Galveston LNG Bunker Port (GLBP) has signed a gas supply agreement (GSA) for the delivery of natural gas to its terminal in Texas City, Texas.
GLBP has laid the foundation for a partnership with Energy Transfer’s Houston Pipeline Company (HPL) to supply the natural gas to the proposed Galveston LNG bunker port project, which will be the first dedicated LNG bunker terminal in the region.
The two companies have executed agreements, which outline the gas supply and additional pipeline facilities required for the natural gas delivery.
This gas supply agreement supports GLBP in providing LNG marine fuel to customers in the Galveston Bay port complex, including the ports of Houston, Galveston and Texas City, as well as Galveston Offshore Lightering Areas, on a long-term basis, the company explained.
“Securing gas supply is essential to the successful delivery of LNG as a fuel in Galveston Bay, and working with an experienced natural gas pipeline operator like HPL will ensue the safe operation and delivery of supply to the facility,” said GLBP’s Jonathan Cook.
“We are proud of the relationship we have with HPL and are excited about the opportunities we have to work closely with them in supporting the strengthening of US energy infrastructure, and the maritime industries de-carbonisation journey,” he said.
Among the shipping sectors adopting LNG as a marine fuel, cruise ships, car carriers, and containerships are particularly notable, both due to their significant bunker requirements, as well as their prominent involvement in the Galveston Bay port complex.
Currently, cruise ships already make around 380 port calls per year at Galveston’s three existing cruise terminals, with a fourth terminal recently announced and starting construction.
In addition, there are over 10,000 deep draft vessel calls annually in the Galveston Bay port complex.
GLBP is currently under development toward a final investment decision (FID). It is expected to be operational by the first half of 2027.
The project is being developed by Pilot LNG with the support and financial backing of its partner, 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 LNG to meet its growing demand as a marine fuel.
The terminal is being developed with a capacity of up to 600,000 gallons per day, consisting of two 3 mill gallon storage tanks.
