Crowley and Naturgy launch LNG supply between the United States and Puerto Rico

Crowley, in partnership with Naturgy, has launched LNG transport to Puerto Rico, bypassing restrictions imposed by the Jones Act to meet the island's energy demand.

Share:

Subscribe for unlimited access to all the latest energy sector news.

Over 150 multisector articles and analyses every week.

For less than €3/week*

*For an annual commitment

*Engagement annuel à seulement 99 € (au lieu de 149 €), offre valable jusqu'au 30/07/2025 minuit.

Crowley, an American shipping company, has begun operations with its LNG tanker American Energy to ensure the supply of liquefied natural gas (LNG) between the United States and Puerto Rico. This partnership with Naturgy, a Spanish company, aims to support electricity generation on the island by supplying LNG to a receiving facility located in Peñuelas, on the southern coast of Puerto Rico.

The American Energy tanker, with a capacity of 130,400 cubic meters, will provide enough energy to power 80,000 homes for a year. The agreement between Crowley and Naturgy involves regular LNG deliveries from the Corpus Christi LNG terminal in Texas, where the ship was moored for its first mission. This operation responds to the need to stabilize Puerto Rico’s energy grid, which has long relied on alternative supply sources, particularly from Trinidad.

Bypassing the Jones Act of 1920

LNG transport between the United States and Puerto Rico falls within the framework of the Jones Act of 1920, which mandates that goods shipped between two U.S. ports must be transported on vessels built in the United States and flying the U.S. flag. However, the American Energy was reflagged under the U.S. flag after being built in France 31 years ago. This reflagging was made possible through an exception to the Jones Act that allows vessels built before 1996 to undergo this process, provided they are operated by an American crew.

This exemption allowed Crowley to comply with regulations while providing a supply solution for Puerto Rico. However, this solution is unlikely to be replicated in the short term due to the limited demand for U.S. LNG tankers, given the constraints of the Jones Act.

Commercial and Strategic Context

The partnership between Crowley and Naturgy marks a turning point in Puerto Rico’s energy strategy. The island recently ended its LNG supply contracts with Trinidad, a major supplier in recent years. By strengthening its presence in the U.S., Naturgy ensures a stable supply of liquefied natural gas while enhancing the competitiveness of its offerings in the global LNG market. This initiative could also pave the way for other similar contracts, although LNG supply between U.S. ports remains restricted by the Jones Act.

Moreover, Puerto Rico continues to rely on New Fortress Energy, which, through its offshore terminal in Mexico, also facilitates LNG imports while complying with regulations thanks to a waiver obtained from U.S. Customs authorities. This system allows for the bypassing of certain restrictions imposed by the Jones Act, but within a framework different from the one used by Crowley.

Energy Supply Outlook for Puerto Rico

This project allows Puerto Rico to diversify its LNG supply sources and reduce its dependence on certain traditional suppliers. By utilizing U.S.-based infrastructure and increasing supply options, the island aims to secure a more reliable energy source and optimize its electricity production costs.

In this context, the agreement between Crowley and Naturgy also highlights the tensions related to U.S. regulation, notably the Jones Act, which continues to be an obstacle for LNG transport between U.S. ports and its territories like Puerto Rico. However, this initiative could encourage other companies to consider similar solutions to meet the growing LNG demand in the region.

ACEN strengthens its international strategy with over 2,100 MWdc of attributable renewable capacity in India, marking a major step in its expansion beyond the Philippines.
Developer Acen Australia has submitted a battery storage project to the federal government, targeting 440MW/1,760MWh in a region near solar and mining infrastructure in Queensland.
Joule, Caterpillar and Wheeler have signed a partnership to provide four gigawatts of energy to a next-generation data centre campus in Utah, integrating battery storage and advanced cooling solutions.
GFL Environmental announces the recapitalization of Green Infrastructure Partners at an enterprise value of $4.25bn, involving new institutional investors and a major redistribution of capital to its shareholders.
Uniper reaffirms its targets for the year, narrows its forecast range, and strengthens its transformation strategy while launching cost-cutting measures in a demanding market environment.
BrightNight’s Asian subsidiary becomes Yanara and positions itself as an independent player to strengthen the development of large-scale renewable energy solutions in the Asia-Pacific region.
Brookfield acquires 19.7% of Duke Energy Florida for $6 billion, strengthening the group's investment capacity and supporting a five-year modernisation plan valued at $87 billion.
Suncor Energy reports improved profitability in the second quarter of 2025, driven by controlled industrial execution and a market-focused financial policy.
Rubellite Energy Corp. reports a 92% rise in heavy oil production and a reduction in net debt in the second quarter of 2025, driven by increased investment in the development of Figure Lake and Frog Lake.
With a net profit of $1.385bn in the second quarter of 2025 and a sharp rise in capex, ADNOC Gas consolidates its position in the global natural gas market.
Siemens Energy posts historic third-quarter orders, significant revenue growth and lifts its dividend ban, reinforcing its backlog strength and ambitions for profitable growth in 2025.
The proliferation of Chinese industrial sites abroad, analysed by Wood Mackenzie, allows renewable energy players to expand their hold on the sector despite intensified global protectionist measures.
Pedro Cherry becomes chief executive officer of Mississippi Power, succeeding Anthony Wilson, as the company navigates regional growth and significant challenges in the energy sector of the southern United States.
METLEN Energy & Metals makes its debut on the London Stock Exchange after a share exchange offer accepted by more than 90% of shareholders, opening a new phase of international growth.
Q ENERGY France secures a EUR109mn loan from BPCE Energeco for the construction of two wind farms and two solar power plants with a combined capacity of 55 MW.
The Canadian energy infrastructure giant launches major projects totaling $2 billion to meet explosive demand from data centers and North American industrial sector.
Chevron’s net profit dropped sharply in the second quarter, affected by falling hydrocarbon prices and exceptional items, as the group completed its acquisition of Hess Corporation.
ExxonMobil reports a decrease in net profit to $7.08bn in the second quarter but continues its policy of high shareholder returns and advances its cost reduction objectives.
Sitka Power Inc. completes the acquisition of Synex Renewable Energy Corporation for $8.82 mn, consolidating its hydroelectric assets and strengthening its growth strategy in Canada.
DLA Piper assists Grupo Cox in a planned transfer of Iberdrola assets in Mexico, with a reported value of $4.2 billion, mobilising an international legal team.
Consent Preferences