HOUSTON, May 11, 2007 (PRIME NEWSWIRE) -- Today, the Port of Houston Authority and the Port of Galveston signed a Memorandum of Understanding (MOU) to explore opportunities for the development and use of property on Pelican Island as a future container-handling facility. Representatives of the maritime industry were on hand to witness and support the efforts of the two ports' commitment to address long-term container capacity needs and to stimulate economic development for the Texas Gulf Coast region.
Photos accompanying this release are available at http://media.primezone.com/poha/pages/business.html
Both of the ports' governing bodies gave the green light for the two ports to sign the MOU during their respective board meetings held on April 23. The MOU calls for both ports to identify a joint action-planning team to create a Master Development Plan for a container-handling facility on the island. The plan may address, among other things, financial and operational matters, acquisition of property, facility access, land use requirements and environmental impact.
"The port authority looks forward to the opportunity to work with the Port of Galveston to explore solutions to the region's long-term container capacity needs. Now that we have our Bayport Container facility open and running, it's prudent for us to start the planning for Pelican Island," said Jim Edmonds, Chairman of the Port of Houston Authority Commission.
Expectations are for container cargo growth to continue at double digit increases. The two ports anticipate market demand to require development and operation of such a facility in the next 10 to 15 years.
"With the expansion of the Panama Canal, the West Gulf region is in prime position to take advantage of the future growth in the maritime industry," stated Benny Holland, Chairman of the Board of Trustees of the Port of Galveston. "The Port of Houston and the Port of Galveston have agreed to form a partnership to develop a state-of-the-art container terminal so they can benefit from the increased traffic in this region."
The joint agreement stipulates that finance and development of the facility would not begin until after 2015, when the port authority's Bayport Container Terminal is expected to be fully built out.
"The Port of Galveston is the city's open door to the world and a major economic engine for the city and the state of Texas," said Mayor Lyda Ann Thomas. "Galveston is proud to join ranks with the Port of Houston Authority in a mutually beneficial agreement that is historical in its potential for future growth and job opportunities."
"The Galveston Economic Development Partnership is excited about this new MOU between the ports of Houston and Galveston," added Jeff Sjostrom, president of the Partnership. "We feel this new development will maximize the property on Pelican Island and assist with diversification of the Port of Galveston."
The MOU calls for both ports to put property that they own on Pelican Island to use in the development of the container-handling facility and for the Port of Houston Authority to operate the facility.
Jim Gilbert, chairman of the Economic Alliance Port Region, said, "The Economic Alliance is pleased to see this joint effort, which will maximize the utilization of the strength of both ports and have a very positive impact on the economy for the entire region."
Walt Niemand, president of the West Gulf Maritime Association (WGMA), headquartered in Houston and representing over 70 maritime businesses involved with international maritime trade, said "This significant joint effort is appreciated since it will help meet the needs of WGMA maritime members as well as both local and regional economies. The amount of containerized cargo moving through the Houston-Galveston hub is expected to increase in double-figure percentages per year over the next 10 years and modern, state-of-the-art facilities will be essential to help meet the region's needs."
CUTLINES
Front row, from left: Steve Cernak, Executive Director, Port of Galveston; H. Thomas Kornegay, Executive Director, Port of Houston Authority; Benny Holland, Jr., Chairman, Board of Trustees, Port of Galveston; James T. Edmonds, Chairman, Port of Houston Commission; Back row, from left: PHA Commissioner Steve Phelps; Lyda Ann Thomas, Mayor of Galveston; Gerald Sullivan, Vice Chairman, Board of Trustees, Port of Galveston; PHA Commissioner Janiece Longoria; and PHA Commissioner Jimmy Burke.
Front row, front left; Steve Cernak, Executive Director, Port of Galveston; H. Thomas Kornegay, Executive Director, Port of Houston Authority; Benny Holland, Jr., Chairman, Board of Trustees, Port of Galveston; James T. Edmonds, Chairman, Port of Houston Authority; Back row, from left: Capt. Chris J. Gutierrez, Presiding Officer, Galveston-Texas City Pilots Association; Jim Gilbert, Chairman, Economic Alliance Port Region; Gio Tomasini, Chairman, Greater Houston Partnership Economic Development Committee; Clyde Fitzgerald, President, International Longshoremen's Association; PHA Commissioner Steve Phelps; Jeffrey Sjostrom, President, Galveston Economic Development Partnership; Lyda Ann Thomas, Mayor of Galveston; Gerald Sullivan, Vice Chairman, Board of Trustees, Port of Galveston; Walt Niemand, President, West Gulf Maritime Association; PHA Commissioner Janiece Longoria; PHA Commissioner Jimmy Burke; and Capt. Robert Thompson, Presiding Officer, Houston Pilots.
From left: PHA Commissioner Janiece Longoria and Lyda Ann Thomas, Mayor of Galveston, with a map of Pelican Island.
Aerial photo of Pelican Island with Port of Galveston and Port of Houston boundaries.
About the Port of Houston Authority
The Port of Houston Authority owns and operates the public facilities located along the Port of Houston, the 25-mile-long complex of diversified public and private facilities designed for handling general cargo, containers, grain and other dry bulk materials, project and heavy lift cargo, and other types of cargo. Each year, more than 7,000 vessels call at the port, which ranks first in the U.S. in foreign waterborne tonnage, second in overall total tonnage, and 10th largest in the world. The Port Authority plays a vital role in ensuring navigational safety along the Houston Ship Channel, which has been instrumental in Houston's development as a center of international trade. The Barbours Cut Container Terminal and Central Maintenance Facility are the first of any U.S. port facilities to develop and implement an innovative Environmental Management System that meets the rigorous standards of ISO 14001. Additionally, the port is an approved delivery point for Coffee "C" futures contracts traded on the New York Board of Trade's Coffee, Sugar & Cocoa Exchange.
For more information, please visit www.portofhouston.com. To access the port's web site photo gallery, please visit http://www.portofhouston.com/publicrelations/publicrelations.html and click the link for PHA Photo Gallery.
The Port of Houston Authority logo is available at http://www.primenewswire.com/newsroom/prs/?pkgid=720
About the Port of Galveston
The Port of Galveston, located at the entrance to Galveston Bay, leases and maintains facilities situated on the north side of Galveston Island and on adjacent Pelican Island. Galveston Island operations are a diversified mix of traditional and non traditional cargo operations including Roll on-Roll off, bulk and break bulk operations, as well as handling over 1,000,000 cruise passengers annually. Currently, Galveston ranks as the fourth-largest cruise port in the U.S. and 11th in the world based on passenger statistics. Pelican Island is a combination of undeveloped property, an active rig repair facility and liquid bulk operations. The Port is served by two major rail operators and contributes significant economic impact and job creation to the region. For more information, please visit www.portofgalveston.com.
The Port of Galveston logo is available at http://www.primenewswire.com/newsroom/prs/?pkgid=3625
Photos are also available via AP PhotoExpress.
