Galveston LNG Bunker Port and Loa Carbon sign LOI to produce e-LNG fuels

Located on the Texas City Ship Channel in the Texas City industrial area, the GLBP facility will serve as a platform to supply e-LNG by fuel barge to the rapidly expanding fleet of LNG-fuelled vessels in the greater Houston-Galveston region. The GLBP facility is optimally located to serve major ports, including Port Houston, the Port of Galveston, and the Port of Texas City.

The Texas City location offers GLBP and Loa Carbon unique advantages for the supply of cost-competitive e-methane production. There is abundant carbon dioxide (CO₂) feedstock available with Texas City, which is home to extensive chemical and refining infrastructure. This offers a significant amount of industrially captured CO₂ for future scale-up potential. In addition, the region offers biogenic CO₂, with Loa having identified nearby landfills.

Additionally, the State of Texas offers low-cost renewable power. ERCOT’s high-renewables grid and competitive electricity rates, combined with the 45 V hydrogen production tax credit, enable cost-competitive green hydrogen production.

Co-locating Loa Carbon’s e-methane production modules on the Galveston LNG Bunker Port site enables direct injection into the terminal city gate systems for FuelEU compliance, ensuring seamless blending with conventional LNG, and creating a one-stop fuelling for shipowners requiring both volume and carbon compliance.

The GLBP project is projected to come online in 2028 as the US Gulf Coast’s first dedicated LNG liquefaction facility for marine bunkering.

Dan Wojno, COO for Loa Carbon, noted: “This integrated approach provides shipowners a clear pathway to scalable, cost-transparent, ultra-low-carbon fuel without requiring operational changes to their vessels or bunkering procedures. We are pleased to be partnering with GLBP, the leading and only proposed dedicated LNG bunker project in the Houston-Galveston region.”

Jonathan Cook, CEO for Pilot LNG, added: “This partnership with Loa Carbon will enable GLBP to offer low-carbon e-LNG to customers in search of sustainable fuel solutions. GLBP will be the first supplier of LNG bunker fuel to provide e-LNG in North America. The e-LNG supplied to our customers will have one of the lowest Carbon Intensity scores on a well-to-wake basis. By producing LNG at the supply side of the value chain, we eliminate the need for shipping and storage, thereby reducing overall emissions compared to LNG bunker fuel delivered in Europe or Asia. Simply put, partnering with Loa makes perfect sense.”

Read the article online at: https://www.lngindustry.com/small-scale-lng/23072025/galveston-lng-bunker-port-and-loa-carbon-sign-loi-to-produce-e-lng-fuels/