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Sargassum is the new Fuel, Barbados team powers car with RNG

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Garfield Ekon

Staff Writer

 

 

Barbados, December 9, 2024 – When large swathes of invasive seaweed started washing up on Caribbean beaches in 2011, local residents were perplexed.  Soon, mounds of unsightly sargassum, carried by currents from the Sargasso Sea and linked to Climate Change – were carpeting the region’s prized coastlines, repelling some holidaymakers with the pungent stench emitted as it rots.

Precisely how to tackle it was a dilemma of unprecedented proportions for the tiny cluster of tourism-reliant islands with limited resources.

In 2018, Barbados’ Prime Minister, Hon.  Mia Mottley declared the sargassum situation a national emergency.  Now, a pioneering group of Caribbean scientists and environmentalists hope to turn the tide on the problem by transforming the troublesome algae into a lucrative biofuel.

They recently launched one of the world’s first vehicles powered by bio-compressed natural gas.  The innovative fuel source created at the University of the West Indies (UWI) in Barbados also uses wastewater from local rum distilleries, and dung from the island’s indigenous blackbelly sheep which provides the vital anaerobic bacteria.

The team says any car can be converted to run on the gas via a simple and affordable four-hour installation process, using an easily available kit, at a total cost of around $2,500 or £1,940.

Researchers had initially looked into using sugarcane to reduce reliance on costly, imported fossil fuels and help steer the Caribbean towards its ultimate target of zero emissions.

However, despite Barbados being one of few islands still producing sugarcane, the quantity was deemed insufficient for the team’s ambitious goals, explains the project’s founder Dr. Legena Henry.

Dr. Legena Henry grimaces as she points out that while some natural resources are limited, when it comes to the unwelcomed seaweed, she says sargassum is something “we will never run out of”.

“Tourism has suffered a lot from the seaweed; hotels have been spending millions on tackling it.  It’s caused a crisis,” Dr. Henry, a renewable energy expert and UWI lecturer, continues.

The idea that it could have a valuable purpose was suggested by one of her students, Brittney McKenzie, who had observed the volume of trucks being deployed to transport sargassum from Barbados’ beaches.

“We’d just spent three weeks researching sugarcane.  But I looked at Brittney’s face and she was so excited, I could not break her heart,” Dr. Henry recalls.

“We already had rum distillery wastewater, so we decided to put that with sargassum and see what happened.”

Brittney was tasked with collecting seaweed from beaches and setting up small scale bioreactors to conduct preliminary research.”  Within just two weeks we got pretty good results.  It was turning into something even bigger than we initially thought.”

The team filed a patent on their formula and, in 2019, presented their project to potential investors during a side meeting at the UN General Assembly in New York.

Upon touchdown back in Barbados, Dr. Henry’s phone was “buzzing” with messages of congratulations – including one from US non-profit Blue-Chip Foundation offering $100,000 to get the work off the ground.

Dr. Legena Henry

Biologist Shamika Spencer was hired to experiment with differing amounts of sargassum and wastewater to figure out which combination produced the most biogas.

She says she leapt at the chance to take part.  “Sargassum has been plaguing the region for several years,” Ms. Spencer, who is from Antigua and Barbuda, explains.  “I had always wondered about this new seaweed ruining the beaches in Antigua, and when I came to Barbados to study, I noticed it here too.”

The algae does not just threaten tourism.  They also pose a threat to human health through the hydrogen sulphide they release as they decompose, along with native wildlife like critically endangered sea turtle hatchlings which get trapped in thick mats of beached seaweed.

Water pollution and warming seas are credited with the upsurge in sargassum, another cataclysmic result of climate change that the Caribbean has done little to contribute to but often bears the brunt of.

Calls for eco reparations from leaders including Barbados’ leader Mia Mottley and Antigua’s Prime Minister Gaston Browne have been clamorous in recent years as the region battles ever-rising sea levels and worsening storms.

While waiting for those to bear fruit, this project represents one example of the Caribbean taking its environmental future into its own hands.

