KiwiRail Cook Strait ferry replacement

The story so far

KiwiRail has made a final $144 million payment to Hyundai Mipo Dockyard to settle the cancelled Project iRex ferry contract.^{15 Aug 2025} This payment follows an earlier $78 million payment to the shipyard, and the total cost of breaking the contract is now more than $600 million.^{15 Aug 2025} The Government has since chosen a preferred shipyard to build two new Cook Strait ferries, expected to arrive in 2029.^{3 Sep 2025} Ferry Holdings narrowed a shortlist of six shipyards down to one for the new ferries.^{3 Sep 2025}

Latest

The Government has named a preferred shipyard to build two new Cook Strait ferries, after narrowing a shortlist of six.^{3 Sep 2025}

What's next

A final deal with the preferred shipyard is expected to be signed by the end of the year.^{3 Sep 2025}

Key moments

1. 15 Aug 2025KiwiRail makes final $144 million payment to Hyundai Mipo Dockyard
2. 15 Aug 2025Total cost of breaking the South Korean ferry contract exceeds $600 million
3. 3 Sep 2025Preferred shipyard selected to build two new Cook Strait ferries

Written from the stories below; each sentence links to its sources.