diff --git a/resources/Nebula1.png b/resources/Nebula1.png
index a222707a8c..43eef76472 100644
Binary files a/resources/Nebula1.png and b/resources/Nebula1.png differ
diff --git a/resources/Nebula2.png b/resources/Nebula2.png
index ae63caec84..8dbcc0ec34 100644
Binary files a/resources/Nebula2.png and b/resources/Nebula2.png differ
diff --git a/resources/Nebula3.png b/resources/Nebula3.png
index 90f66f3df5..b4cc3d9935 100644
Binary files a/resources/Nebula3.png and b/resources/Nebula3.png differ
diff --git a/resources/shaders/nebula.shader b/resources/shaders/nebula.shader
new file mode 100644
index 0000000000..9a6c4909d8
--- /dev/null
+++ b/resources/shaders/nebula.shader
@@ -0,0 +1,32 @@
+[vertex]
+uniform vec4 color;
+uniform mat4 view;
+uniform mat4 projection;
+uniform mat4 model;
+
+attribute vec3 position;
+attribute vec2 texcoords;
+
+varying vec2 fragtexcoords;
+varying vec4 fragcolor;
+
+void main()
+{
+    fragtexcoords = texcoords;
+    gl_Position = projection * ((view * model * vec4(position, 1.0)) + vec4((texcoords.x - 0.5) * color.a, (texcoords.y - 0.5) * color.a, 0.0, 0.0));
+    fragcolor = vec4(color.rgb, 1.0);
+}
+
+[fragment]
+uniform sampler2D textureMap;
+
+varying vec4 fragcolor;
+varying vec2 fragtexcoords;
+
+void main()
+{
+    vec4 texColor = texture2D(textureMap, fragtexcoords.st);
+    texColor.rgb *= texColor.a;     // Pre-multiply alpha channel
+
+    gl_FragColor = texColor * fragcolor;
+}
diff --git a/src/shaderRegistry.cpp b/src/shaderRegistry.cpp
index 0bc8c7e094..936e73dad1 100644
--- a/src/shaderRegistry.cpp
+++ b/src/shaderRegistry.cpp
@@ -26,6 +26,7 @@ namespace ShaderRegistry
             "shaders/basic",
             "shaders/basicColor",
             "shaders/billboard",
+            "shaders/nebula",
             "shaders/objectShader",
             "shaders/objectShader:ILLUMINATION",
             "shaders/objectShader:SPECULAR",
diff --git a/src/shaderRegistry.h b/src/shaderRegistry.h
index c4dbf0e995..20e71388df 100644
--- a/src/shaderRegistry.h
+++ b/src/shaderRegistry.h
@@ -29,6 +29,7 @@ namespace ShaderRegistry
 		Basic = 0,
 		BasicColor,
 		Billboard,
+		Nebula,
 		Object,
 		ObjectIllumination,
 		ObjectSpecular,
diff --git a/src/spaceObjects/nebula.cpp b/src/spaceObjects/nebula.cpp
index 0108b6bfab..f1a6242ab3 100644
--- a/src/spaceObjects/nebula.cpp
+++ b/src/spaceObjects/nebula.cpp
@@ -59,7 +59,7 @@ Nebula::Nebula()
 
 void Nebula::draw3DTransparent()
 {
-    ShaderRegistry::ScopedShader shader(ShaderRegistry::Shaders::Billboard);
+    ShaderRegistry::ScopedShader shader(ShaderRegistry::Shaders::Nebula);
 
     std::array<VertexAndTexCoords, 4> quad{
         glm::vec3{}, {0.f, 1.f},
@@ -71,7 +71,13 @@ void Nebula::draw3DTransparent()
     gl::ScopedVertexAttribArray positions(shader.get().attribute(ShaderRegistry::Attributes::Position));
     gl::ScopedVertexAttribArray texcoords(shader.get().attribute(ShaderRegistry::Attributes::Texcoords));
 
-    for(int n=0; n<cloud_count; n++)
+    glVertexAttribPointer(positions.get(), 3, GL_FLOAT, GL_FALSE, sizeof(VertexAndTexCoords), (GLvoid*)quad.data());
+    glVertexAttribPointer(texcoords.get(), 2, GL_FLOAT, GL_FALSE, sizeof(VertexAndTexCoords), (GLvoid*)((char*)quad.data() + sizeof(glm::vec3)));
+
+    // Enable blending for pre-multiplied alpha textures
+    glBlendFunc(GL_SRC_ALPHA, GL_ONE_MINUS_SRC_ALPHA);
+    glBlendEquation(GL_FUNC_ADD);
+    for(int n = 0; n < cloud_count; n++)
     {
         NebulaCloud& cloud = clouds[n];
 
@@ -79,26 +85,32 @@ void Nebula::draw3DTransparent()
         float size = cloud.size;
 
         float distance = glm::length(camera_position - position);
-        float alpha = 1.0f - (distance / 10000.0f);
-        if (alpha < 0.0f)
+        float alpha = distance / 10000.0f;  // Linearly scale alpha based on distance
+
+        if (alpha < 0.0f)       // Skip clouds if their alpha is below 0
             continue;
+        if (alpha > 1.0f)       // Clamp alpha to 1.0 for clouds further away than the limit
+            alpha = 1.0f;
 
-        // setup our quad.
+        // Setup quad vertices with the current position
         for (auto& point : quad)
         {
             point.vertex = position;
         }
 
         textureManager.getTexture("Nebula" + string(cloud.texture) + ".png")->bind();
-        glUniform4f(shader.get().uniform(ShaderRegistry::Uniforms::Color), alpha * 0.8f, alpha * 0.8f, alpha * 0.8f, size);
+        // Update uniforms for each cloud
+        glUniform4f(shader.get().uniform(ShaderRegistry::Uniforms::Color), alpha, alpha, alpha, size);
         auto model_matrix = glm::translate(getModelMatrix(), {cloud.offset.x, cloud.offset.y, 0});
         glUniformMatrix4fv(shader.get().uniform(ShaderRegistry::Uniforms::Model), 1, GL_FALSE, glm::value_ptr(model_matrix));
 
-        glVertexAttribPointer(positions.get(), 3, GL_FLOAT, GL_FALSE, sizeof(VertexAndTexCoords), (GLvoid*)quad.data());
-        glVertexAttribPointer(texcoords.get(), 2, GL_FLOAT, GL_FALSE, sizeof(VertexAndTexCoords), (GLvoid*)((char*)quad.data() + sizeof(glm::vec3)));
         std::initializer_list<uint16_t> indices = { 0, 3, 2, 0, 2, 1 };
         glDrawElements(GL_TRIANGLES, 6, GL_UNSIGNED_SHORT, std::begin(indices));
     }
+
+    // Restore blending after the loop
+    glBlendFunc(GL_ONE, GL_ONE);
+    glBlendEquation(GL_FUNC_ADD);
 }
 
 void Nebula::drawOnRadar(sp::RenderTarget& renderer, glm::vec2 position, float scale, float rotation, bool long_range)