Ports & destinations

Maltese authorities give green light to Covid-19 Cruise Operations Guidelines

Details: Written by Teijo Niemelä Teijo Niemelä; Category: Ports & Destinations Ports & Destinations; Published: 23 March 2021 23 March 2021

Valletta Cruise Port together with local authorities and partners has worked on Covid-19 Cruise Operations Guidelines for a Safe Continuation of Cruising in Valletta with the aim of facilitating operations in this transitional phase. These operating guidelines have been prepared and forwarded to the health authorities, with approval received last week.

The guideline document establishes, embodies and merges Valletta Cruise Port’s operational plans, procedures and guidelines with cruise line protocols to ascertain the safe continuation of cruising. The compilation of these guidelines is based on the results of facility assessments within the context of recent and current regional events brought about by the pandemic.

Any future calls to Malta must embody these guidelines. Valletta Cruise Port is looking forward to receiving the cruise lines’ own protocols reflecting these guidelines for prompt approval by the local authorities.

Stephen Xuereb, CEO of Valletta Cruise Port and COO of Global Ports Holding commented, “It has been a challenging time for the cruise community, but the industry is clearly inching closer to a restart. After months of discussions with numerous stakeholders we are happy to be sharing these guidelines with the cruise lines and look forward to welcoming cruise ships, their guests and crew to Valletta.”

As part of Global Ports Holdings (GPH), Valletta Cruise Port commenced preparations for the post-Covid cruising reality way back in January 2020, at the first sightings of the pandemic. The actions taken were to revise the Emergency Response Plans and the Health and Safety Protocols for all of the 19 ports forming part of the GPH network, inclusive of Valletta Cruise Port. In addition, Valletta Cruise Port obtained the Safe Travels stamp from the World Travel and Tourism Council, based on the reinforced protocols. This process meant that Valletta Cruise Port was well prepared to welcome back the first cruise calls last August, with cruise calls ongoing weekly since then.

Furthermore, Valletta Cruise is supporting a €49.9 million initiative spearheaded by Infrastructure Malta and Transport Malta to develop shore-side electricity infrastructure. The first of this two-phased project includes a €37 million investment to provide shore power on the five main cruise ship quays of the Grand Harbour by the end of 2023. Excavation works have commenced for the underground electricity cables that will distribute electricity from an existing distribution centre to the quays at Valletta’s Grand Harbour. Each quay will be supplied with shore-side transformers and shore-to-ship connection panels that enable ships to turn off their combustion engines and switch to electrical power as soon as they berth. To this effect works are currently in progress on Quays Pinto 4-5.

Bodrum Cruise Port hosts Viking Sea

Details: Written by Teijo Niemelä Teijo Niemelä; Category: Ports & Destinations Ports & Destinations; Published: 18 March 2021 18 March 2021

On March 13th, Bodrum Cruise Port welcomed Viking Cruises’ Viking Sea. With its strategic location in the Aegean, state-of-the-art terminal facility, transportation facility as well as security and auxillary services, Bodrum Cruise Port has become the choice of the cruise company.

The first cruise ship of the season, Viking Sea, came to Bodrum, Turkey for provisions and crew. The ship, which suspended its voyages with the pandemic, accepted a crew of 90 from various parts of the world, at Bodrum Cruise Port to prepare for the upcoming cruise season.

Viking Sea’s crew arrived one by one with buses. They boarded the ship after their temperature checks, all the while in accordance with the social distancing guidelines. The GPH Health, Safety and Environment Protocol, which includes Covid-19 measures, was implemented during the operation process. Within the framework of the measures taken, the crew's luggage were disinfected and taken to the terminal building. Everyone involved in the operation followed the same rules.

Haluk Hızlan, General Manager of Bodrum Cruise Port; “The Viking Sea call is an indication that the cruise industry, which has been affected by Covid-19 since 2020, is slowly starting to revive. Today, we have taken all necessary precautions in cooperation with the officials of the General Directorate of Border and Coast, Bodrum Port Authority, Bodrum Marine Police and Bodrum Customs Directorate. The successful operation will also be an important reference for future calls. Thanks to the startegic location of Turkey, its air connectivity and ease of visa application, I believe that we will see many more calls to Bodrum, as well as the other Turkish cruise ports.”