This past September, Rum & Sargassum, the Barbados-based start-up founded by Dr. Henry introduced the world to its brand of  RNG, Renewable Natural Gas.  The unveiling featured a vehicle rigged to run on the innovative cocktail of rum distillery wastewater, Blackbelly sheep manure and yes, that no longer pesky but valuable Sargassum seaweed.

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Caribbean News

The $3 Billion Handshake

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By Deandrea Hamilton | Editor

 

September 28, 2026 – Wall Street initially flinched at the $3-billion handshake. But in a matter of days, it was smoother sailing.

Perhaps the bigger Caribbean business story is not what Sandals Resorts International is getting from the deal. It is who is writing the cheque — and what that says about what Gordon “Butch” Stewart built.

As reports of Royal Caribbean Group’s Sandals deal circulated Tuesday, RCL shares plunged 6.14 percent from Monday’s $250.25 close to $234.89, on sharply elevated trading.

When the agreement became official Wednesday — approximately $3 billion for a 50 percent equity interest in Sandals and Beaches Resorts — shares slipped another 1.95 percent to $230.30 and touched $222.22 intraday. Investors were digesting both the size of the investment and committed debt financing secured through Morgan Stanley.

But by Thursday, RCL rebounded 3.77 percent, with shares continuing their recovery Friday to finish the week around $243. Analysts were also looking ahead: JPMorgan reportedly raised its RCL price target from $345 to $394, while Citi placed the company on a 90-day positive catalyst watch.

And just who is RCL?

Royal Caribbean Group is a global vacation giant, publicly traded on the New York Stock Exchange with a market value of roughly $65 billion. Its portfolio includes Royal Caribbean International, Celebrity Cruises and Silversea, alongside private destinations and an expanding vacation platform.

So when a company of that scale commits $3 billion for only half of Sandals and Beaches Resorts, the transaction puts a striking financial marker on one of the Caribbean’s greatest home-grown hospitality success stories.

The deal, expected to close in early 2027, creates a 50-50 partnership with the Stewart family and takes Royal Caribbean deeper into the all-inclusive resort business.

Butch Stewart started Sandals in Jamaica in 1981 believing a Caribbean company could compete with the world’s best.

Forty-five years later, one of the world’s biggest vacation companies is prepared to pay $3 billion just to own half of what he built.

Now that’s the handshake that does more than seal a deal — it cements a legacy.

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Caribbean News

Royal Caribbean Group and Sandals Resorts Announce Landmark Partnership to Accelerate Their Leading Vacation Experiences

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Royal Caribbean Group Investment to Advance Sandals and Beaches’ Growth and Broaden the Group’s Vacation Portfolio

Montego Bay, Jamaica and Miami, September 24, 2026 – Royal Caribbean Group (NYSE: RCL) and Sandals Resorts today announced the signing of an agreement to form a partnership in the all-inclusive resort space with a 50% investment from Royal Caribbean Group.  Building on Sandals and Beaches Resorts’ more than four decades of leadership in Caribbean hospitality, the joint venture will create new opportunities for continued resort growth while broadening the experiences across Royal Caribbean Group’s vacation platform.

The partnership brings together two of the travel industry’s most celebrated vacation companies, pairing Sandals and Beaches’ all-inclusive resort expertise with Royal Caribbean Group’s vacation platform, including industry-leading brands – Royal Caribbean, Celebrity Cruises and Silversea – a portfolio of private destinations, new river cruising offering, and an industry-first loyalty program. United in a shared history in the Caribbean and connected by a love for their communities, the companies will offer travelers an unparalleled collection of cruise, private destination and resort experiences, serving guests across more vacation occasions and establishing their undisputed leadership in Caribbean vacations.

The joint venture expands Royal Caribbean Group into an adjacent vacation category, growing its participation in the approximately $2 trillion global vacation market, and meets the growing global demand for Sandals and Beaches Resorts by accelerating their expansion. The partnership will include Sandals and Beaches’ collection of premier all-inclusive properties across the Caribbean, and the companies will explore opportunities to broaden distribution, deepen guest engagement, and make it easier for travelers to discover vacation experiences offered across both portfolios.

