The cost of fixing the stability problems and fitting Charles Upham out for troop and vehicle transport was prohibitive, and the work was postponed.

[3] The propulsion system consists of a MaK M 453AK diesel motor, which supplied 4,890 horsepower (3,650 kW) to a single controllable-pitch propeller.

[8] Such a ship would be used to support the defence and foreign policies of the New Zealand government, particularly in the South Pacific region by providing sealift for the New Zealand Army's Ready Reaction Force (RRF), with secondary roles including disaster relief, civil defence, Antarctic supply, and United Nations operations.

[11] In researching New Zealand defence acquisitions, Peter Greener claims he can find no clear reason for Union Rotorua to be dropped, but identifies the size of the 205-metre (673 ft) ship, which would have been by far the largest vessel ever operated by the RNZN, and the gas-turbine propulsion system, which was due for overhaul, as factors.

[12] In October 1992, around the same time as the second revision or Rugg and Co's list, shipyards in Spain, Korea, and Poland were asked about the cost of new-build vessels.

[12] The Australian government offered to lease or sell the Royal Australian Navy's heavy lift ship, HMAS Tobruk, to the New Zealanders in late 1993; although the offer was responded to favourably, it was rejected because of the lower cargo capacity and higher personnel requirement compared to the Mercandian design, despite Tobruk's capability for beach landings.

[3][5] Before entering operational service, she was fitted with naval communications equipment, along with four 12.7-millimetre (0.50 in) machine guns and two SRBOC Mark 36 launchers for self-defence, and increased accommodation facilities.

[1][4] Other alterations planned as part of this conversion included the installation of a flight deck and facilities for two mid-size helicopters, and an increase in soldier accommodation by 100, bringing the number of available berths for ship's personnel and passengers to 215.

[4] Cargo unloading capability at undeveloped or damaged wharves was also found to be poor, with cranes unable to be fitted because they would further compromise stability, and container forklifts were too heavy for the ship's 17-tonne (17-long-ton; 19-short-ton)-per-axle deck weight limit.

[17] The ship was berthed at Devonport Naval Base until the problems could be addressed; this was slow in coming, and by June 1997, Charles Upham was being referred to as "the Calliope South Windbreak".

[18] Delays included a reassessment of Defence finances and operational requirements prioritising spending on the Army, and government calls for an independent report into the ship's acquisition and suitability for conversion.

[3] On 12 May 1998, Charles Upham sailed on a bareboat charter to Spanish company Contenemar SA, where she was used to transport oranges and lemons around the Mediterranean.

[20] To counter the claims being made by the Alliance Party and sections of the media, the Audit Office compiled an internal report in September commenting on the allegations, along with other advice received by the government relating to the ship.

[22] Despite this, the Cabinet agreed in April 2001 to a proposal that called for the sale of Charles Upham once her Spanish charter ended, and address the reacquisition of sealift capability at the same time as the replacement for the frigate HMNZS Canterbury (F421).

[13][24] The RNZN then sought to acquire sealift capability through Project Protector, resulting in the acquisition of the multi-role vessel HMNZS Canterbury (L421) in 2007.