US Gulf Coast deal aims to build fleet of Jones Act LNG bunker vessels

Texas’ Galveston LNG Bunker Port (GLBP) and Florida-based TOTE Services have signed a strategic partnership with the goal of building a dedicated fleet of LNG bunkering vessels to serve vessels in the US Gulf.

Scheduled to begin operations in 2028, the GLBP facility is intended to provide LNG fuel to vessels calling at Port Houston, Port of Galveston and Port of Texas City on the US Gulf coast.

According to the two companies, the agreement between GLBP and Tote Services establishes a framework for vessel development, construction, and long-term operation, "positioning GLBP to progress efficiently toward end-to-end project execution as market demand continues to grow".

"This partnership supports the expansion of the Jones Act LNG bunker fleet and domestic maritime capabilities," a statement from GLBP said. "Customers also benefit from the flexibility to integrate bioLNG and e-LNG solutions."

In July 2025, Galveston LNG and New York-headquartered Loa Carbon signed a letter of intent to supply e-LNG bunkering fuel to ships calling at the Houston-Galveston port complex.

With US legislation known as the Jones Act requiring that vessels stationed in and working commercially in US waters be US-owned, built, and crewed, the GLBP partnership with US shipbuilding developer TOTE Services will meet the requirements to allow the Galveston LNG bunkering project to transport LNG within the US.

"The head of agreement lays out a path toward executing a charter agreement for the first LNG bunker vessel to support the GLBP project by the middle of 2026," GLBP said.

GLBP announced in December 2025 that it had signed a heads of agreement with an international shipping company to supply LNG as a marine fuel, to be delivered by a Jones Act-compliant LNG bunker vessel from 2029.

TOTE Services oversaw the construction and management of the world’s first LNG-powered container ships and North America’s first LNG bunker barge and currently operates four large LNG-powered cargo vessels and two LNG bunker vessels.

The Galveston LNG Bunker Port project is being developed by Pilot LNG and its partner Seapath Group, a Libra Group subsidiary.