Pressure test reveals 27 percent cost increase for Suðuroy tunnel project in Faroe Islands

There are significant uncertainties that warrant closer examination before moving forward with the construction of a tunnel to Suðuroy. Concerns have been raised not only by the Landsbanki but also by other stakeholders regarding the initiation of this massive project given the prevailing doubts about costs and economic feasibility.

Landsverk has been requested to conduct a pressure test regarding the projected costs of the Suðuroy tunnel, particularly in comparison to the existing Eastern and Sandoy tunnels. A pressure test serves as a vulnerability assessment, analyzing figures and factors against other tunnel projects.

According to the tunnel company, as reiterated by the Prime Minister, the estimated cost of the Suðuroy tunnel stands at four billion kroner. However, upon conducting the pressure test, Landsverk’s findings suggest the actual expense could approach 4.9 billion kroner—an increase of nearly one billion. This discrepancy translates to a significant 27 percent deviation from initial estimates.

In light of this, further discussions and evaluations are necessary to ensure the project’s financial viability before proceeding.