Excelerate Energy Signs LNG Supply Agreement for Its Bahamas Hub

Excelerate Energy advanced the development of its LNG hub project in the Bahamas after signing an 11-year supply agreement with AxDo Bahamas, a joint venture between Switzerland's Axpo and local operator Domicisle LNG. Under the agreement, Excelerate will supply AxDo Bahamas with up to 16 trillion BTU (TBtu) of LNG per year, making the joint venture the anchor customer for the future Bahamas LNG Hub.

The offshore storage and distribution terminal is planned near Grand Bahama and aims to supply marine bunkering, power generation and other customers in the Bahamas and the wider Caribbean. First LNG deliveries are expected in 2027 using Excelerate's existing infrastructure in Jamaica, while in a second phase the company plans to deploy a floating storage unit (FSU) near Grand Bahama in 2028, subject to permitting and construction schedules.

Daniele Corti, Axpo's head of small-scale LNG, said that reliable access to energy is essential for the development of the Bahamas and the Caribbean, and highlighted Axpo's experience in international energy markets and supply chains. Meanwhile, Greg Buffington, CEO of Domicisle LNG, noted that the company's focus is on making natural gas more accessible to power generators, marine operators and communities in the Bahamas. AxDo Bahamas was created in October 2026 to operate small-scale LNG and bunkering in the region.

The project also targets cruise ship fuel demand, as Grand Bahama sits along a key Caribbean shipping corridor. According to the Cruise Lines International Association (CLIA), 22 LNG-powered cruise ships are currently in operation worldwide, with another 47 dual-fuel vessels on order through 2039, with Carnival Corporation, Royal Caribbean Group, MSC Cruises and Disney Cruise Line among the cruise lines investing in LNG propulsion.

In parallel, Excelerate Energy readjusted the FSRUs planned for its projects in order to avoid transits through the Strait of Hormuz. In addition, Petrobras extended the charter of the FSRU Excelerate Sequoia until 2038.