Port authority awards £11.95 million quay development contract

An illustration of the extended Dales Voe South quay in Lerwick Harbour.

Lerwick Port Authority has awarded a £11.95 million contract which will see the quay at Dales Voe South extended to 130 metres long.

The Scottish business unit of civil engineering contractor BAM Nuttall has won the contract and the port authority says the developments in Lerwick Harbour will increase the deep-water facilities for the offshore oil and gas industry.

The extended quay will provide deep-water, versatile berthing and heavy load capacity to take an offshore structure in a single lift, with a substantial, expanded laydown area.

Port authority harbourmaster and deputy chief executive Calum Grains said the contract marked an important step in further developing Lerwick’s role as a leading centre of offshore industry operations. The news comes weeks after Shell confirmed that work on the decommissioning project for its Brent Alpha platform was not coming to Shetland, but would be carried out in Teesside.

Capt Grains said: “Dales Voe South is another value-added expansion and reflects our confidence in future activity, including ongoing subsea projects, particularly west of Shetland, and the developing decommissioning and offshore renewable markets.”

The Scottish government Highlands and Islands Enterprise are providing £2.39 million in grant for the project, with the Bank of Scotland supporting the port authority’s investment.

Work will begin in April with completion due in April next year. BAM expects up to 40 worker to be employed directly in the construction at its peak, with wider benefits spreading to local suppliers and sub-contractors.

BAM Nuttall business unit manager Dougie Grant said: “We’ve been tracking the proposals for Dales Voe for over a year now and we’re delighted to have been chosen by the port authority as their construction partner.

“We understand the positive impact this scale of investment can have locally and we look forward to engaging proactively with the Shetland community to ensure this benefit is fully realised.”

Civil engineers Arch Henderson are responsible for design and project management of one of the largest infrastructure developments in recent years in the port authority’s ongoing programme.

The contract will extend the quay by around 75 metres, with a load-bearing capacity of 60 tonnes per square metre, making it unique in Scotland.

It will have 12.5 metres water depth alongside, like the existing quay, among the deepest of its type in Scotland. The extension will be complemented by increased, adjacent laydown for equipment and materials. A phased expansion under way in recent years will total 45,000 square metres by 2016.

Part of the Dutch construction group Royal BAM, BAM Nuttall specialises in complex marine construction, with a track record working around Scotland and on the Western and Northern Isles.

Lerwick has been servicing the offshore industry for over 50 years and has a growing reputation as a location for decommissioning.