The Government of New Zealand has established a new company to procure two new ferries between the country’s North and South Islands. 

The two new ferries, scheduled for service in 2029, will replace the current three-vessel Interislander fleet at the end of their operational lifespan. This follows the formation of a new company after KiwiRail canceled the Inter-Island Resilient Connection (iREX) project due to the New Zealand government's refusal to provide additional funding in 2023. The iREX initiative aimed to deliver two rail-enabled ferries by 2026. 

The cost of Project iRex has surged from NZ$775 million (US$449 million) to over NZ$3 billion (US$1.74 billion), potentially reaching NZ$4 billion (US$2.32 billion), highlighting significant mismanagement. In response, the government has opted to secure the future of Cook Strait ferry services by committing to procuring two brand-new vessels.