After New Orleans, David Farragut's force moved up the Mississippi, and Terry was present when the salt water fleet ran the gauntlet at Vicksburg and joined Flag Officer Charles Henry Davis' riverine fleet above the Confederate stronghold. In January 1863, Terry was promoted to lieutenant commander. On March 14, his ship joined others of the fleet in bombarding the batteries surrounding Port Hudson so that Farragut could dash past them and establish a blockade cutting the Confederacy's Red River supply line. In his last major engagement, the Battle of Mobile Bay on August 5, 1864, Terry helped to close the last major Confederate port on the Gulf of Mexico.