A bronze bust of Captain John Quilliam has come second in the 2007 Marsh Award for Public Sculpture.
Captain Quilliam's bust was created by Manxman Bryan Kneale
The statue of the captain, who sailed on Nelson's flagship HMS Victory at Trafalgar, is in Speaker's Garden, near Quilliam's former home in Castletown.
The awards are supported by the Marsh Christian Trust and administered by the Public Monuments and Sculpture Association (PMSA), based in London.
Deer Shelter - a Skyspace for Yorkshire Sculpture Park, won the top prize.
This artwork, in the sculpture park in Wakefield, is a large square chamber with an aperture cut into the roof.
Captain Quilliam's bust was created by Manxman Bryan Kneale, and was unveiled in 2005 to coincide with the 200th anniversary celebrations of Nelson's victory over Napoleon.
The Marsh Award assessor, Dr Elizabeth Norman, called the sculpture "a contemporary commemorative work executed with plenty of vigour and attention to detail and treatment".
"The captain is portrayed as a distinct personality, vividly captured by gesture and posture, and clothed in a uniform meticulously detailed," she added.
The awards will be presented on 22 November at the Courtauld Institute of Art in London.
They are given for public sculptures unveiled within the last 18 months of 30 April each year, or for restorations of historical monuments completed within that time.