Texas-based Galveston LNG Bunker Port, LLC (GLBP) and Loa Carbon have announced the signing of a letter of intent (LOI) where Loa Carbon will provide renewable e-methane directly to GLBP for liquefaction.

GLBP will provide the e-LNG fuel to customers seeking low carbon 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 in the greater Houston-Galveston region.

The Texas City location is said to offer GLBP and Loa Carbon unique advantages for the supply of cost-competitive e-methane production. There is abundant CO₂ feedstock available with Texas City, which is home to extensive chemical and refining infrastructure. According to a prepared statement, 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 45V hydrogen production tax credit, enable cost-competitive green hydrogen production, the companies said.

According to the announcement, 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 fueling for shipowners requiring both volume and carbon compliance.

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