GLBP Secures Final Permits To Build 1st LNG Marine Fuel Facility In US Gulf

The Galveston LNG Bunker Port (GLBP), set to become the first dedicated LNG marine fuel facility on the US Gulf Coast, has secured all final permits and is ready to begin construction later this year, according to company executives.

GLBP is a joint venture between Houston-based Pilot LNG and Seapath, a subsidiary of the Libra Group. The facility will be built on a 140-acre greenfield site along the Texas City Ship Channel, strategically located to serve major ports including Port Houston, Port of Galveston, and Port of Texas City.

The project aims to support the shift toward cleaner marine fuels as the shipping industry works to reduce emissions. LNG is seen as a viable alternative to high-sulfur fuel oil, helping vessel operators meet tightening environmental regulations.

According to Seapath, the project has received final approvals from the US Army Corps of Engineers and the US Coast Guard. Initial fuel deliveries are expected in the second half of 2027.

The company also stated that the first phase of production will supply up to 360,000 gallons of LNG per day, with full capacity of 720,000 gallons per day targeted within a year of operations starting.

Executives said that the US market for LNG bunkering is expanding, especially since LNG can be used as marine fuel in domestic waters without needing export licenses.

This creates a new opportunity for US LNG suppliers to serve local ports and shipping companies directly.

Seapath’s president said the company believes it is now leading the market as the first dedicated LNG marine fuel supplier in the US Gulf. He stated that years of hard work and significant investment have gone into making GLBP a key clean energy fuel hub in the region.

The estimated project cost is over $300 million, and once operational, GLBP will become only the second dedicated LNG bunkering facility in the US, after JAX LNG in Jacksonville, Florida.

The facility is expected to contribute significantly to the maritime industry, including supporting Port Houston, which generates over $900 billion in national economic value.

The Libra Group, which backs the project through Seapath, also owns Lomar Shipping and Americraft Marine, companies active in global shipping and shipbuilding.

The construction work is expected to begin soon and operations are set to begin by late 2026 or early 2027.

References: Reuters, Oil Price

Source: Maritime Shipping News