Cruise ship residents evacuated in Cambodia as fuel costs surge

Hundreds of people who had been living aboard the Villa Vie Odyssey were ordered to leave the ship in Sihanoukville, Cambodia, after the operator said soaring fuel costs made the cruise financially unsustainable. The vessel, which offers long-term and permanent residences, had been sailing for more than two years and can accommodate up to 650 occupants.

Villa Vie Residences announced on Oct. 27 that it would suspend operations and disembark the 203 passengers and 156 crew members while it searches for temporary housing solutions. Monthly fuel expenses that previously averaged about US$1,800 per cabin have risen to an estimated US$6,000-US$8,000 in parts of Asia, the company said in a statement.

"The company cannot simply pass increases of that scale on to residents, and the resulting shortfall has placed its current operating model under unsustainable financial pressure," the statement read.

Deputy governor of Preah Sihanouk province Long Dimanche confirmed that some passengers had already flown out, while others awaited further instructions at the port. The ship is slated to refuel before departing Cambodia on Oct. 31.

Residents shared mixed reactions on social media, with some expressing disappointment and others welcoming the chance to explore Southeast Asia. Randy Cassingham, a resident who writes about life on residential cruise ships, noted that the company had warned occupants they had until 2 p.m. to disembark and arrange for any belongings.

Since the conflict in Iran began in late February, Villa Vie has attempted to curb fuel consumption by slowing itineraries and extending port stays, but the measures did not offset the sharp rise in costs. The company said it will seek to restructure and recapitalise within the next 60 days, though financing has not yet been secured.