MV Gallipoli, plagued by controversy and delays, almost ready for the water

The MV Gallipoli, following a 16-month, $10-million ordeal, could once again be transporting passengers, freight and vehicles on the Ramea-Grey River-Burgeo ferry run in the coming days.

"We're looking at in the next week or two," Transportation Minister Steve Crocker said Thursday.

It would bring an end to more than a year of controversy and cost escalations that included an unusual mishap, the termination of a contract, and the eventual bankruptcy of Burry's Shipyard in Clarenville.

"We were left with a situation last year, an incident, that put us in a place where nobody would have wanted to be. Us or the yard in Clarenville," said Crocker.

An extensive overhaul has now been completed at NewDock in St. John's, the recertfication process is underway, and the Gallipoli's lifespan has been extended by 20 to 30 years, said the minister.

The engines have been rebuilt, a new thruster installed, steel repairs have been completed, a new elevator will improve accessibility, and there have been various other cosmetic upgrades, including a fresh coat of paint and new flooring.

"We're confident that it will be a good return on investment when we look at extending the life of the vessel," said Crocker.

$3M in damages

The Gallipoli, a 47-metre provincially owned ferry, was built in 1986. It carried just under 20,000 passengers and roughly 8,300 vehicles in 2016, and cost the province nearly $3.7 million to operate, with two crews of eight.

It came out of service on Sept. 5, 2017, to begin what was supposed to be a 90-day refit at Burry's Shipyard.

The original contract was for work such as inspections, painting, steel repairs and other routine maintenance, with the province expecting to spend about $1.57 million.

But the work was beset by complications from the outset, first with the unexpected discovery of extensive steel corrosion that drove up the cost to around $3.5 million, and threw off the schedule.

And controversy erupted in February 2018 when the marine railway being used to ease the 611-gross-tonne vessel back into the water failed, leaving the Gallipoli stalled and damaged at the water's edge.

The incident destroyed a thruster and led to significant water damage throughout the vessel, and a repair bill of $3 million that will be covered by the yard's insurance policy.

Three months later, government terminated the contract with Burry's, and had the vessel towed to NewDock in St. John's, expecting to spend less than $2 million to have the work completed.

But more problems resulted in overruns of about $1.7 million, bringing the total cost to more than $10 million.

"You bring a vessel in this size … you're always going to find that there are budgetary increases, and especially if you look at the extent of the work we've done on this vessel," said Crocker.

In October, Burry's Shipyard was declared bankrupt, with documents indicating the Gallipoli controversy was one of three events that significantly affected the financial position of the company.

Crocker denies the province made a mistake by awarding the original contract to Burry's.

"When you do a public tender there are certain boxes you need to check to make sure that the tender is valid. And all of that procedure was followed," he said.

Meanwhile, the smaller MV Sound of Islay continues to serve the roughly 450 residents of Ramea and Grey River.

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