FIG extends its gratitude to Harland and Wolff for their engagement in the tender process and looks forward to their ongoing contributions to the industry, according to a press release issued on Tuesday.