Colombia
Petrobras confirms major gas discovery offshore
October 04, 2024 (WO)
Petrobras confirmed a significant gas discovery in Colombia’s Guajira offshore basin, estimating the potential reserves at around 6 trillion cubic feet (Tcf).
The discovery in the Sirius-1 and Sirius-2 wells, formerly known as Uchuva-1 and Uchuva-2. underscores the importance of the area for Colombia’s energy market. Petrobras, operating through its subsidiary Petrobras International Braspetro B.V. – Colombia, holds a 44.44% stake in the consortium, with the remaining 55.56% held by Ecopetrol. The consortium will continue working to develop the area, adhering to planning and contractual agreements with the National Hydrocarbons Agency (ANH). Further studies will be conducted to assess the commercial viability of the reserves.
Petrobras & Ecopetrol ordered to halt drilling gas well offshore Colombia
Andrea Jaramillo, Bloomberg September 15, 2024
A Colombian judge ordered Ecopetrol SA and Petroleo Brasileiro SA to halt the drilling of an offshore gas well in Caribbean waters after an Indigenous community sought legal protection.
The community in Taganga, near the city of Santa Marta, claimed their consent should have been requested before the companies were allowed to drill the Uchuva-2 well, according to a copy of the document published by Caracol Radio. Petrobras is the operator of the Tayrona block with a 44.4% stake and Ecopetrol has the remaining 55.6%.
The Colombian company is expected to publish a statement commenting on the decision.
Set to face a shortfall of natural gas at the start of next year, Colombia’s hopes are riding on the future potential of its deepwater wells. Ecopetrol’s offshore chief, Elsa Jaimes, said last month that production from Caribbean waters could come online as early as 2029, depending on approvals from local communities and securing environmental licenses. The judge’s ruling to halt the drilling of Uchuva-2, which began in June, isn’t the only setback for Ecopetrol.
Last month, Colombia’s environmental licensing authority suspended the process to allow drilling of a separate offshore oil well that would set a new world drilling record. The state energy company and Occidental Petroleum Corp. said they plan to start drilling the Komodo-1 well later this year at a depth of roughly 3,900 m (nearly 13,000 ft).
The Uchuva-2 ruling also represents another major offshore exploration setback for Petrobras. In Brazil, it has been blocked from drilling at a key section of the Equatorial Margin due to “environmental concerns.”
Colombia:
Arrow Exploration updates well results in the Tapir Block
23 Sep 2024
Arrow Exploration, the high-growth operator with a portfolio of assets across key Colombian hydrocarbon basins, has provided an update on operational activity, particularly at the multi horizon, Carrizales Norte (‘CN’) field on the Tapir Block in the Llanos Basin of Colombia.
CNB HZ-5
The fourth horizontal well on the Carrizales Norte ‘B’ pad (CNB HZ-5) is now on production. The well has a current flow rate exceeding 2,700 BOPD gross (1,350 BOPD net to Arrow) and production is continuing to increase.
Currently the well, which has been cleaning up over time, has an 11% water cut. Management’s expectations are that the CNB HZ-5 well will achieve production rates similar to the Company’s first three horizontal wells, and similar payback schedules of less than 2 months. Please note initial production flows are not necessarily indicative of long-term performance or ultimate recovery and a stabilized production rate will be determined in the first few weeks of operations, in keeping with conservative reservoir management. Further updates will be provided in due course.
CNB HZ-5 was spud on August 22, 2024, and reached a target depth of 8,472 feet (true vertical depth) on September 7, 2024. The well was drilled to a total measured depth of 13,350 feet with a horizontal section of approximately 4,070 feet. CNB HZ-5 came on production on September 15, 2024, with the use of an electric submersible pump (ESP) and, based on initial results, has displayed comparable reservoir characteristics to the other horizontal wells drilled on the CNB pad.
