Texas Offshore LNG Terminal Speeds Towards Development
A proposed LNG terminal slated for development off the coast of Texas could be the fastest-moving project of its kind in the United States. ST LNG, a platform-based offshore liquefaction plant, applied to the Maritime Administration for permitting approval in June 2025. It received a federal record of decision for its plans this week, and expects to reach a final investment decision by the end of next year. All going well, it could load its first commercial cargoes as early as the middle of 2030, ST LNG president Alap Shah told Reuters this week.
ST LNG plans to build modular liquefaction plants on platforms and install them offshore, much like New Fortress Energy's "fast LNG" terminal concept. The ST LNG terminal plan calls for four modular liquefaction platforms at a position off the coast of Matagorda, Texas, each paired with a converted LNG carrier for storage. Combined capacity will be about eight million tonnes per annum (mtpa) at a capex cost of about $8.1 billion, in line with development costs for Gulf Coast LNG plant projects. It benefits from proximity to an existing natural gas pipeline and gas treatment infrastructure, as well as the abundant pipeline gas available in Texas' market.
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By its nature, the ST LNG terminal qualifies for regulation under the Deepwater Port Act of 1974 (DWPA). Responsibility for the regulatory review of DWPA project proposals was transferred from the U.S. Coast Guard to the Maritime Administration in early 2026, and MARAD has highlighted its efforts to get these projects consented as quickly as possible. From start to finish, ST LNG's National Environmental Policy Act (NEPA) review took just 410 days, about 70 percent faster than the historical average, according to the Maritime Administration. It is the third project that MARAD has approved under the DWPA since the beginning of the Trump administration.
Next, ST LNG needs to secure about two mtpa worth of long term sales and purchase agreements lined up - enough for the first unit. As the facility's capacity books up, subsequent units will be installed in sequence, ST LNG CEO Sharad Tak told Reuters this week.
