Miami's Port to Issue Bond to Pay Debt, Fund Tunnel Project

MarineLink.com
Tuesday, April 08, 2014

The port of Miami's total debt is set to pass $1 billion after Miami-Dade County commissioners approved a $225 million bond offering on Tuesday to meet existing lending agreements and pay the balance on a nearly finished underground tunnel connecting the island-port to nearby highways.

Auditors in March found a potential $1.6 million gap in the port's future payments toward its mounting debt stemming from an incentive to lure a new cruise ship into harbor last year, Deputy Mayor Ed Marquez told commissioners on Tuesday.

He noted ratings agency Moody's said on Friday the seaport's rating would not be impacted due to healthy reserves and strong revenue.

The port has $30 million in reserves, PortMiami Director Juan Kuryla told commissioners.

PortMiami over the past decade embarked on a more than $2 billion building spree, hoping to make Miami a more attractive choice for global shippers looking to distribute goods to the U.S. market.

With a deep dredge, larger cranes and upgraded facilities the port will be able to handle "Post-Panamax" ships that carry two or three times the load of standard freighters once the Panama Canal expansion opens in 2016.

Other deep water East Coast ports, including Baltimore, Norfolk, and New York, are already able to accommodate the massive ships.

Miami is the only port south of Norfolk, Virginia, with congressional authorization to dredge to 50 feet (15 meters). Other cities such as Charleston, Savannah and New Orleans are rushing to get hundreds of millions of dollars of projects funded and underway in time for the opening.

Moody's last year downgraded PortMiami's rating to A3, four levels above junk, while Fitch assigned it an 'A' rating, two levels away from non-investment grade.

While the port has staked its financial future on its ability to attract larger container ship from Asia, it is also facing challenges over plans to develop a portion of its land adjacent to waters too shallow for any maritime use.

Retired English football star David Beckham, recently awarded a Miami franchise by Major League Soccer, is on a high-profile campaign to build a 25,000-seat open-air stadium.

The port's recently approved master plan, however, calls for the development of more than 7 million square feet of convention, hotel and office space on the same site.

(By Zachary Fagenson; Editing by David Adams and Lisa Shumaker)

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter April 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Chevron Suffers Loss, Plans Job Cuts

Chevron Corp. reported a first-quarter loss as slumping oil prices continued to drag down revenue. The company said that it is "on target" to lay off a total of 8000 workers by the end of 2016,

China COSCO to be First through the Expanded Panama Canal

China COSCO Shipping has won the draw for its container vessel Andronikos to make the ceremonial first transit through the Expanded Panama Canal during the waterway’s inauguration on Sunday, June 26.

Sellick Equipment to Open New Facility

On April, 20, 2016, at the young age of 97 years, Walter Sellick along with sons Howard Sellick - President, David Sellick - Vice President and grandson Colin Sellick - Systems Manager,

Ports

Blacklisted Tanker Returns to Libya's Zawiya Port

A tanker that Libya's rival eastern government had been using to try to export oil in defiance of the Western-backed administration in Tripoli returned to the country on Saturday,

Lerwick Harbor sees Seasonal Boost

The opening of the offshore season in northern waters has seen specialist oil industry vessels return to Lerwick Harbor during April to support subsea development projects.

Cory Brothers Opens in Amsterdam Port

Cory Brothers Shipping Agency is delighted to announce the opening of Cory Brothers (The Netherlands) BV, in the port of Amsterdam, servicing the ARA range. The

Finance

ExxonMobil 1Q Profits Plunge 63%

Highlights   * Earnings of $1.8 billion decreased 63 percent from the first quarter of 2015.   * Earnings per share were $0.43 assuming dilution.   * Cash

Shipping, Key Ingredient of EU’s Africa Agenda

The African economy has become one of the most promising global growth markets. Shipping is taking care of the largest part of international trade and in Africa

Ocean Economy Set to Double in Size by 2030

The world’s oceans must be managed well to ensure the potential of an “ocean economy” that was worth US $ 1.5 trillion in 2010.   "Calculations based on the

News

Blacklisted Tanker Returns to Libya's Zawiya Port

A tanker that Libya's rival eastern government had been using to try to export oil in defiance of the Western-backed administration in Tripoli returned to the country on Saturday,

Lerwick Harbor sees Seasonal Boost

The opening of the offshore season in northern waters has seen specialist oil industry vessels return to Lerwick Harbor during April to support subsea development projects.

Cory Brothers Opens in Amsterdam Port

Cory Brothers Shipping Agency is delighted to announce the opening of Cory Brothers (The Netherlands) BV, in the port of Amsterdam, servicing the ARA range. The

 
 
Maritime Contracts Maritime Security Maritime Standards Navigation Port Authority Ship Electronics Ship Repair Ship Simulators Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1296 sec (8 req/sec)