Citing an increase in the number of ships running on liquified natural gas, a company has approached the Port of Galveston about building an LNG fuel facility on Pelican Island.

The facility, which might cost as much as $500 million to build, would fill fuel-supplying bunker ships with liquid gas, according to a proposal by Houston-based Pilot LNG.

The company approached the Wharves Board of Trustees during its regular meeting Tuesday. Officials asked the port to consider signing a memorandum of understanding setting aside a tract on the northeast part of Pelican Island, at least temporarily, as the company continues to develop its business plans.

“We can service the cruise industry and the tanker industry,” Pilot LNG CEO Jonathan Cook told wharves trustees.

The facility would be the first of its kind at a deep-water port in the Gulf of Mexico, Cook said.

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