The Government of Montserrat has terminated its contract with the main contractor for the island’s EC$107.3 million port development project.
In a statement released on Saturday, the Ministry of Finance and Economic Management confirmed that the decision followed the expiry of the contractual notice period.
“The Ministry of Finance & Economic Management confirms that, following the expiry of the contractual notice period, the contract with the current contractor in respect of the Montserrat Port Development Project has been terminated in accordance with its terms.”
The Ministry said the decision came after a period of engagement, with a focus on ensuring delivery of the project and protecting public funds.
“This decision was not taken lightly. It follows a period of careful and considered engagement, with the Ministry’s priority throughout being to ensure the successful delivery of the Project and the responsible stewardship of public resources.”
The port project, financed with support from the Caribbean Development Bank and the United Kingdom Government, is regarded as a key infrastructure investment for Montserrat. It was originally scheduled for completion in early 2024.
However, construction was halted in early 2024 amid disputes over design and financing. In September 2025, the Government signed an agreement with contractor Meridian Construction to restart the works.
In recent months, officials had indicated that progress remained below expectations and that discussions were ongoing regarding the contractor’s ability to complete the project.
Minister of Built Environment, Lands and Urban Development, Veronica Dorsette-Hector had stated, “And we are not happy with that,” while confirming that oversight involved the Government of Montserrat, the United Kingdom Government and the Caribbean Development Bank.
On March 31, Leader of the Opposition Paul Lewis raised concerns about the project’s status, warning that it appeared to be at risk of another halt.
“I address you not with speculation, but with serious concern—concern rooted in reports that the newly signed contract with Meridian… has once again in serious risk of coming to an abrupt halt.”
He questioned whether the safeguards introduced following the 2024 stoppage had failed.
“What exactly triggered the termination of this agreement? What failures occurred despite the so-called improved safeguards?”
He also highlighted the potential impact on businesses and workers involved in the project.
“What happens now to the businesses that have supplied materials? What happens to the workers who have labored on this project, expecting fair and timely payment?”
“These are not abstract questions. These are real people—families, entrepreneurs, and employees—whose financial stability may now be at risk.”
With the contract now terminated, the Ministry said immediate steps are being taken to secure the site and determine how the project will proceed.
“Our immediate focus is on securing the site and putting in place arrangements to enable the works to progress as efficiently as possible.”
The Ministry added that technical and legal advisers are engaged in assessing the situation and identifying the next steps.
“The Ministry is working closely with its technical and legal advisers to assess the current position and determine the most appropriate route to completion.”
Officials acknowledged the wider implications of delays but reaffirmed their commitment to completing the project.
“We recognise the critical importance of this project and the impact that any delays may have. The Ministry remains committed to delivering the works to the required standard and will provide further updates as appropriate.”
No further details were provided due to the legal context of the termination.
“As this is an ongoing legal matter, it would not be appropriate for the Ministry to comment further at this time.”
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