The project involves the restoration of historic buildings at the museum, the enhancement of interpretation and displays, and the creation of a new building which will house an exhibition space, café, toilet facilities and information areas.
It will enter a final phase of preliminary works later this week. Project tender documents are also set to be issued to contractors.
Jim Mitchell, from Argyll and Bute-based Industrial Heritage Consulting, and a team from Alloa-based JPS Restoration will lead the works this week to prepare the large objects on display in the museum's Oil Tank to be moved into storage.
Local contractor Heddle Construction will move the displays into storage for the duration of the redevelopment works.
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Exhibits displayed in the Oil Tank include a Neal's Rapid two-ton crane, used at the Lyness Royal Naval Base, and a historic lighthouse lens and mechanism from Cantick Head.
Rachel Boak, Curator with the Arts Museums and Heritage Team, said: "Following the packing up of the wartime collections previously displayed in the pumphouse with the help of volunteers during the winter, this is the last stage of removing historic objects into store before work on the buildings begins.
"We are delighted to be working with Jim Mitchell and JPS Restoration on this part of the project, and grateful for their expertise in moving large and challenging vehicles and machinery."
The project secured funding of £1.155m from The Heritage Lottery Fund along with additional funding from Historic Environment Scotland, Highlands and Islands Enterprise, the Orkney LEADER 2014-2020 programme, Museums Galleries Scotland and Orkney Islands Council.
Peter Diamond, Orkney Islands Council's Head of Education, added: "The renovated museum and visitor centre will be a tremendous asset for Lyness, Hoy and Orkney as a whole.
"As well as being a valuable resource for visitors to our islands, it will help preserve artefacts for current and future generations that tell the remarkable story of Scapa Flow's role as major naval base through the two world wars."
The Museum closed at the end of October last year and will reopen in March 2020 following refurbishments.
(CM/MH)
