Green Tide Rising: Gulf LNG Port Wins Key Approvals

A $300M Gulf Coast LNG bunkering project wins full permits as it targets FID in 2025 and first deliveries in 2027

20 May 2025

The Gulf Coast’s bid to become a clean marine fuel powerhouse just took a major step forward. A $300 million LNG bunkering project near the Texas City Ship Channel has secured all federal permits, clearing the way for a final investment decision expected by mid 2025.

Developed by Pilot LNG and Seapath, the Galveston LNG Bunker Port aims to supply cleaner burning liquefied natural gas to one of the nation’s busiest maritime corridors. Construction could start soon after FID, with the first deliveries planned for the second half of 2027.

The terminal’s first phase is designed to produce about 360,000 gallons of LNG daily, eventually doubling capacity as demand rises. Project backers say this timeline aligns with global shipping’s push to slash emissions while maintaining trade efficiency. For shipowners, LNG remains a practical bridge fuel widely available, lower in carbon, and compatible with existing engines.

Pilot LNG says securing permits gives vessel operators confidence that supply will be ready once they need it. Seapath calls the Gulf Coast the missing link in America’s clean fuel network, noting that orders for LNG powered vessels have surged.

The project also shakes up a market long dominated by East Coast hubs such as JAX LNG. A dedicated Texas hub could expand clean fuel access across Gulf and transcontinental routes while laying groundwork for future low carbon fuels, since many of its components can be adapted for renewable LNG.

Yet hurdles remain. Environmental advocates warn about methane leaks, and financial risk lingers until FID is finalized. Still, most analysts see the project as an important bridge to a cleaner shipping future.

With permits secured and 2027 on the horizon, the Gulf Coast appears ready to anchor a new chapter in marine energy.