“For nearly 60 years, we’ve reimagined what a vacation can be, constantly expanding the ways we inspire our guests to explore, connect and create lifelong memories,” said Jason Liberty, Chairman and CEO, Royal Caribbean Group. “We have been building a vacation platform that brings joy to millions of people around the world and creates meaningful relationships that last with our guests. Our partnership with Sandals and Beaches Resorts is an important next step on that journey – bringing together two iconic leading vacation companies to further strengthen and grow one of the most admired resort portfolios in the world. The Stewart family has created powerful and beloved brands, and we are honored to build on that legacy. Together, we see tremendous opportunity to expand the reach of Sandals and Beaches Resorts and continue turning the vacation of a lifetime into a lifetime of vacations.”

“My father, Gordon ‘Butch’ Stewart, founded Sandals Resorts with the belief that a company built in the Caribbean could stand on the world stage alongside the most respected names in hospitality. Today is proof of how far that vision can go,” said Adam Stewart, Executive Chairman of Sandals Resorts and Beaches Resorts. “This partnership is the natural next step in building on that conviction. It gives us the ability to grow faster with a partner that shares our values of exceptional hospitality, long-term investment, and the power of enduring brands. Together, we will introduce more guests to Sandals and Beaches Resorts while creating even more extraordinary experiences for those who have made our resorts part of their lives for decades.” Stewart added, “As we continue to grow, we will remain true to what has always defined us: delivering authentic vacations that exceed expectations while creating opportunities for our team members, travel advisor partners and the communities we call home. The future has never been brighter, and I know this moment would make my father incredibly proud.”

The joint venture will be governed by a board under the shared leadership of Stewart and Liberty. Stewart will maintain a leadership role in guiding the company’s long-term strategic growth as Executive Chairman of Sandals and Beaches Resorts. Existing reservations, loyalty programs, resort operations and cruise operations will continue as usual, with the partnership bringing additional resources to support future opportunities.

Under the terms of the agreement, Royal Caribbean Group will acquire a 50% equity interest in Sandals and Beaches Resorts for approximately $3 billion, representing a forward EBITDA multiple of approximately 10x.  Royal Caribbean Group has secured committed debt financing from Morgan Stanley to fund the investment.  The transaction is expected to close in early 2027, subject to customary approvals and closing conditions, and is expected to be accretive to earnings next year.

BofA Securities and PJT Partners acted as financial advisors, and Latham & Watkins and Jones Day acted as legal advisors to the Sandals Group. Perella Weinberg Partners and Morgan Stanley acted as financial advisors and Kirkland & Ellis LLP acted as legal advisor to Royal Caribbean Group.

PHOTO CAPTION: Jason Liberty, Chairman and CEO of Royal Caribbean Group, and Adam Stewart, Executive Chairman of Sandals Resorts, mark the signing of an agreement to form a landmark partnership that expands Royal Caribbean Group into the all-inclusive resort space and supports the future growth of Sandals and Beaches Resorts. The signing took place at Royal Caribbean Group’s new headquarters in Miami, with the city’s skyline in the background.

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Caribbean News

Royal Caribbean Signs US$3-Billion Deal for Half of Sandals and Beaches

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The Caribbean tourism deal first reported as a possibility on Tuesday is now a signed agreement. Royal Caribbean Group plans to pay approximately US$3 billion for a 50% stake in Sandals and Beaches Resorts, putting the value of the business at about US$6 billion. The purchase is expected to close in early 2027, subject to approvals.

Founded in Jamaica by the late Gordon “Butch” Stewart in 1981, the resort business has a presence across nine Caribbean destinations, including Jamaica, The Bahamas and Turks and Caicos. Sandals has described its workforce as nearly 20,000 people, most of them Caribbean nationals.

“My father, Gordon ‘Butch’ Stewart, founded Sandals Resorts with the belief that a company built in the Caribbean could stand on the world stage alongside the most respected names in hospitality,” said Adam Stewart in the announcement carried by PR Newswire. He will remain executive chairman, while the Stewart family retains a stake. The companies say existing reservations and resort operations will continue as usual.

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