WORK is continuing on the dramatic £8 million transformation of Ferguson's in Port Glasgow.

The shipyard is undergoing a massive modernisation programme with one fabrication shed next to Newark Castle already torn down and rebuilt.

Work is now continuing on the demolition of other sheds and offices to make way for new, modern buildings.

Upgrading the rundown Port yard was a top priority for owner Jim McColl when the tycoon rescued the company from administration almost 18 months ago.

Ferguson's office staff and the senior management team have temporarily moved into the £1m Scarlow House Business Centre just along the road in the Port town centre while work continues at the yard.

Video by George Munro.