Services were suspended when the Solidor Five had engine problems

The company suspended its services to Jersey last month after its vessel, Solidor Five, suffered engine problems.

The firm said it could not afford a replacement boat on the loss-making route to France.

Economic Development Minister, Senator Philip Ozouf, said progress was being made following meetings with Emeraude's parent group, the Sogestran Group.

Market reviews

Emeraude has sustained heavy losses on the Jersey to St Malo route for the past two years.

It blames the opening up of the route to competition with Condor Ferries in March 2003 for its problems.

Senator Ozouf said: "They explained that various lessons have been learnt from the experience of the last couple of years.

"They have carried out market reviews and various options are in the process of being discussed with their board in France.

"My department will do all it can to secure their return to the route on a level playing field basis.

"But at the same time I recognise, and I think we all must, the continuing service on the route by Condor."

He said a decision on sea transport policy would be made by the end of February.

Emeraude said, before Christmas, the days of competing to have the fastest and the biggest - and so the most expensive - vessel were over.

It said that, in future, any decisions on a new choice of boat had to be made with profit in mind.