<?xml version="1.0" encoding="UTF-8"?><edgarSubmission xmlns="http://www.sec.gov/edgar/schedule13g" xmlns:com="http://www.sec.gov/edgar/common">
  <headerData>
    <submissionType>SCHEDULE 13G/A</submissionType>
    <previousAccessionNumber>0001641172-25-015426</previousAccessionNumber>
    <filerInfo>
      <filer>
        <filerCredentials>
          <!-- Field: Pseudo-Tag; ID: Name; Data: Blue Water Acquisition III LLC -->
          <cik>0002073165</cik>
          <ccc>XXXXXXXX</ccc>
        </filerCredentials>
      </filer>
      <liveTestFlag>LIVE</liveTestFlag>



    </filerInfo>
  </headerData>
  <formData>
    <coverPageHeader>
      <amendmentNo>1</amendmentNo>
      <securitiesClassTitle>Class A Ordinary Shares, par value $0.0001 per share</securitiesClassTitle>
      <eventDateRequiresFilingThisStatement>11/25/2025</eventDateRequiresFilingThisStatement>
      <issuerInfo>
        <issuerCik>0002050501</issuerCik>
        <issuerName>Blue Water Acquisition Corp. III</issuerName>
        <issuerCusip>G1368E106</issuerCusip>
        <issuerPrincipalExecutiveOfficeAddress>
          <com:street1>15 E. Putnam Avenue,</com:street1>
          <com:street2>Suite 363,</com:street2>
          <com:city>Greenwich,</com:city>
          <com:stateOrCountry>CT</com:stateOrCountry>
          <com:zipCode>06830</com:zipCode>
        </issuerPrincipalExecutiveOfficeAddress>
      </issuerInfo>
      <designateRulesPursuantThisScheduleFiled>
        <designateRulePursuantThisScheduleFiled>Rule 13d-1(d)</designateRulePursuantThisScheduleFiled>
      </designateRulesPursuantThisScheduleFiled>
    </coverPageHeader>
    <coverPageHeaderReportingPersonDetails>


      <reportingPersonName>Blue Water Acquisition III LLC</reportingPersonName>
      <citizenshipOrOrganization>DE</citizenshipOrOrganization>
      <reportingPersonBeneficiallyOwnedNumberOfShares>
        <soleVotingPower>0.00</soleVotingPower>
        <sharedVotingPower>0.00</sharedVotingPower>
        <soleDispositivePower>0.00</soleDispositivePower>
        <sharedDispositivePower>0.00</sharedDispositivePower>
      </reportingPersonBeneficiallyOwnedNumberOfShares>
      <reportingPersonBeneficiallyOwnedAggregateNumberOfShares>0.00</reportingPersonBeneficiallyOwnedAggregateNumberOfShares>
      <aggregateAmountExcludesCertainSharesFlag>N</aggregateAmountExcludesCertainSharesFlag>
      <classPercent>0</classPercent>
      <typeOfReportingPerson>OO</typeOfReportingPerson>
    </coverPageHeaderReportingPersonDetails>
    <coverPageHeaderReportingPersonDetails>


      <reportingPersonName>Joseph Hernandez</reportingPersonName>
      <citizenshipOrOrganization>X1</citizenshipOrOrganization>
      <reportingPersonBeneficiallyOwnedNumberOfShares>
        <soleVotingPower>0.00</soleVotingPower>
        <sharedVotingPower>0.00</sharedVotingPower>
        <soleDispositivePower>0.00</soleDispositivePower>
        <sharedDispositivePower>0.00</sharedDispositivePower>
      </reportingPersonBeneficiallyOwnedNumberOfShares>
      <reportingPersonBeneficiallyOwnedAggregateNumberOfShares>0.00</reportingPersonBeneficiallyOwnedAggregateNumberOfShares>
      <aggregateAmountExcludesCertainSharesFlag>N</aggregateAmountExcludesCertainSharesFlag>
      <classPercent>0</classPercent>
      <typeOfReportingPerson>IN</typeOfReportingPerson>
    </coverPageHeaderReportingPersonDetails>
    <items>
      <item1>
        <issuerName>Blue Water Acquisition Corp. III</issuerName>
        <issuerPrincipalExecutiveOfficeAddress>15 E. Putnam Avenue, Suite 363, Greenwich, CT 06830</issuerPrincipalExecutiveOfficeAddress>
      </item1>
      <item2>
        <filingPersonName>(i) Blue Water Acquisition III LLC (the "Sponsor") and (ii) Joseph Hernandez. The Sponsor and Joseph Hernandez have entered into a Joint Filing Agreement, dated the date hereof, pursuant to which the Sponsor and Joseph Hernandez have agreed to file this statement and any subsequent amendments hereto jointly in accordance with the provisions of Rule 13d-1(k)(1) under the Act. Any disclosures herein with respect to persons other than the Sponsor and Joseph Hernandez are made on information and belief after making inquiry to the appropriate party. The filing of this statement should not be construed as an admission that any of the forgoing persons is, for the purposes of Section 13 of the Act, the beneficial owner of the Ordinary Shares reported herein.</filingPersonName>
        <principalBusinessOfficeOrResidenceAddress>c/o Blue Water Acquisition Corp. III, 15 E. Putnam Avenue, Suite 363, Greenwich, CT 06830</principalBusinessOfficeOrResidenceAddress>
        <citizenship>(i) Blue Water Acquisition III LLC - Delaware (ii) Joseph Hernandez - United States</citizenship>
      </item2>
      <item4>
        <amountBeneficiallyOwned>The responses to Items 5-11 of the cover pages of this Schedule 13G are incorporated herein by reference.</amountBeneficiallyOwned>
        <classPercent>0</classPercent>
        <numberOfSharesPersonHas>
          <solePowerOrDirectToVote>0</solePowerOrDirectToVote>
          <sharedPowerOrDirectToVote>0</sharedPowerOrDirectToVote>
          <solePowerOrDirectToDispose>0</solePowerOrDirectToDispose>
          <sharedPowerOrDirectToDispose>0</sharedPowerOrDirectToDispose>
        </numberOfSharesPersonHas>
      </item4>
      <item6>
        <notApplicableFlag>Y</notApplicableFlag>
      </item6>
      <item7>
        <notApplicableFlag>Y</notApplicableFlag>
      </item7>
      <item8>
        <notApplicableFlag>Y</notApplicableFlag>
      </item8>
      <item9>
        <notApplicableFlag>Y</notApplicableFlag>
      </item9>
      <item10>
        <notApplicableFlag>Y</notApplicableFlag>
      </item10>
    </items>
    <exhibitInfo>Exhibit 1. Joint Filing Agreement pursuant to Rule 13d-1(k)</exhibitInfo>
    <signatureInformation>
      <reportingPersonName>Blue Water Acquisition III LLC</reportingPersonName>
      <signatureDetails>
        <signature>/s/ Joseph Hernandez</signature>
        <title>Managing Member</title>
        <date>11/28/2025</date>
      </signatureDetails>
    </signatureInformation>
    <signatureInformation>
      <reportingPersonName>Joseph Hernandez</reportingPersonName>
      <signatureDetails>
        <signature>/s/ Joseph Hernandez</signature>
        <title>Joseph Hernandez</title>
        <date>11/28/2025</date>
      </signatureDetails>
    </signatureInformation>
  </formData>

</edgarSubmission>