The CNB HZ-5 is the second Arrow well to use Autonomous Inflow Control Devices (AICDs) which are designed to limit the water cut in horizontal wells. The results of CNB HZ-4 and HZ-5 are being closely monitored to determine if these technologies, or others, will enhance production and ultimate recovery in the Ubaque reservoir.
CNB HZ-4, HZ-3 and HZ-1
The first three horizontal wells (CNB HZ-1, HZ-3 and HZ-4) on the CNB pad continue to perform above expectations with the following flow rates and water cuts:
CNB HZ-4 Gross 2,120 BOPD Net 1,060 BOPD Water Cut 13%
CNB HZ-3 Gross 1,900 BOPD Net 950 BOPD Water Cut 48%
CNB HZ-1 Gross 1,600 BOPD Net 800 BOPD Water Cut 52%
Upcoming Drilling
The Petroworks rig is being moved to the sixth cellar on the Carrizales Norte B Pad where the Company plans to spud the fifth horizontal well (CNB HZ-6). Thereafter, the Company expects to drill one additional horizontal well on the B pad, followed by the Chorreron-1 (formerly known as Baquiano-1) exploration well, which is on trend with the Carrizales Norte field.
Corporate Update
Current net corporate production is approximately 5,835 BOE/D, inclusive of CNB HZ-5.
Arrow’s cash position was approximately $15 million on September 1, 2024. Arrow has maintained a healthy balance sheet with no debt.
Marshall Abbott, CEO of Arrow Exploration Corp., commented:
‘The horizontal wells at the CNB pad continue to surpass expectations. Arrow’s focus for the remainder of 2024 will be the completion of the six well horizontal well program at Carrizales Norte as well as a low-risk exploration well at the Baquiano prospect.’
‘Arrow has begun the planning and construction of roads and pads in the Tapir block in order to accelerate the 2025 capital program which is expected to include the drilling of low-risk exploration wells at Mateguafa Oeste, Capullo, and Mateguafa Attic. In 2025 the Company is also targeting further horizontal Ubaque and vertical C7 development drilling at Carrizales Norte, and Baquiano. The Company is also planning to drill further development vertical wells at Rio Cravo Este, commencing at the end of 2024 and continuing in 2025 with a second drilling rig.’
‘This enhanced capital program underlies the prolific setting of the Tapir Block in the Llanos Basin in Colombia. The block displays significant hydrocarbon density in multiple oil-bearing zones down to 10,000 feet total depth.’
‘Arrow continues to improve drilling metrics on both horizontal and vertical wells, using internally generated development drilling and completion strategies.’
For further info, see Arrow’s latest Corporate Presentation (September 2024)
Source: Arrow Exploration
Cuba
Melbana Energy announces approval of Block 9 Amistad field development
11 Sep 2024
Highlights
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- Initial development of Unit 1B formally approved and on track for Q1 2025.
- Construction approval received for the next Unit 1B well pad.
- Additional pads progressing through permitting.
- Oil truck/tankers have arrived in country. All export approvals received.
- Oil offtake contract terms being finalised with an international oil trader.
- Remediation of existing Unit 1B production well planned for November.
- Export of initial oil cargo on track for end of 2024.
Melbana Energy’s Executive Chairman, Andrew Purcell, commented: ‘It’s been a busy few months getting everything organised to meet our goal of exporting our first trial cargo of oil by the end of this year. Production from the existing completion in Unit 1B from the Alameda-2 well was recently brought back online to further refine our logistics, storage and processing arrangements as well as to build some more inventory. Remediation of this completion is planned for November, the objective of which is to restore the well’s initial production rate of 1,235 barrels per day. All export approvals are in place and the oil trucks/tankers we requested have arrived in country. Offtake arrangements with a major international oil trader are also in an advanced stage of negotiation.
