Galveston LNG Bunker Port plans to build liquefied natural gas plant at Houston port complex
Galveston LNG Bunker Port, LLC (“GLBP”), a joint-venture between Pilot LNG and Seapath Group, a subsidiary of the Libra Group, filed applications with the United States Army Corps of Engineers (“USACE”) seeking authorization to site, construct and operate the proposed GLBP small scale natural gas liquefaction facility on Shoal Point in Texas City, Texas, in the heart of the Galveston Bay/Greater Houston port complex. The GLBP project will be the region’s first dedicated LNG bunker terminal to provide clean LNG as marine fuel, according to the company's release.
Galveston LNG Bunker Port has filed key regulatory applications with relevant government agencies, including the US Army Corps of Engineers (USACE) for the Clean Water Act and Rivers & Harbors Act, Texas Railroad Commission (TRRC) for the Texas Clean Water Act (CWA) Section 401 Water Quality Certification, and United States Coast Guard (“USCG”) for Waterway Suitability Assessment (“WSA”).
The USACE application for the proposed project includes two natural gas liquefaction trains capable of producing approximately 600,000 gallons per day of LNG; two 3-million-gallon full containment LNG storage tanks; natural gas liquids and refrigerant storage; feed gas pre-treatment facilities; a bunker vessel loading berth and associated marine and loading facilities.
Pilot LNG and Seapath Group signed a project development agreement in September of 2023 that provides a framework for the development, technical design, permitting and marketing of the proposed liquefaction project, which is estimated to come online in late 2026. The global maritime industry is increasingly adopting LNG as a marine fuel to significantly reduce emissions and meet tightening regulations, including IMO 2020, which came into effect January 1st, 2020.
Ongoing development of the project is subject to a number of risks and uncertainties. The final investment decision to proceed with construction is contingent upon completing required commercial agreements, acquiring all necessary permits and approvals, and securing financing commitments.
The Galveston LNG Bunker Port project (“GLBP”) is being developed by Pilot LNG with the support and financial backing of its partner of Seapath Group, a Libra Group subsidiary. Located on Shoal Point in Galveston County, TX, part of the greater Houston-Galveston port complex, GLBP will supply clean-burning LNG to meet the growing demand for LNG as a marine fuel. Operations of GLBP will commence in late 2026.
The terminal is being developed with a capacity of up to 600,000 gallons per day accompanied by two 3-million-gallon storage tanks. GLBP is ideally situated to supply the growing Galveston Bay Port Complex fuel and bunker markets. This includes LNG marine fuel deliveries directly to customers in the port complex and surrounding areas, such as the Galveston Offshore Lightering Area.
