Luxury Cruise Ship Halts Operations in Cambodia Over Fuel Costs

A residential cruise ship stopped sailing in Cambodia on Tuesday due to high fuel prices.

Villa Vie Residences, a Florida based company, operates the vessel named The Odyssey. The company ordered all residents to leave the ship. The release stated the firm is seeking temporary housing for those aboard while it restructures its finances.

The Odyssey is a 642 foot ship that began service three years ago in Belfast. It offers cabins for purchase or rent. The company claims the ship can hold 650 people. It is unclear how many residents were on board Tuesday or exactly where in Cambodia they disembarked.

Mikael Petterson, an executive with the firm, declined to give more details in an email. Earlier this year, Petterson said the ship was 85 percent sold. The Tuesday release admitted that steps to cut fuel use did not stop the cost spike. Global oil prices have risen since a war with Iran began earlier this year. Oil hit its highest level this month since spring.

The company said passing full cost increases to residents was not realistic. It aims to support crew and residents during a 60 day restructuring period. No outcome is guaranteed, according to the release.

Randy Cassingham, a resident, learned of the halt via a message board post at 7 a.m. local time Monday. The message said the ship was entering a temporary lay up and everyone had to leave by 2 p.m. Cassingham runs a website about residential cruising. He described the situation as a cascade of problems.

Pamela Reckamp, 59, rented a cabin with her husband and left earlier this month. She attended a meeting in early September where officials asked owners for $1 million to leave Vietnam. One official warned that without the money, power and air conditioning would fail within four days. Another resident at a later meeting said she sold her house and car to buy a cabin in August, unaware of the financial strain.

A lawsuit filed last year by a cabin buyer claims fraud. The buyer paid $469,000 for a cabin. The suit alleges the operator misrepresented its financial stability and called the business model precarious. The plaintiffs seek a jury trial and damages over $100,000. Villa Vie Residences denied the claims. In 2024, the company advertised cabins for as little as $119,000.

Petterson said in July that the launch proved residential cruising was sustainable. The company did not immediately respond to a request for comment on Tuesday night.