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EDC: pipeline agreement advances LNG and Galveston Industries projects; city to apply for $7.22M EDA grant for port upgrades
Summary
EDC staff reported a signed agreement among two industrial projects to allow placement of a gas pipeline needed for final investment decisions, which could bring a roadway and other infrastructure; separately, the city will apply as the non-federal sponsor for an EDA grant (about $7.22 million) to fund port gate realignment and water-line upgrades with the Port of Texas City providing matching funds.
EDC staff reported Dec. 17 that two industrial projects — described as LNG and Galveston Industries developments — reached an agreement that allows the placement of a gas pipeline the projects say is necessary to make their final investment decisions. Staff said the projects expect to reach a final investment decision in the first or second quarter of 2026 and that the arrangement includes room for a roadway connection between the LNG site and the Galveston Industries parcel.
Separately, staff said the city will apply as the non-federal sponsor for an Economic Development Administration (EDA) grant on behalf of the Port of Texas City. The grant application would seek approximately $7.22 million to fund gate realignment to separate industry traffic from rail traffic and to upgrade an aging water line; the port would provide the matching funds if the grant is approved.
The board received the report as an update; no formal vote was required at the meeting.
Next steps: staff said they will continue to coordinate with project developers on pipeline routing and roadway alignment and will submit the EDA grant application on the port's behalf.
