‘Progress made’ in talks to secure BiFab future, Scottish Government says

Progress has been made following “intensive talks'' aimed at securing the future of troubled engineering firm BiFab, the Scottish Government has said.

Published 18th Nov 2017
Last updated 18th Nov 2017

Progress has been made following “intensive talks'' aimed at securing the future of troubled engineering firm BiFab, the Scottish Government has said.

The discussions, which involved the First Minister on Friday, will resume on Saturday and continue for “as long as necessary to avert the risk of administration'' at the firm, Economy Secretary Keith Brown said.

First Minister Nicola Sturgeon returned early from a UN climate change conference to take part in the talks on November 17.

Burntisland Fabrications Ltd (BiFab), has a workforce of 1,400 employees, contractors and subcontractors at its yards in Burntisland and Methil in Fife and Arnish on the Isle of Lewis.

The company, which makes equipment for the oil and gas industry and the renewable energy sector, filed a notice of intention to appoint administrators a week ago as it faces cash flow problems linked to its contracts.

At the centre of the issue is a dispute involving BiFab and the Dutch-owned contractor, Seaway Heavy Lifting (SHL) over a particular payment.

Mr Brown said discussions have been taking place every day this week, sometimes late into the night, to help make sure the 1,400 jobs stay in Scotland.

He said: “Following a series of intensive talks over the course of Friday led by the First Minister, myself and the Minister for Business, Innovation and Energy with Seaway Heavy Lifting, SSE, Siemens and the partners in the Beatrice Offshore Windfarm progress has been made and discussions will resume in the morning.

“We are also in dialogue with the trade unions and BiFab. Ministers will continue talks for as long as necessary to avert the risk of administration at BiFab.

“We are very much aware that this will be an anxious time for the people employed at BiFab, as well as their families and the wider communities of Burntisland, Methil and Arnish and Ministers will continue to do all we can to secure a positive resolution.

“We hope to be able to provide more clarity on the situation in the near future.''

BiFab staff have voted to continue working until further notice, despite the fact they may not get paid