Stalled plans to develop America’s largest observation wheel have been given a lifeline after New York Wheel's developer announced negotiations with a new contractor to take over the beleaguered project.

Originally scheduled for early 2017, the 630ft (192m) high development was pushed back to mid- and then late 2017, with the US$580m (€503m, £442m) wheel then delayed until April 2018 thanks to a “complicated engineering process”.

The project was then put completely on hold last month after developer NY Wheel ended its working arrangement with contractor Mammoet-Starneth, citing its “inability” to meet development deadlines.

“NY Wheel is in advanced negotiation with American Bridge Company, the builder of the Queensferry Crossing, Las Vegas High Roller Observation Wheel and the new Tappan Zee Bridge, to take over and complete the erection of the New York Wheel,” said a statement from the developer to Attractions Management.

“As part of that transition, the cranes previously provided by Mammoet are not required and will be removed from the project site in order to make way for replacement equipment. Work on the Terminal building continues. NY Wheel expects to announce a new completion date in the near future.”

Featuring 36 capsules and able to accommodate 30,000 visitors a day, the climate-controlled cabins are slated to include permanent bar cars and a 20-seat dining car. Construction is at an advanced stage, with the wheel’s concrete foundations now in place and its supporting legs already delivered to the site.

The world's tallest Ferris Wheel is currently the 548ft (167m) High Roller in Las Vegas, Nevada, but this will soon be overtaken by the Ain Dubai: a 689 ft (210m) attraction on the emirate's Bluewaters Island. That project has been assembled by two of the world’s largest cranes.