Presentation for the Illinois Farm Bureau
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1 Presentation for the Illinois Farm Bureau August 31,
2 Gulf of Mexico Pelican Island Bolivar Roads Anchorage Area Bolivar Peninsula Galveston Causeway Bridge to Pelican Island Gulf Copper Drydock & Rig Repair View Looking West From Pier 15 2
3 Gulf of Mexico Pier 37 Pier Pier 41 View Looking East from Gulf Sulfur Services Terminal Cruise Terminals Pier Ro-Ro and Wind Energy Cargo 3
4 TOTAL ECONOMIC IMPACT 12,878 Texas jobs are in some way related to the port Of the 12,878 jobs held by Texas residents: 3,042 jobs are directly generated by activities at the public and private marine terminals 3,329 jobs (induced jobs) are supported by the local purchases of the 3,042 individuals directly generated by port activity. An additional 3,479 indirect jobs were generated due to $289.8 million of purchases in the local and regional economy by firms providing direct cargo handling and vessel services. An additional 3,029 Texas jobs are related to cargo imported and exported via the public and private marine terminals. These jobs are with local and state steel fabrication companies, firms using and producing break bulk cargo and dry and liquid bulk cargo moving via the Port of Galveston. * 2011 Martin and Associates Economic Study TOTAL ECONOMIC IMPACT In 2011, Marine Cargo activity at the public and private marine terminals and cruise activity at the Port of Galveston generated $3.1 billion of economic activity in the State of Texas A total of $52.6 million in direct, induced and indirect state and local tax revenue was generated by cargo and cruise maritime activity at the public and private terminals within the Port of Galveston and along the Galveston Ship Channel In addition, $24.5 million of state and local taxes were created due to the economic activity of the related users of the cargo moving via the public and private marine terminals. The total impact of the related port users is $77.1 million * 2011 Martin and Associates Economic Study 4
5 ECONOMIC IMPACT - CRUISE Second fastest growing cruise port in 2012, fourth busiest in the U.S., seventh busiest cruise homeport in the world In 2012, Texas saw $1.24 billion in direct spending, accounting for 6.3% of the cruise industry s overall spending nationwide. The state ranks third in economic impact among states from the U.S. cruise industry In 2013, 1.2 million cruise passengers visited Galveston The cruise industry employed almost 20,000 residents, contributing nearly $1.1 billion in total income Cruise activity generated $42.3 million in passengers on shore spending (Park Board Study) Cruise-related spending at the Port of Galveston totaled $11.4 million, including parking, ship fees, water, porter, security, and utilities services. Cruise passengers spending on shore accommodations tallied $13.5 million. (Park Board Study) STATISTICAL INFORMATION ANNUAL TONNAGE: 7.83 Million Tons (average since 2006) CARGO TYPES (Import and Export) : Bulk Grains - Exports Bulk Fertilizers - Imports Bulk Liquids - Imports, Exports and Domestic Transfers / Terminal Ops Ro-Ro Cargo / High & Heavy / Ag and Construction / New and Used Vehicles I & E Military Cargo and Household Goods Imports and some Exports Refrigerated Fruit and Produce - Imports General Cargo / Liner Board / Steel / Wind Energy / Project Cargo I & E Refrigerated and Miscellaneous Containers Imports and some Exports Livestock - Exports 5
6 STATISTICAL INFORMATION Total 2014 Operating Revenue $26.9M Dockage $5.9M Rentals $3.4M Passengers $5.2M Wharfage $2.9M Parking $4.7M Ship Service Revenues $3.2M Rail & Switching $0.7M Security Cost Recovery $0.6M All Other $0.3M CRUISE INDUSTRY 6
