An American company set to create nearly 600 jobs in Prestwick has provided an update on their plans in South Ayrshire.
At the end of 2022, it was announced that Mangata Networks, a satellite-enabled cloud services company, had chosen Prestwick as the location for its research and development activities, as well as satellite manufacturing, space systems and core network operations.
It was reported that the move would create around 575 jobs – with other jobs supported indirectly – as part of Mangata's state-of-the-art engineering and operations hub for satellite manufacturing and operations.
Earlier this month, fears had been raised by locals that the project may not be going ahead as planned.
The Advertiser was told that though the early stages of development appeared to have started at the site, there had been little movement, if any, over the past few months.
A source, who had been "excited" about the creation of the hub, expressed concern that the project might have been cancelled given the initially provided timeline for the completion of works.
Construction was set to begin in early 2023, with manufacturing and operations teams due to move in in late 2024.
The source added that they believed this now seemed unlikely.
After being questioned on the project, Mangata has now provided an update on the Prestwick hub.
They confirmed the project is still going ahead, however, it appears to have been delayed.
READ MORE: Space industry to set up 600 new jobs in Prestwick
A company spokesperson said: "The Mangata space engineering hub in Prestwick is progressing.
"We are finalising the details of the building design and costs over the coming months anticipating the start of construction later this year.
"The Government of Scotland continues to be of great support in moving this project along within the objectives of the business.
"We are fully committed to this project and to the people of Scotland."
The hub will be built at the Prestwick International Aerospace Park, as part of the Ayrshire Growth Deal.
An assistive funding package from public sector partners, totalling over £83.7million, is also set to support the creation of the hub - with investment provided from Scottish Enterprise, the Scottish Government, the UK Government and South Ayrshire Council.
This funding comprises £54.5m from Scottish Enterprise and £29.2m from the Ayrshire Growth Deal provided on commercial terms that will see this funding repaid over the next 15 years.
Responding to concerns that the project had been cancelled, South Ayrshire Council provided an explanation for the delay.
A spokesperson commented: "As with other Ayrshire Growth Deal projects, the Aerospace and Space Programme is facing continued cost pressures as a result of the cost-of-living crisis.
"We are working within defined budgets to ensure public money is being spent appropriately, while making sure that projects deliver benefits for communities and enhance the regional attractiveness for further investments.
"Significant work is also being carried out to define the scope and requirements of projects to meet current and future needs of the aerospace space sector."
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