Excelerate Energy signs 11-year LNG supply deal for Bahamas hub

Excelerate Energy has agreed to an 11-year LNG supply deal with AxDo Bahamas, the US company announced. 

Under the terms of the deal, AxDo will become the principal customer for Excelerate Energy's (NYSE: EE) proposed offshore LNG facility, which is planned for waters close to Grand Bahama.

The supply agreement will see Excelerate make deliveries of up to 16 trillion British thermal units (TBtu) per year, providing a commercial basis for the development of the project and its associated distribution operations.

AxDo Bahamas is a newly formed joint venture between Swiss energy group Axpo and Bahamas-based energy and maritime logistics company Domicisle LNG. Established in October 2026, the joint venture will focus on developing regional small-scale LNG supply and marine bunkering activities.

The partnership brings together Excelerate's LNG infrastructure and procurement capabilities with AxDo's shipping, trading and downstream market expertise. The companies intend to serve expanding natural gas requirements across The Bahamas and neighbouring Caribbean markets.

The Bahamas LNG Hub is intended to supply both the electricity generation sector as well as the marine fuel industry.

The project is expected to advance in two stages. The first deliveries of the super-chilled fuel are scheduled to commence in 2027, drawing on Excelerate's existing supply arrangements and logistics infrastructure in Jamaica.

Meanwhile stage two will see the deployment of a floating storage unit (FSU) offshore Grand Bahama. This vessel would provide the storage capacity and distribution infrastructure required for the planned hub and is expected to be deployed in 2028.

The second stage remains dependent on regulatory approvals, construction schedules and relevant contractual conditions.

Grand Bahama's location along an important Caribbean shipping route is expected to provide commercial advantages, particularly for LNG bunkering operations serving cruise vessels and other maritime customers. The facility could also support regional fuel distribution.