With regards to the next stage of the development of Unit 1B, the work program and budget for the remediation of the exisitng Unit 1B completion and the installation of two additional production wells has been approved by our partner and the regulator with construction of the new drilling pads planned to commence towards the end of the current rainy season (usually around November). It is planned to continue to drill production wells once the results from these first wells are available. The drilling rig will complete its current work by next month and is available for us again when we need it.
In parallel, we continue to study the results of the Alameda-3 appraisal well and the forward plan for the remediation of these deeper reservoirs will be finalised once the results of the Unit 1B remediation can be incorporated. Our focus, however, remains on the development of new production wells in the shallower Unit 1B reservoir to increase the rate of production from the 46 million barrels of Contingent Resource (100% share, Best Estimate)1 as quickly as possible, which we expect to be able to do with the financial resources currently available to us supplemented by the revenue from oil sales.
We’re looking forward to reaching this important Company milestone – transitioning from being an explorer to becoming a producer’.
Melbana Energy, a 30% interest holder in and Operator of Block 9 PSC onshore Cuba, has provided this operational update.
Field development
The first of the next seven new well pads (see Figure 1) has been approved for construction with permitting of the remaining pads proceeding satisfactorily. Each of these pads will be permitted for two production wells. The approval demonstrates that Melbana has again completed the required stakeholder consultation, hazard modelling, and economic analyses to the satisfaction of the regulator. The contractor for the required civil works is expected to commence work towards the end of the rainy season (usually about November).
The first phase of the field development plan involves the remediation of the exisitng Unit 1B completion (see below) and the drilling of more production wells into Unit 1B of the Amistad Structure, given our demonstrated ability to quickly access this shallower formation, to increase recovery of the 46 million barrels of Contingent Resource (100% share, best estimate)(1) that was independently estimated to exist there.
Our short-term goal remains to export the first cargo of oil production to test and analyse the performance of logistics, storage and commercial arrangements before the end of this year.
The proposed phased development plan will see us drill a series of new Unit 1B production wells using existing 2D seismic control targeting the highest confidence 1C resource of 16 million barrels (100% share, low estimate)(1). A 3D seismic acquisition planned for next year will allow subsequent development wells
to be more accurately positioned to more efficiently develop the entire recoverable 2C Contingent Resource of 46 million barrels (100% share, best estimate) and pursue the entire 3C Contingent Resource (100% share, high estimate) of 129 million barrels(1).
Our engineering team have finalised the Basis of Well Design (BOWD) concept for the upcoming field development wells. The revised BOWD incorporates learnings from Alameda-2 and Alameda-3 regarding mud weight, drilling and completion techniques to minimise costs and formation damage whilst maximising recovery rates by intercepting the entire net pay zone at optimal orientation given the information gained on the dominant fracture system from the appraisal well program (see Figure 2).
Alameda-2 remediation and Unit 1B development drilling
Prior to the drilling of the next production wells, it is planned to remediate the existing Unit 1B completion of Alameda-2 to correct near-wellbore formation damage established by comparison of results from the original Drill Stem Test (DST) and Extended Production Test.
The goal of the program is to return the well to the superior rates observed in the initial DST (stabilised flow rate of 1,235 barrels of oil per day(2) obtained from perforations cover only about 20% of the net pay zone). Key steps in the program include using a service rig (available in country) to pull the completion, adding perforations to the lower area of Unit 1B and undertaking an acid wash and squeeze before re-running the completion.
Alameda-3
Melbana’s team have completed scoping and are preparing to commence routine and special core analysis incorporating a formation damage study to inform operations for the upcoming drill program and determine the best corrective course of action for Alameda-3.
Petrophysical analysis of Alameda-3 well logs and correlation to core has been conducted, with a key finding that up to 480 metres (TVD) of net pay was observed in the Alameda sheet and up to 103 metres (TVD) for the Marti sheet.
Given the similarity of these results to logs obtained whilst drilling Alameda-1, it is believed that the observed poor productivity, particularly for the Alameda sheet, was likely due to a combination of higher than planned mud weight and a long duration of mud/chemical exposure to the reservoir causing formation damage.