7 CRUISE NEWS 4 th Busiest cruise port in the United States Year Round Home Port to: Carnival Cruise Lines Carnival Magic Carnival Cruise Lines Carnival Triumph Carnival Cruise Lines Carnival Freedom (Commencing February 2015) Royal Caribbean International s Navigator of the Seas** and in 2015 Navigator will be replaced by Liberty of the Seas, a larger ship Seasonal Home Port to: Disney Cruise Line s Disney Wonder * (September 2013 to January 2014 and November 2015 thru December 2015 ) Galveston Ships will carry over 1.2 million passengers annually from Texas * New in 2013, Replacing Disney Magic ** New in 2013, Replacing Mariner of the Seas Pier 15 7
8 ADM Export Grain Elevator Pier CHS, Inc. Fertilizer Terminal Pier 35 / 36 8
9 CHS, Inc. Fertilizer Terminal Pier 35 / 36 9
10 Livestock Carrier at Pier 34 Terminal Wind Energy Cargo Rail Storage Yard Grain Ship Loading at Pier 31 Cattle Chute Used Containers Livestock Carrier at Pier 34 Terminal Livestock Exports from the Midwest 10
11 Livestock Carrier at Pier 34 Terminal BNSF Railway Company Manifest Yard Galveston, Texas Wind Blade Unit Train for Delivery to Pier 34 Terminal September 2013 View Looking West From 51 st Street Viaduct 11
12 Port of Galveston September 2013 Pier Project Cargo & Wind Energy Terminal CHS, Inc. Fertilizer Terminal at Pier 35 at Upper Left North = Up CHS, Inc. Pier 34 Plant 14 Livestock Port of Galveston Pier Near-Dock Project Cargo Wind Energy Rail Storage Track Constructed in First Quarter 2012 ADM Export Grain Elevator Pier 30 Pier 32 12
13 Port of Galveston Pier Near-Dock Project Cargo Wind Energy Rail Storage Track Constructed in First Quarter 2012 ADM Export Grain Elevator Pier 30 PORT INFRASTRUCTURE CHALLENGES 13
14 Pier 39 > CHS, Inc. CHS, Inc. Pier 37 Pier 35 West End Slips to be Filled-In Note Condition of Piers and Bulkheads DEVELOPMENT PROJECTS East End (Pier 12/14 and Pier 14/15) Slip Closure and Terminal Expansion Engineering Company Selection by July 2014 West End Development (Future Slip Closures) Pelican Island 100 Acres Cargo Terminal Development along Galveston Channel 2,560 Linear Feet of Deep Water Frontage 45 Ft. Pelican Island 185 Acres Northeast Corner of Pelican Island on Deep Water (45 Feet Adjacent to Texas City Ship Channel) Request for Interest (RFI) went out last year with RFI responses due to the Port of Galveston by August 16, 2013 RFI Included New Pelican Island Roadway and Rail Bridges to Connect with Road and Rail Infrastructure on Galveston Island 14
15 EAST END SLIP CLOSURES (before) 14 th Street Gate Pier 15 Pier 12 Pier EAST END SLIP CLOSURES (after) 15
16 Port of Galveston Aerial View from West End October 2009 Port of Galveston Aerial View from West End April
17 Port of Galveston West End Slips to be Filled-In to Create Additional Upland Terminal Space Pelican Island Pier 41 Pier 39/40 Pier 37 Pier 35 Ro-Ro Cargo Staging PELICAN ISLAND 185 Acres 17
18 Pelican Island Bridge Future Economic Development Port of Galveston and the PANAMA CANAL Current Impact Port of Galveston currently handles 3 5 Ro-Ro calls per month inbound from the Far East via the Panama Canal where the Port of Galveston is first Port of Discharge. Cargo is primarily construction and agricultural equipment. Monthly Ro-Ro service from Galveston to Oceania, Australia and New Zealand via the Panama Canal. Cargo is mostly mining and agricultural equipment. Some export grain cargoes westbound via Panama Canal. 18
19 Port of Galveston and the PANAMA CANAL Possible Impact from Expansion Port of Galveston currently has authorized depth of 45 feet Deeper draft in the Panama Canal should provide opportunities for more export grain cargoes westbound via Panama Canal due to ability to load to 44 feet, deeper than current Panama Canal draft of 39 feet 06 inches. Should provide for more competitive freight rates to some markets in Asia. Deeper draft in the Panama Canal should provide opportunities for direct export of liquid bulk products from Pelican Island Storage Terminals, Inc. in larger vessels. That cargo now transships around Cape of Good Hope via Caribbean terminals after loading to smaller ships in Galveston. 123 Rosenberg Avenue, 8 th Floor Galveston TX INFORMATION Mailing Address: P.O. Box 328, Galveston, Texas Ph: Fax: VISIT US: FOLLOW us on Twitter LIKE us on Facebook 19
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