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Marconi marine express interest in Govan shipyard
05/05/1999
ISSUED ON BEHALF OF THE KVAERNER TASK FORCE
Sir Gavin Laird, head of the Kvaerner Task Force, today visited the Kvaerner Govan Shipyard to explain to management and workforce the latest developments in the Task Force's efforts to identify a buyer for the Govan shipyard. This visit followed media reports of GEC's interest in purchasing the shipyard and yesterday's meeting between Mr Kjell Almskog, Chief Executive of Kvaerner Group, and the Confederation of Shipbuilding and Engineering Unions when he spoke of the discussions on Kvaerner Govan being conducted between his company and GEC.
Sir Gavin said:
"The news that Marconi Marine may consider bidding for the Govan shipyard, owned by Kvaerner plc, is a very welcome and significant development.
"That one of the most important companies in British shipbuilding has expressed interest in the shipyard vindicates the view held by the Task Force that the workforce and facilities at Govan are of the highest order and should be of interest to companies in the maritime industries.
"The Task Force has been in detailed discussion with both Kvaerner Group and GEC, initially to explore the possibility of short-term sub-contract work being undertaken at Govan on behalf of the Marconi Marine shipyard at Barrow in Furness. It has become clear, however, that there may be longer term synergies possible which could benefit both GEC and Govan. I am, therefore, delighted that GEC is now examining its options in this direction.
"Following discussions last week with the Dutch Owned company Swan Hunter, Scottish Office officials have visited Holland to explore further the prospects of a Dutch Led consortium developing Govan primarily as a steel working facility.
"Whilst the Task Force will continue to act as brokers with a facilitating role, any decisions about the sale of the Govan shipyard will of course be a commercial matter for Kvaerner's corporate management."
BACKGROUND
1. Kvaerner Group announced on April 13 that the Govan shipyard was to be sold and, failing that, closed.
2. The Kvaerner Task Force, appointed by Scottish Office Business and Industry Minister, Lord Macdonald, has the objective of identifying potential buyers for the shipyard and the Kvaerner Energy engineering works in Clydebank.
3. The Confederation of Shipbuilding and Engineering Unions can be contacted through John Quigley (0141 248 7131).
News Release: 0989/99
5 May 1999