Commercialisation
Melbana’s engineering and commercial teams continue to optimise their plans for the delivery of oil produced in Block 9 (see Figure 3), with the plan being a direct trucking route to truck receiving pits connected to oil storage tanks at the Matanzas Supertanker port.
The port has multiple storage tanks options, and the Company is negotiating to gain access to storage of 250,000 barrels to optimise parcel sizes, which at a putative 5,000 barrels of oil per day production rate would support an uplift every other month (Figure 3). Alternatives delivery routes using existing processing and pipeline infrastructure are being pursued in parallel.
The Company is formalising a joint marketing and sales agreement with all Block 9 stakeholders to export 100% of production. Negotiations with major international commodity traders interested in purchasing the 19.8° API and 2.7% sulphur Unit 1B crude are at an advanced stage.The Company is also in discussions with several potential new partners and credit providers who demonstrated interest in participating in development of Block 9.
Source: Melbana Energy
Energy consultant Kevin Ramnarine: Venezuela very difficult now
2024, 09/05
Former TT Energy Minister Kevin Ramnarine says ongoing political unrest would impact doing business with Venezuela.
TT state-owned National Gas Company (NGC) has a 30 year-licence with Venezuelan SOC PDVSA to develop the Dragon gas field with Royal Dutch Shell as operator and then the 20-year licence for the Cocuina/Manakin crossborder field project.
“The reality is that you see what’s happening in Venezuela. Even if things were to clear up across there, it still would be very difficult. The reports coming out of Venezuela, it’s very difficult to get things done. A lot of things don’t work.”
Ramnarine noted if he was in government, he would not have put all his eggs in that Venezuelan basket, given what’s happening there.
“Also, we don’t know what’s going to happen with the US presidential election in November. You could have a change in administration.
“And although I hear that this TT government is saying that they’re talking to people in the Republican Party, they haven’t said who from the party they’ve been speaking to. There’s so much uncertainty and of course, the Venezuelan gas is part of the government’s political narrative. And we are in an election year, as the prime minister pointed out,” he disclosed.
Ramnarine indicated that plan B would be for the country to have its reserves, as there still are significant pockets of gas on Trinidad’s east coast.
“There still is a lot of deepwater, which remains a stranded resource, 3.5 trillion cubic feet of natural gas to the northeast of Tobago, which we don’t seem to be able to develop for reasons of economics. But there still is a resource base within our borders that we could continue to tap into and develop…to some extent, the companies are doing that. But it’s not happening at the rate which would offset the decline in natural gas production.”
With bpTT selling 4 mature gas fields to Perenco, Ramnarine said it was a business decision in their best interest.What bpTT did was to divest some producing fields and platforms, where operating cost is too high. For low-cost operator Perenco, acquiring the five blocks makes economic sense.
“I think that as we progress into the 2030s and later, and throughout this decade, companies like bpTT will do more of that kind of divesting down to the lower-cost operators. Perenco has demonstrated a business model, not only in Trinidad, but all over the world. The company is a well-established international French multinational.
People asking who Perenco is suggest that Perenco is owned by some dark shadow Trinidadian character.
He posed the question, “How important is Trinidad to BP in 2024 compared to 2014? ” The footprint in 2024 compared to 2014 is totally different. Ramnarine identified that the volumes are significantly down by about 40 per cent, while the headcount is down maybe by 30 per cent to 40 per cent. Now the energy company is divesting assets.
“T&T is becoming less strategic to BP and that is something we should be concerned about, because that company in various incarnations has been the main pillar of our energy sector since 1972, as it was then known as Amoco, and then it became BP. So, it is something that, from that point of view, I would be concerned about. How does BP view Trinidad in the medium to long term?” Ramnarine said.
He noted that Perenco was operating some very mature fields that have been producing for decades.
