Ferguson Marine secures four-vessel direct award

The Scottish Government has announced its intention to directly award Ferguson Marine the contracts to build four vessels. This landmark decision provides a guaranteed five-year pipeline of work, offering the stability required to protect hundreds of skilled jobs on the Clyde and supports the shipyard’s plans for modernisation.

Duncan Anderson, Chair of Ferguson Marine, said: “This direct award does more than just help with our order book; it underpins our future, improves our resilience and confirms our strategic importance to the country.

“The Scottish Government’s intention to award us four new vessels marks the beginning of a new chapter for Ferguson Marine, securing our enduring legacy and ensuring we progress toward being a leader in the industry in years to come.

“We look forward to collaborating and strengthening our relationships with the Scottish Government, CMAL, CalMac, Marine Scotland and beyond as we work together to determine a robust plan for delivery.”

The package of vessels as part of the proposed award includes the design and build of a new class of Marine Protection Vessel (MPV) and Marine Research Vessel (MRV) for Marine Scotland to replace MPV ‘Minna’ and MRV ‘Scotia’, originally built by Ferguson Marine and currently nearing the end of their service lives. 

The additional vessels are two CalMac passenger ferries for Caledonian Maritime Assets Limited (CMAL) as part of the second phase of the Scottish Government’s Small Vessel Replacement Programme. Ferguson Marine has constructed around a third of the vessels serving as part of the current CalMac fleet - many of which are operating well beyond their intended service life. 

Graeme Thomson, CEO of Ferguson Marine, said: “This is a watershed moment for our shipyard and a significant opportunity for us to retain our Clydebuilt workforce. By unlocking vital infrastructure and equipment upgrades, this direct award is the catalyst for Ferguson Marine to become a world-class, digitally enabled shipbuilder, capable of competing on a global stage.

“Our experience, demonstrated through our successful work on similar projects, means we are uniquely positioned to build these four vessels. I have the utmost confidence in the talent and technical skill within our team to produce ships fit to serve communities and provide critical research infrastructure for years to come.

“While we acknowledge the challenges of the recent past, they do not define our future. We are returning to the core of what we do best: delivering world-class vessels on the Clyde.”

The Port Glasgow shipyard is a strategic national asset, which has been in operation for over a century and has been wholly owned by the Scottish Government since its nationalisation in 2019.

David Dishon, CFO of Ferguson Marine, said: “Securing a contract of this magnitude would be a significant step towards financial sustainability. We have navigated considerable headwinds over the past few years, but this direct award would allow us to turn a corner. 

“We plan to reinvest the benefits directly back into our community, providing vital stimulus to our local supply chain. Having a steady stream of work means that the shipyard will remain an economic anchor for the region, fostering growth and stability for the families and businesses that grow alongside us."

Ferguson Marine is currently focused on the completion of MV Glen Rosa, ongoing work with BAE Systems on the Type 26 frigate programme, and delivery of a transformation project that will modernise the shipyard. The shipyard will now work closely with the Scottish Government on a sequencing plan for this new work.