Irfan Tuncay, CEO of Istanbul Shipping and the official agent of Viking Cruises commented, “We have safely brought the crew of Viking Sea to Bodrum Cruise Port where all regulations in line with the Health and Safety measures required by the Ministry of Transportation and Infrastructure were implemented. After the provisions supply, disinfection of the luggages, the crew of Viking Sea boarded the ship. We look forward to welcome many more ships to all the ports of Turkey in the upcoming days for technical and cruise calls.”

Viking Sea, which has been waiting at anchor in Trieste, Italy for a long time, went to Limassol port after getting its crew and supplies from Bodrum. Viking Sea, built in 2016, has a capacity of 930 passengers.

Bodrum Cruise Port received the "Safe Travels" certificate issued by the WTTC (World Travel and Tourism Council) in 2020. As a Global Ports Holding port, GPH implements all necessary health, safety and environmental protocols.

Global Ports Holding seals cargo facility exit, to refinance bond

Details: Written by Kari Reinikainen Kari Reinikainen; Category: Ports & Destinations Ports & Destinations; Published: 26 January 2021 26 January 2021

Global Ports Holding (GPH), the Istanbul based company that is the world’s largest cruise port operator, said its sale of the Port Akdeniz cargo facility has been approved by Turkish authorities.

It was the final cargo facility of GPH and the sale, which was unveiled in October, forms part of its plans to refinance a bond of €250 million.

“As previously announced, the agreed enterprise value for the sale was $140 million, and the equity value for GPH after deducting net debt and debt-like items of Port Akdeniz as at closing is $115 million,” the company said in a statement

GPH will become a more geographically diversified business, with Turkey representing a significantly reduced proportion of its revenuein the future.

“Revenue from Turkish assets represented 47.0% of Group revenue in the year ended 31 December 2019; following the disposal of Port Akdeniz, revenue from remaining Turkish assets represent c10% of 2019 pro-forma revenues,” GPH said.

The disposal also means that GPH will now effectively be a pure-play global cruise port operator. The GPH Board and senior management will now focus time and resources on the restart of cruise port operations during 2021 and continued expansion in the global cruise port market.

On 7 January, GPH announced that its wholly owned subsidiary Global Liman İsletmeleri A.S. had published a refinancing proposal to the holders of its $250 million, 8.125% Senior Unsecured Notes due 2021. This proposal aims to address the upcoming maturity and provide the business with a more stable, deleveraged capital structure.

The successful closing of the sale of Port Akdeniz is an essential element of the group's refinancing strategy for the Eurobond, with the net cash proceeds being used to fund a cash option to noteholders pursuant to the proposal, it said.

Photo: St John's in Antigua is one the ports GPH operates in the Caribbean

Antigua Cruise Port completes $30 million pier

Details: Written by Teijo Niemelä Teijo Niemelä; Category: Ports & Destinations Ports & Destinations; Published: 16 February 2021 16 February 2021

Antigua Cruise Port has completed construction of the fifth berth, which is the newest pier at St John’s Port. This momentous $30 million investment, which was undertaken before the Covid-19 pandemic spread across the world, was finalized in November 2020 despite minimal interruption created by the unwelcome virus. The pier work was part of the $80 million agreement signed in 2019 between Global Ports Holding and the Government of Antigua and Barbuda to redevelop the cruise complex. The new pier and the entire redevelopment will generate significant economic and other benefits for the tourism sector and for the entire country upon the return of sailing.

“Global Ports Holding has successfully delivered on its commitment to complete the fifth berth and has repaid $21 million of debt on behalf of the government, which was tied to the construction of the Nevis Street Pier,” said Dona Regis-Prosper, General Manager of Antigua Cruise Port (above). “We were especially thrilled to have maintained our construction timeline and finalized the pier project during the pandemic. Our construction team, port employees, and other partners worked tirelessly to ensure that we remained on schedule and finished the job. We are very excited about the results.”