“They’ve been producing since January 1972. They’ve demonstrated that they could run those fields and extract economic value from them, pay taxes, pay royalties and so on, but have a low-cost approach. That is something that bigger companies don’t have, because they tend to do things with more, I wouldn’t say frills, but they tend to have higher costs.”
Rowley neutral on Venezuela election
2024, 08/05
TT Cabinet will not be taking a position on the Venezuela election result, nor will Prime Minister Dr Keith Rowley make any pronouncements on it.
At a PNM party event, Rowley made its stance clear, saying, “There are people in Trinidad who have come from Venezuela because they didn’t like the last result and I’m not surprised that they are still here.
But, what we have to be careful with is that we don’t take advice from people whose agenda and interests are not the same as T&T. We would maintain our position until there is reason to change it.
The last time we had to go to the UN and speak to the secretary-general. I don’t know if the same thing will happen again this time but what is happening is we are not without some interest in what goes on in Venezuela but whatever role we have to play, we’ll play it within the context of our understanding of and confirmation of the rules and regulations that govern internal elections.”
Thousands of people rallied in the streets of Venezuela’s capital waving the national flag and singing the national anthem in support of an opposition candidate they believe won last Sunday’s presidential election by a landslide.
Authorities declared President Nicolás Maduro the winner of the election but have yet to produce voting tallies to prove he won.
The Opposition says it has proof that its candidate, Edmundo González, won. The Venezuelan government arrested hundreds of opposition supporters and Maduro threatened to lock up opposition leader María Corina Machado and presidential candidate González.
Rowley warned against trying to change the Venezuelan government by force, noting the last presidential election involving Maduro and Juan Guaido resulted in a similar situation.
“When the United States, Canada and the European Union decided to change the government in Venezuela by force, Trinidad and Tobago, Barbados, Mexico, Uruguay all took objection because a bad situation was about to get worse. We believe as we believe now, that any attempt to forcibly change the government of Venezuela by outsiders is asking for trouble, yet unknown.”
Comparing the opposition United National Congress’ challenge to PNM’s victory in the 2015 Local General Elections to the situation in Venezuela, Rowley said, “Here in T&T, we too had an election. PNM won an election. What did the Opposition do? They went to court and told the court they want five seats cancelled because the election was not properly held.
Of course, our courts function. They lost, and up to this day parts of the courts not functioning anymore because the PNM cannot collect its costs from the UNC taking us to court and if there are challenges to the results in Venezuela, we will observe the facts as they surface, but T&T will not be out there on anybody’s instruction.”
Maduro, as Venezuela’s President, is in Guyana’s interest – Gonsalves
14 September 2024
St Vincent and the Grenadines Prime Minister Dr Ralph Gonsalves said the declaration of President Nicolás Maduro as the winner of last July’s election was in the best interest of Guyana’s oil sector.
He told media shortly after the funeral of the late statesman, Sir Shridath Ramphal, that he believed that Venezuelans rejected the right wing opposition, a move that redounded to the security of Guyana’s rapidly developing oil industry.
“If you have a choice between Maduro and the right wing in Venezuela, I advise you to choose Maduro.
The right wing will seek to allow the Americans to take the oil in Venezuela, to set up to take over PDVSA (state oil company) and try to run Guyana’s oil industry from Caracas,” said Dr Gonsalves, a left-leaning leader who was the first to congratulate Mr Maduro on his victory at the July 28, 2024 elections.
Quizzed about his support, Dr Gonsalves said he was concerned that everything was done according to the law. “I keep myself very clear on these matters. When you have a voice like mine and it sounds discordant to what imperialism wants, they drum up all their noises and roll all their propaganda arms to drown me out, well, drown out the truth.”
At the same time, he vowed never to side with Venezuela to take military action to seize Guyana’s Essequibo Region. “Anytime, if Venezuela attempts to do anything militarily, I speak against it…
Under anybody. No war. You have a problem, you talk , you solve it,” he said.
