Don't get me wrong, the balance of the ship itself is decent enough, in a vacuum. Since it's intended to be glass cannon-y for its weight class it's not unworkable.
The REAL problem I see is a comparative one. In terms of cost to obtain/maintain the Wurg is massively more expensive then other, modded, end-game "Super Ships", in particular "massive hull" ones with multiple parts.
As an example, the core of my current fleet is three "Cathedral Hubships" which iirc are from Ships/Weapons pack?
Anyway, these ships spawn in Luddic Church fleets, and can be restored like any other ship.
In terms of performance, I've made them all but invincible, each one can wipe entire Hegemony Kill-Fleets.
This is done by them having makeshift shield generators on each of the modules surrounding the "core" of the ship, which itself has a "normal" omni-shield.
This results in two layers of powerful shielding, on seperate flux pools, and on top of that those ships have good hull and armor values all around, as well as good weapon ouput.
Now these don't have the sheer damage output the Wurg does, but they are far more survivable.
This would all be perfectly fine.
But the Wurg requires a massive cost of rep or money, while those Cathedral ships only require you to be able to take one out and restore it.
This is just one example, and may well be one of the more egregious ones, but I know at least Scalartech has a similar "Dreadnought" type ship with its Gown class, and there are doubtless dozens of other mods with powerful ships of a similar scale.
My issue isn't that the Wurg is "useless", my problem is that it feels comparatively overpriced.
I get that balancing against other mods is a bit of a weird hill to die on, but the "price" of the Wurg has kinda turned me off of trying to find a use for it when there are other, similar options that don't feel like a punishment.
As I noted previously, failing the mission, "paying" the 1 million bounty and even a rep hit would all be fine, but -200 is WAY too severe. I suggest -20 to -50 for the rep hit. I later completed the mission without recovering the Wurg, and got a PLUS 200 boost to rep, which was ALSO insane.
Its perfectly fine to have the bounty mission and all that, and it can definitely make the ship feel more "earned", but the scale of things is just way off here.