“Completing this pier was a huge priority for us,” said Mehmet Kutman, Chairman of Global Ports Holding. “As we expand our presence across the Caribbean, it is of the utmost importance that we follow through on our commitments to the destinations we serve. We believe in the Antigua tourism product and are pleased to have a very positive working relationship with the Government, which has made this project much easier for us to complete. My sincere thanks to Dona and the entire team at Antigua Cruise Port, to Meridian Construction, and to all our port partners for making this project a success.”

Regis-Prosper noted that conversations between Antigua Cruise Port and its cruise partners have increased now that the fifth berth is ready. “Our booking rates for the second half of 2021 and for 2022 are on the rise. Now that the cruise lines are aware that there is more berth space in Antigua, we are receiving more bookings from cruise lines that want to offer itineraries that include our destination. This includes calls with Royal Caribbean, who are very interested in bringing passengers here on Oasis Class ships now that the fifth berth can accommodate these massive vessels. Based on our current projections, we estimate that some 285,000 passengers could visit Antigua between October and December of 2021, depending on when cruising resumes.”

With this information, Antigua Cruise Port is collaborating with the Government to develop new health protocols for the port to support the robust health and safety measures that were implemented at the start of the pandemic. “We want everyone to know that our port and our destination are safe to visit based on the highest global standards of cleanliness and COVID-19 precautions.” Regis noted.

“We have also commenced discussions with cruise lines that have not historically called on Antigua but are interested in coming here based on what we have created and on our plans for further redevelopment of the cruise complex,” she added. “This new business will complement our plan to convert Antigua Cruise Port into a home port by 2023, an idea which has piqued the interest of several major cruise lines.”

“Our next area of focus is the $2 million uplift of the Heritage Quay Shopping Mall and the $25 million commercial development at Pointe. This expansion will create more opportunities for local entrepreneurs, which will, by extension, make a significant impact on the community. The existing tenants of the shopping complex will, of course, be given priority.”

Galveston Wharves cruise business generated $1.6 billion economic impact statewide in 2019

Details: Written by Teijo Niemelä Teijo Niemelä; Category: Ports & Destinations Ports & Destinations; Published: 08 December 2020 08 December 2020

Galveston Wharves cruise activity in 2019 had a $1.6 billion economic impact in Texas and showed growth in all areas, including jobs and spending, compared to 2018.

Rodger Rees, Galveston Wharves port director and CEO, “These newly released economic impact numbers remind us that the eventual resumption of cruising will be essential to boosting our regional and state economic recovery.”

As it does each year, the Cruise Lines International Association (CLIA) released its annual report on the cruise industry’s impact on the U.S. economy in November. Cruise activity was suspended in March 2020 as part of a global response to the pandemic. Pre-pandemic, the cruise industry generated $55.5 billion in economic activity in the United States, a 5.3 percent increase from 2018.

Strong economic growth in 2019

As the fourth most popular cruise port in North America and only cruise port in Texas, Galveston’s cruise activity contributes significantly to state and regional economies.

Rees said that Galveston’s cruise business showed growth in all areas when comparing 2019 to 2018:

– $1.6 billion in cruise industry direct expenditures – up 6.5 percent
– 1.1 million passenger embarkations – 14 percent higher
– 1.3 million passenger and crew onshore visits – up 11 percent
– $125 million in passenger and crew onshore spending – 9 percent higher
– 26,900 employment impact statewide – a 2.5 percent increase
– $1.8 million in wages statewide – up almost 3 percent

According to the report, Texas ranks third behind Florida and California in total direct expenditures, employment and wage impacts.

Return to cruising

While cruise operations remain suspended in the United States, the Galveston Wharves is working with cruise industry leaders and local business and community partners for the safe, sustainable resumption of cruising in 2021.

Rees said, “With thousands of jobs at stake, cruising with appropriate measures in place and with the support of health authorities will be critical to putting people back to work and fueling the broader economic recovery.”

Rees added that Galveston’s cruise business generates about 65 percent of the port’s annual revenue, allowing the port to reinvest in business growth and infrastructure improvements to generate more jobs, expand its cargo business and other economic benefits for the Galveston region.