One of Havila Kystruten’s cruise ships can’t be insured because of its financial link to Russia
The Norwegian Ministry of Foreign Affairs has rejected the application for a exemption to insure Havila Capella because its leasing companyGTLK is owned by the Ministry of Transport of Russia.
”This is very disappointing and means that we still have an unresolved situation for Havila Capella,”saidBent Martini, CEO, Havila Kystruten.
“As the sanctions are set up, any insurance payment will not benefit the ship’s registered owner. In the event of a total breakdown, other parties will receive the insurance payment. We can do nothing but accept the authorities’ assessment, but disagree with the decision.”
Tricky situation
Mr Martini said that the compamny will now continue the work of finding a solution to get Havila Capella back in traffic and strive to find a wayout of a very demanding situation.
Only last month, the Ministry granted Havila Kystruten a exemption from the sanctions regulations to operate the vessel for six months. But that exemptiondid not entail any right to insure the ship because that would mean that theproperty is made available to the registered owner.
Havila Voyages is a Norwegian company and its ships sail under the Norwegian flag, but thechallenge that it now faces is that some suppliers have treated the vessel as a sanctioned ship and terminated business agreements.
Havila Kystruten controls and operates the vessel as if the financing were an ordinary bank loan. The company said it has a purchase obligation for Havila Capella in accordance with the desire for long-term control of the ship and will continue its efforts to secure refinancing and a change of ownership.
For now, the vessel’s next round trip along the Norwegian coast, which was scheduled to start in Bergen on 15 May, has been cancelled.
The ship offers a cruise excursion from Bergen stopping at 34 ports along the Norwegian coast with its end stop being Kirkenes near the Russian border.
Havila Capella’s sister ship, Havila Castor, will sail as planned from Bergen on 10 May following the same itinery.
