Navantia, the Spanish-state owned shipbuilding firm, is in exclusive negotiations to acquire Harland & Wolff Group, the owner of the Belfast based shipyard, in a deal that could rescue up to 1,000 jobs.
It is understood that the Madrid headquartered shipbuilder could take control of the group along with its four yards as early as next month. Aside from its largest yard in the east of the city at Queen’s Island, is Appledore, Devon, England; Arnish on the Isle of Lewis, Outer Hebrides; and also in Scotland, Methil on the Fife of Forth.
As The Guardian reports, a deal is not expected to involve a pre-pack administration of the group’s operating companies that run the yards on both sides of the Irish Sea, which could put jobs at risk. At this stage, only the main holding company is in administration, as previously reported.
Navantia, with its three yards in Spain, has already been financially supporting Harland & Wolff to continue operating as it tries to retain a £1.6bn British Ministry of Defence contract to build three fleet solid support (FSS) ships. These replenishment vessels would operate for the Royal Fleet Auxiliary (RFA) to transport crucial supplies to aircraft carriers for the Royal Navy.
Originally under the FSS newbuilding project, Harland & Wolff and Navantia would each have fabricated sections of the ships in their yards in Appledore and Bahia de Cádiz, respectively. On completion of these sections, they would then have been towed to the Belfast shipyard for assembly.
The future of the naval newbuild project has been plunged into doubt since Harland & Wolff’s main company was placed into administration last month. The shipyard group also scrapped their ferry subsidiary, which was due to launch in May, a rival new fast-ferry service to the Isle of Scilly off Cornwall.
More here on the Spanish shipyard firm, which also has a yard in Cartagena.
