Clean fuel terminal to serve Houston-area ports with operations expected by 2027
The Galveston LNG Bunker Port (GLBP) has received its final federal permits, paving the way to become the first dedicated liquefied natural gas (LNG) marine fueling facility on the U.S. Gulf Coast.
The project has secured crucial regulatory approvals from the U.S. Army Corps of Engineers, encompassing Section 408 and 404/10 authorizations by the Clean Water Act. Additionally, it has received the U.S. Coast Guard's endorsement for its Waterway Suitability Assessment. These developments follow previous state-level approvals concerning air quality and water certification from the Texas Commission on Environmental Quality and the Texas Railroad Commission.
Located on the Texas City Ship Channel, GLBP represents a collaborative effort between Pilot LNG and Seapath Group. The initiative aims to bolster the expanding fleet of LNG-powered vessels in Houston-Galveston by implementing barge-based fuel delivery systems. The facility is set to become operational, providing services to Port Houston, the Port of Galveston, and the Port of Texas City, as well as to vessels navigating the Galveston Offshore Lightering Area.
“This marks a significant achievement for our team,” stated Shaun Davison, Chief Development Officer at Pilot LNG. “We have achieved a significant milestone as the sole fully permitted LNG bunkering project in the Gulf region.”
GLBP aims to provide a daily output of 720,000 gallons of LNG through a two-phase development plan, supported by dual storage tanks with a capacity of 3 million gallons each. The anticipated timeline indicates that a final investment decision will be made by mid-2025, with operations slated to commence in late 2027.
Josh Lubarsky, President of Seapath Group, highlighted the strategic positioning of the project. GLBP is poised to become the Gulf Coast's premier clean marine fuel hub. The financial commitment underscores the enduring significance of this infrastructure.
Pilot LNG is leveraging its expertise in LNG import and bunkering operations, while Seapath, a subsidiary of the Libra Group, focuses on financing for maritime and infrastructure projects.
With the increasing global demand for LNG as a marine fuel, GLBP is set to be a key player in decarbonizing the shipping industry within one of the nation's most active maritime corridors.
