Road Town, Tortola - Premier and Minister of Finance Honourable Ralph T. O’Neal, OBE today announced that Government has terminated the contract with Carimex LLC for the construction of the new Peebles Hospital.

The Premier said, “This termination is due to Carimex LLC’s failure to provide an adequate performance security as required under the contract, and their failure to address defects in the standard of workmanship of the mechanical, electrical, plumbing, medical gases and the safety installations.”

Premier O’Neal said he signed the notice of termination on April 15 which was served on Carimex LLC the same day following an April 14 Cabinet decision to terminate the contract.

“This is not a decision which has been arrived at lightly. Government has taken this course of action because it is believed this is the only approach that will ensure the timely completion of a high-quality hospital facility for the people of the British Virgin Islands,” the Premier explained.

The Premier also reported that the Project Management Team is in the process of “mobilising an Action Plan to ensure that work can begin as soon as possible, in order to finish the partially completed hospital building to international accreditation standards.”

Government has since engaged Arup USA, Inc. Corporated, one of the world’s leading engineering firms in the healthcare sector, to assess the current situation and to recommend corrective measures which will address any identified defective works.

Carimex LLC has 14 days from April 15 to vacate the Peebles Hospital site after which Government will take possession of the site and physical work will recommence.

In his statement the Premier reassured the public that he will be closely monitoring the situation to ensure that no unnecessary delays occur and he extended his appreciativeness for the public’s cooperation and patience at this time.

Government remains steadfast in its commitment to provide the people of the Territory with a world-class hospital facility.