Power LNG is moving forward with Project Seawolf, a planned liquefied natural gas production and fueling complex on Pelican Island in Galveston. The company intends to develop the facility on roughly 30 acres of port-owned land under a long-term lease structure, with an initial 30-year term and options for two additional 10-year renewals. Under the arrangement described, Power LNG will handle all key aspects of the project, including financing, permitting, construction and ongoing operations of the installation.
The proposed facility is designed to support maritime decarbonization and fuel flexibility for vessels operating along the upper Texas Gulf Coast. Once operational, Project Seawolf is expected to supply LNG bunkering fuel to cruise ships and cargo vessels serving the Galveston, Houston and Texas City ship channels. The project would add dedicated LNG production and storage capacity directly adjacent to active port infrastructure, positioning Pelican Island as a regional bunkering node for commercial shipping activity.
Power LNG plans to invest about $240 million in the initial development phase. The design calls for two liquefaction units capable of producing a combined 400,000 gallons of LNG per day. In addition to the liquefaction equipment, the project would include a 3-million-gallon LNG storage tank, along with an underground natural gas pipeline to feed the plant. The facility would also feature a pier engineered to load LNG directly onto ships and onto specialized bunkering vessels, enabling ship-to-ship fueling and broader marine distribution of LNG product.
Construction of Project Seawolf remains contingent on arranging the necessary project financing, obtaining required regulatory permits and satisfying other development conditions. These steps will determine the ultimate timing of site work and vertical development. According to the current schedule outlined by Power LNG, equipment ordering is expected to begin in early 2027, subject to those contingencies. If that timeline holds, the company is targeting the start of commercial LNG production in the fourth quarter of 2028.
The long-term lease structure with the port, combined with significant planned capital investment and on-site storage and marine loading capabilities, would create a dedicated industrial asset focused on supplying LNG fuel to large vessels in and around Galveston. Should the project advance through permitting and financing as anticipated, it would add new infrastructure to support maritime energy needs and potentially expand the region’s role in LNG bunkering services.
