Gas
Power LNG secures Pelican Island lease for bunkering facility
Power LNG has reached an agreement with the Galveston Wharves Board of Trustees to construct a small-scale liquefied natural gas facility on Pelican Island.
Key points
- The 30-acre greenfield site will initially produce approximately 400,000 gallons of LNG daily.
- Plans include an underground gas pipeline, a storage tank, and a shore-to-ship pier for vessel fueling.
- Power LNG previously applied for federal authorization to export gas via ISO containers through 2050.
What happened
According to Rigzone, Power LNG has finalized a lease arrangement with the Galveston Wharves Board of Trustees to build a modular liquefied natural gas production and bunkering hub on Pelican Island. Situated on a 30-acre tract within the Galveston Harbor, the project aims to deliver roughly 400,000 gallons of LNG per day using two liquefaction trains, with a future expansion target of double that capacity.
The project scope involves constructing an underground gas pipeline for feedstock supply, a storage tank holding three million gallons, and a pier to support marine fueling operations. Port officials noted that the site will cater to vessels operating across local ship channels.
Future operations
Rigzone reported that the agreement establishes frameworks for permits, financing, and commercial terms. Galveston Wharves port director Rodger Rees stated that the infrastructure will help the port address rising demand for marine gas fuel.
Earlier in the year, Power LNG sought approval from the Department of Energy to export approximately 51.75 billion cubic feet of gas through 2050 using standard containers on ocean-going carriers. This follows a merger last year between Power LNG and United Energy LNG to create a unified platform targeting regional markets across North America.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Gas is the flexible backbone of many grids and the designated transition fuel in many national plans, from LNG trade to domestic LPG and CNG. Supply security and pricing drive both power reliability and emissions.
21.9% of electricity in the world came from gas in 2024Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
