BiFab survival deal

“Tough decisions” have been made in the solution which will allow BiFab to “start to return” to normal trading, said company bosses.

Two weeks ago the firm filed its intent to call in administrators notice after plunging into a critical cash position following a dispute with its key customers.

The multi-million financial crisis took the engineering firm to the brink of collapse, threatening 160 jobs at the Arnish yard on Lewis and over 1200 posts in Fife.

BiFab survives - for now - and its bosses say they can see that a “longer term future exists for the business.”

Managing director Martin Adam said: "We are very pleased to report that we have been able to secure the future of BiFab and its workforce.

“I would like to thank the efforts of all the key stakeholders, including the Scottish Government.

“This has been a very difficult week for the business and all those connected with it, but I’d like to take this opportunity to thank the workforce and the unions, and all those suppliers who have continued to work with us, for their invaluable support.

“We hope that this support continues over the coming weeks whilst we get the business to return to full normal trading.”

Top Scottish Government ministers - including First Minister Nicola Sturgeon - launched urgent talks with the companies involved in the present contract to build 26 foundation units for the Beatrice windfarm off the Moray coast.

Variations to the initial contract - including build specifications and transportation to the sea site - racked up additional costs, creating a lengthy rift over who should pay for the extra charges.

Prospects of a deal waxed and waned over last week but with the administration deadline imminent, representatives of all parties were summoned to Scottish Government’s St Andrews House headquarters in Edinburgh.

Each firm set up base in separate offices with Scottish Government negotiators shuffling between them seeking concessions over Friday and Saturday.

All the main parties gave ground, particularly main contractor Seaways, providing a financial route to keep the yards open.

“Tough decisions” behind BiFab’s survival

21 Nov 2017

Made in Stornoway: An Arnish manufactured foundation being lowered into the ocean this summer