The ‘HySeas III’ development is expected to cost around €12.6m — just over £11m — of which €9.3m has been awarded by a research and innovation fund set up by the EU.

Also involved in the project are the University of St Andrews, Orkney Islands Council and marine and aerospace companies from Norway, Denmark, France and Belgium.

The hydrogen ferry will be another exclusive for the yard following the launch of the first battery hybrid vessel, MV Hallaig, in 2012 and the dual-fuel Glen Sannox — a first for the UK — last year.