LNG Bunkering to Be Available in US Gulf From 2026

by Ship & Bunker News Team
Thursday September 28, 2023

The first LNG bunker supply operation in the US Gulf is set to come online in early 2026.

Pilot LNG and Seapath have formed a joint venture to develop, construct and operate an LNG bunkering facility in the Houston/Galveston area, news agency Reuters reported on Thursday. Operations are set to begin in early 2026, and the facility will be purely dedicated to LNG bunkering rather than storage or cargo exports.

The facility is planned to produce 300,000 gallons per day of LNG, with storage capacity of 2 million gallons.

"The Seapath-Pilot project is a deliberately small-scale facility comprising gas liquefaction and temporary storage before loading on to the bunker barge vessels carrying the bunkering operations," Reuters cited Seapath CEO Greg Otto as saying.

"It is the first such facility in the U.S. Gulf, a sizeable bunkering hub, and just the second such dedicated LNG bunkering facility in the United States."

LNG remains the dominant alternative fuel choice for now, with supply set up at almost all major bunkering locations. But the future viability of LNG-fuelled ships will rely on the rollout of bio- and synthetic LNG at these ports as well, as shipping firms seek to deliver lower GHG emissions.