Inchgreen dry dock ship scrapping firm goes into liquidation

Marine Decomissioning Ltd — formerly known as Atlas — has finally called a halt to its operation nearly two years after a 'long term' lease with Inchgreen possessor Peel Ports was hailed as a 'terrific shot in the arm' by council leader Stephen McCabe.

Demands by campaigners for Peel's 'stranglehold' of Scotland's biggest dry dock to be broken and for the prized marine industrial asset to be fully regenerated for the benefit of Inverclyde are today gathering further momentum.

Atlas declared at a public meeting in November 2021 — just three months after the company was formed — that it would have a first 26,000-ton ship on site to scrap before Christmas that year.

A succession of failed attempts to win contracts to break-up container vessels owned by shipping giant Maersk followed.

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Robert Buirds, secretary of the Campaign to Save Inchgreen Dry Dock, today fired a broadside at Peel Ports and urged local politicians to now support a petition to have the dry dock nationalised. 

Mr Buirds told the Telegraph: “The blame is firmly with Peel Ports director James McSporran who claimed it was game changer for the dry dock and 100 new skilled jobs.

“Unfortunately, he convinced Scottish Government minister Ivan McKee, council leader Stephen McCabe, MP Ronnie Cowan and MSP Stuart McMillan along with the majority of councillors that supported turning our national asset into a scrapyard.

“No due diligence was done on this fledgling company, and all thought the Inchgreen problem was now removed and their embarrassing failure to challenge Peel Ports strangulation of our national asset."

The winding up of Marine Decommissioning comes after eyebrows were raised earlier this summer when three of the firm’s directors suddenly resigned their positions and the company’s name was abruptly changed.

Inverclycde Council leader Mr McCabe insisted he was not naive to support the failed project.

Councillor McCabe said: “My comments were based on the facts presented at the time by both Atlas and Peel Ports, who own the dry dock.

“We were assured that Peel had done their due diligence on the company and were satisfied they could deliver what they were promising.”

The Labour politician added that the future of the dock was a question for Peel to answer.

He said: “My expectation is that once any legal and contractual issues are resolved Peel will look to lease the dock to other interested parties.

“I understand there is interest in using the dock."

Mr McCabe added: “The failure of Atlas is disappointing but doesn't involve any job losses directly in Inverclyde.

“They were unable to secure any vessels for decommissioning due to changed conditions in the shipping market resulting from Covid.

“The council had no involvement in the commercial contract entered into by Peel Ports with Atlas and no responsibility for the ultimate failure of this venture.”

Inverclyde MSP Stuart McMillan expressed his disappointment that the project had failed but confirmed that he had spoken to other as-yet unnamed businesses and individuals about potential opportunities at Inchgreen.

The SNP man said: “This news is disappointing but let’s not forget that when it was announced that Atlas would be taking on Inchgreen Dry Dock, they were the only show in town.

“Even since then, while there’s been lots of talk about what could be done with the dry dock instead of decommissioning, nothing has materialised.

“That to me demonstrates the scale of the challenge in finding a purpose and business able and willing to make use of the facility."

Mr McMillan added: “All that being said, I meet with businesses and individuals on a weekly basis and often discuss potential opportunities for Inchgreen.

“These conversations have to remain confidential which I appreciate will be frustrating for the community, particularly the [Inchgreen] campaign, but that’s the very nature of business discussions.

“I’m always talking up Inverclyde to businesses and seeking investment, whether from existing local firms or from outside the area, and will continue to do so."

Jim McSporran, Port Director for Peel Ports Clydeport said: “We can confirm the Inchgreen Marine Park on the Clyde has become available for lease following the regrettable liquidation of Marine Decommissioning Services Limited.

"Unfortunately, the company experienced challenging market conditions due to increased container shipping rates and faced a shortage of suitable vessels.

“We remain fully committed to delivering the best possible services at Inchgreen and providing economic opportunities for the local area. We will continue to work with our partners to find an alternative solution.

“Over the years, Peel Ports has made multi-million-pound investments into various operations across the west coast, providing hundreds of direct and indirect jobs for Scotland.

"These include improving the cruise facilities at Greenock Ocean Terminal, and ambitious plans for the former coal port at Hunterston.

“Our facilities are creating opportunities for investment, jobs and skills that will benefit the people and businesses of Scotland.

“We remain fully committed to having Inchgreen Marine Park back in full industrial use, and the ambition is for it to be busy well into the next decade.

"Our doors are always open, and always have been, to any company with a serious, credible and viable proposal to bring this national asset back to life."

Marine Decommissioning Services Limited were contacted for comment by the Telegraph.