Translink has encountered issues in relation to procurement meaning the second phase of the scheme to create a passing loop and improve signalling will not be completed until 2016.
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The Minister said: "Translink have been engaged for some time in a procurement process to carry out the second phase of work to improve the Londonderry to Coleraine rail track. I am very disappointed that this £22million project will now be delayed beyond the end of 2015.
"I have raised with Translink my concerns when they encountered difficulties.
"I fully acknowledge that with schemes of this kind it is very important to ensure the procurement process is carried out appropriately.
"Whilst I am frustrated at the delay I have asked Translink to make this an absolute priority going forward.
"I want to stress that I remain fully committed to this important project."
(CD/JP)
