The Tribune

By NEIL HARTNELL

TRIBUNE Business Editor

nhartnell@tribunemedia.net

MEDITERRANEAN Shipping Company’s (MSC) proposed $400m Billy Cay cruise terminal will be able to handle up to 20,000 passengers per day and is forecast to create up to 320 full-time, and 350 construction, jobs.

The just-released environmental impact assessment (EIA) for the shipping giant’s four-berth facility, located on a man-made industrial site in Freeport Harbour, asserts that it will removal obstacles to Grand Bahama’s “economic competitiveness” as a cruise tourism destination with construction set to start in January 2027 if all necessary permits and approvals are obtained.

The report by Bahamian environmental agency, JSS Consulting, unveiled ahead of the November 2, 2026, public consultation on the project, confirmed that MSC and its Freeport Cruise Terminal affiliate have secured a lease, plus concession rights, over the 54-acre site from Freeport Harbour Company.

The development, which is targeted for full completion in 2029, with the first phase finished a year earlier, will be capable of accommodating the world’s largest Icon and Oasis-class cruise ships at a terminal containing “several planned attractions” divided into categories described as ‘wet’, ‘dry’ and ‘unstructured’ collectively occupying almost three acres.

Retail, dining and entertainment options will cover close to 15 acres, with another significant portion of the Billy Cay site devoted to “green spaces” that MSC Cruises may develop in the future. Similar to how Nassau Cruise Port functions, some 4.2 acres will contain a ground and water transportation hub for ferrying cruise visitors to tours and attractions around Grand Bahama.

The EIA said capacity forecasts suggest up to 160 taxis and 14 50-seat tour buses will be arriving at Billy Cay during peak hours, with MSC’s latest cruise vessels able to carry more than 6,700 passengers and its fleet’s average volumes standing at 4,300 guests. Total annual visitors to Billy Cay are forecast to ultimately reach 3.365m.

“The capital investment for the project has an estimated amount of $400m towards the lease of the Freeport Harbour project area and the development, construction and completion of the project,” the EIA said. “Direct jobs associated with construction works and indirect employment opportunities are anticipated to be generated for the project.

“The approximate number of workers scheduled to work during the construction phase of the project will be approximately 350 persons, hired throughout the different phases of the project.

“Construction labour will be across a dynamic project timeline with initial marine works, following heavy civil and infrastructure works, and vertical build. All construction contracts awarded will be registered with valid GBPA (Grand Bahama Port Authority) business licences,” the EIA, dated June 26, 2026, and revised on October 9, added.

“In terms of labour, the developers will maximise the employment and participation of skilled employment of Bahamians in the construction phases of the project. The percentage of Bahamians to be employed within the Project’s workforce has yet to be determined.”

As for the direct employment impacts when Billy Cay hits full operational capacity, the EIA added: “The operational phase is expected to provide long-term employment opportunities directly for those who will be employed at the cruise terminal and indirectly through partnerships with suppliers, local businesses in tour operations, accommodations, supplies, materials, service parts and transportation.

“During the operational phase, the number of workers scheduled to work during the project is approximately 320 persons. It should be noted that this number is estimated based on peak operational hours, and number may fluctuate during slower seasons throughout the year.

“In terms of labour, The developers will maximise the employment and participation of Bahamians in management and operations of the project and its underlying amenities. The percentage of Bahamians to be employed within the project’s workforce has yet to be determined.”

Together with Carnival’s $600m Celebration Cay destination, which is itself expanding from two to four cruise vessel berths, Billy Cay will take cruise line investment on Grand Bahama to $1bn. And this will likely further increase from Royal Caribbean, which is poised to acquire 50 percent ownership in Sandals, acquiring the former Xanadu resort and associated real estate.

Should these additional projects come to fruition, Grand Bahama’s tourism arrivals are set for a multi-million annual boost of upwards of five to six million. The key now will be to offer these visitors the authentic experiences they are seeking, entice more to leave the private cruise destinations, and increase per capita yields and spending to maximise their economic impact.

“The project is a proposed multi-phase development with a projected long-term arrival throughput of approximately 20,000 passengers per day of operation,” the EIA said.

“The project is anticipated to boost tourism with the construction of a cruise terminal accommodating up to four cruise ships simultaneously. This is expected to bring in 20,000 persons in a day and 3,364,54 persons annually.”

The EIA argued that Freeport and, by extension, Grand Bahama will be denied “the benefit of having a modern cruise terminal” in Freeport if the project does not obtain the necessary approvals to proceed - particularly since Billy Cay would accommodate other cruise lines and not just MSC. It will also put to use a man-made cay created by fill previously dredged from Freeport Harbour.

“The development of a cruise terminal in Freeport seeks to accommodate the growing demand for cruise tourism and enhance economic competitiveness on the island and wider Bahamas,” the report argued.

“With the existing port facilities having a limited berthing capacity and outdated passenger facilities, it is inadequate to handle the growing size of new generation cruise vessels and overall cruise industry expectations.

“This is made more apparent as Grand Bahama is still recovering from the physical and socio-economic damage caused by Hurricane Dorian in 2019. This disaster significantly disrupted cruise tourism operations and negatively affecting businesses and livelihoods that depended on tourism - including transportation providers, restaurants and local vendors.

“The hurricane impacted the infrastructure and sales of tour excursion operators, causing many of them to shut down, leaving very limited guest activities available for tourists to participate in while in Freeport,” the EIA continued.

“The project is intended to establish a world class cruise destination and tourism hub capable of supporting the continued growth of the cruise tourism sector within the economy of Grand Bahama.

“The project is necessary to stimulate sustainable economic development, increase tourism expenditure, create employment opportunities and expand entrepreneurial prospects for the residents of Grand Bahama. It is also designed to enhance the overall visitor experience through the integration of cultural, recreational and commercial amenities that reflect Bahamian heritage and hospitality.

“While there have been operations of private cruise destinations in Grand Bahama, development of this cruise terminal seeks to provide berthing facilities for use by multiple cruise line operators making the destination regain competitiveness within the tourism market, strengthen regional and global connectivity and contribute to long-term economic diversification.”

Detailing MSC’s plans, and those of its Freeport Cruise Terminal subsidiary, which is also an affiliate of the former’s CTL Maritime entity, the EIA added: “The terminal will contain a retail, dining and entertainment district including, among other things, a store and cart area, a local vendors market, restaurants, bars, food stands.”

Also present will be “theme park experiences including, among others, fountains, pools, zip lines, ride attractions; green spaces; a transportation hub including ground and water transportation (marina); restroom;, and back-of-house facilities”.

“The planned commencement date for construction activities of the project is January 2027, under a phased implementation program with progressive openings,” the Billy Cay EIA said.

“The first berth and the initial phase of upland development are expected to be completed by September 2027. Phase one is anticipated to be completed by mid-2028, with full completion of the project expected in 2029.”

Almost one million cruise passengers arrived in Grand Bahama in 2025, due to Celebration Key’s opening, marking the highest number for 54 years - since 2025 - and Billy Cay stands to further boost this performance when it comes to fruition.

The EIA said the project will create full-time posts in areas such as food and beverage; recreation and guest experience; facilities maintenance; retail and restaurant operations; artisans and vendors; port operations; safety and security; excursions, tours and ground transportation; and other off-site attractions.