The deal will expand LNG bunker supply in the US Gulf. File Image / Pixabay
GAC Bunker Fuels has signed a preliminary agreement with Texas-based Pilot LNG to set up a partnership supplying LNG bunker fuel at Galveston, the companies said Tuesday.
The companies have executed a Heads of Agreement setting out the terms of the partnership to supply LNG as a marine fuel from Pilot LNG's proposed Galveston LNG Bunker Port terminal, GAC said in an emailed statement.
"The Galveston LNG Bunker Port will provide the LNG to supply GAC's growing market for cleaner marine fuel, particularly as its customers seek economic ways to comply with tightening emissions regulations, including IMO 2020," Jonathan Cook, chief executive of Pilot LNG, said in the statement.
In September GAC acted as the broker for the first LNG bunkering of a non-US flagged ship in the US.