Stabilis did not reveal the name of the firm in a statement on Thursday.
The long-term agreement marks the Company’s first marine bunkering contract for liquefaction supply from its planned expansion along the Texas Gulf Coast.
According to Stabilis, this agreement enables the company to advance development of a new flagship waterfront LNG liquefaction facility, together with related marine logistics infrastructure, in Galveston, Texas.
Stabilis will supply approximately 50 million gallons (or 188,000 cubic meters) per year of LNG for marine bunkering operations in the port of Galveston under the deal.
Deliveries under the agreement are expected to commence in the fourth quarter of 2027, subject to the successful financing and construction of the Galveston LNG facility and other conditions precedent.
Under the terms of the agreement, Stabilis is required, among other things, to finalize project financing by the first quarter 2026, and complete construction on the Galveston LNG facility by the second quarter 2028.
In talks with other customers
Stabilis said the proposed Galveston LNG facility is expected to be a 350,000 gallon-per-day waterfront LNG liquefaction facility.
Upon completion, the facility is anticipated to increase Stabilis’ liquefaction capacity from 130,000 gallons per day from its two existing liquefaction facilities to 480,000 gallons per day.
The new facility will be strategically located to continue to serve Stabilis’ cruise customers as well as additional marine end markets such as container ships, car carriers, tankers, and bulk carriers in the port of Galveston, port of Houston, and surrounding Gulf Coast markets.
Stabilis said the bunkering agreement represents approximately 40 percent of the Galveston LNG facility’s planned capacity and provides a key anchor contract to advance the project.
The company also noted that it is in “advanced” discussions and negotiations with a “diverse base of customers” seeking to source LNG from its Galveston LNG facility.
LNG bunkering vessel
With the construction of its new LNG facility, Stabilis also plans to commission a dedicated Jones Act-compliant LNG bunkering vessel to serve the port of Galveston.
This vessel will transport LNG from the facility directly to waterborne customer vessels.
Together, the new LNG facility and bunkering vessel are expected to create a fully integrated, last-mile LNG delivery solution for customers, the company said.
Stabilis has identified a site for the new facility and has completed initial front-end engineering and design activities.
The company expects to complete the necessary financing and begin construction of the plant in early 2026.
Last year, Stabilis announced that it was working to take a final investment decision on a dedicated LNG bunkering facility along the US Gulf Coast.
In 2023, the company secured a multi-year contract from cruise operator Carnival to provide LNG fuel for the latter’s newest vessel Carnival Jubilee.
Stabilis currently owns a liquefier that can produce more than 100,000 LNG gallons per day in George West, Texas, and a liquefier that can produce up to 30,000 LNG gallons per day in Port Allen, Louisiana.
