This channel, located at the mouth of Buffalo Bayou on Galveston Bay, is itself a tributary to the larger Houston Ship Channel, which runs from Houston, through the bay, to the Gulf of Mexico.

[2][6] The terminal both directly and indirectly contributes thousands of jobs to the Galveston Bay Area and is a key factor in the economy of Greater Houston.

The loading area covers 230 acres (93 ha), with 255,000 square feet (23,700 m2) of warehouse/storage space.

[7] Barbours Cut was the first port in the United States to implement the ISO 14001 environmental management standard, a rigorous set of requirements for minimizing a business' effects on the environment.

[8] Nevertheless, the Natural Resources Defense Council, an environmental advocacy group, has given Barbours Cut and the Port of Houston a grade of "F" citing "its deplorable treatment of local residents and its few noteworthy programs to reduce the effects of its operations on air and water quality.