Galveston LNG Bunker Port (GLBP), Houston, has signed a strategic heads of agreement with TOTE Services, Jacksonville, Fla., to develop and operate a fleet of U.S.-flag LNG bunkering vessels to serve the greater Houston port complex.
The agreement outlines a framework for the design, construction, and long-term operation of Jones Act–compliant LNG bunker vessels that would deliver fuel from GLBP’s planned small-scale LNG bunkering facility on the U.S. Gulf Coast. The project is intended to support growing demand for LNG as a marine fuel while enabling future integration of bio-LNG and synthetic e-LNG blends.
Because the vessels will transport LNG in U.S. coastwise trade, they must be U.S.-built, owned, and crewed. The companies said the agreement establishes a path toward executing a charter contract for the first bunker vessel by mid-2026.
TOTE Services, a subsidiary of TOTE Group, provides ship management and vessel construction management and has prior experience with LNG-fueled vessels and bunkering operations. The company currently operates four LNG-powered cargo vessels and two LNG bunker vessels, and reports completing more than 850 LNG bunkering operations.
GLBP said the vessel partnership is part of its broader effort to reach a final investment decision in 2026. The company reported receiving required federal and state permits in 2025 from the U.S. Army Corps of Engineers, U.S. Coast Guard, Texas Railroad Commission, and Texas Commission on Environmental Quality. Engineering, procurement, and construction contracts have also been awarded, and the company said it continues to develop customer offtake agreements.
If completed, the project would add dedicated LNG bunkering infrastructure and vessels to the Gulf Coast market, an area that the company states is seeing increasing vessel traffic and interest in lower-emission marine fuels.