The Government's attempt to broker a settlement to the dispute over the controversial Corrib gas pipeline has failed.
Minister for Natural Resources Noel Dempsey had appointed trade union official Peter Cassells as an independent mediator to oversee talks between Shell and the so-called Rossport Five.
The five Co Mayo men spent more than 90 days in prison last year for refusing to obey a court injunction ordering them to stop obstructing work on the pipeline.
Mr Cassels announced today that his attempts to broker a deal between the two sides had failed, despite seven months of intensive discussions.
He also said agreement was unlikely in the foreseeable future due to the differences between Shell and the local residents.
Mr Cassells is now preparing a report on the situation that he plans to deliver within the next two weeks.
It will cover the issues raised by the parties and make a comprehensive set of recommendations on a possible way forward.