Dr Gonsalves described as “my friend” Guyana’s President, Irfaan Ali and the Venezuelan leader and so his primary interest was ensuring peace. “I want peace between Venezuela and Guyana in the same way I want peace across the Taiwan Straits, same way I want peace in Ukraine,” he said.
St Vincent and the Grenadines and Brazil had been instrumental in getting Presidents Ali and Maduro to agree to the Argyle Declaration for Dialogue and Peace.
He claimed that the Right had been taunting Maduro, telling Venezuelans that their President had to compromise with Guyana because they had friends in the Caribbean like the Vincentian leader.
Gonsalves, one of the longest serving Caribbean Community (CARICOM) Heads of Government and historically an ally of then Marxist-Leninist People’s Progressive Party (PPP), said that the Right was always aggressive towards Guyana in pressing the claim for the Essequibo Region.
“The right wing historically in Venezuela has been always pushing against Guyana.”
Dr Gonsalves defended his declaration that “on the evidence before me” Venezuela’s July 28, 2024 elections were “fair and free” was based on the United States’ historical posture towards elections including the toppling of democratically elected governments of Chile, Bolivia, Venezuela and Honduras over the decades from the 1970s to the 200os.
“America can’t teach me about elections and democracy. In my lifetime, I watched what has happened.”
Stressing that St Vincent and the Grenadines favoured a “peaceful resolution of any conflict” between Guyana and Venezuela, Dr Gonsalves reasoned that a right wing administration in Venezuela would mobilise troops to enter Guyana but the socialist movement from Chavez to Maduro have not done so.
Gonsalves made no reference to the Maduro administration’s referendum in late 2023 that he had claimed had supported the inclusion of Essequibo as part of Venezuela, and the naming of Essequibo as a military zone.
He also did not allude to the movement of Venezuelan troops near the border with Guyana for several weeks and the accompanying sabre-rattling. However, he highlighted that since the elections, nothing else has been said about the Essequibo Region.
“Since the elections, have we heard anything out of Venezuela where they are talking about moving troops inside of Guyana?
Now, I am a practical man of affairs. I know everybody got their politics to play. What I want is peace so that Guyana can continue to prosper.”
Instead, he said it was the right wing forces in Venezuela who were drumming up noise about the border.
Guyana and neighbouring Suriname, which are both attracting major United States investments in their oil sectors, had signed on to a joint statement calling for a verification of the ballots cast in Venezuela’s elections.
Guyana’s Foreign Secretary, Robert Persaud had said those states, “including Caribbean leftists which seek to justify rigging, must decide which side of history they want to be on.”
US Ambassador to Guyana and CARICOM, Nicole Theriot had expressed disappointment that other regional bloc nations had not inked the joint statement.
The Vincentian Prime Minister shrugged off suggestions that he might be regarded as anti-American. “I’ve said repeatedly that the Americans are our friends. I have excellent relations with the Americans. The American society and civilisation is an amazing one of science and technology but we have seen historically, they have not yet been able to get out from the ghost of Munroe. In this backyard, their backyard or their front yard or whatever they call it, they must control it,” he said.
The US’ Munroe Doctrine was aimed at controlling economic and political interests in the Western Hemisphere including the Caribbean.
The leaders of the left-leaning independent nations of the Organisation of Eastern Caribbean States (OECS) – Antigua and Barbuda, Dominica, Grenada, St Kitts and Nevis, St Lucia, and St Vincent and the Grenadines – had said “we congratulate President Nicolás Maduro Moros, on his victory and re-election to the Presidency of the Bolivarian Republic of Venezuela for a third term and urge that every effort be made towards national reconciliation.”
They were also beneficiary nations of cheaper oil under Venezuela’s PetroCaribe arrangement and the socialist-oriented Bolivarian Alliance for the Peoples of Our America – People’s Trade Treaty.
(ALBA-TCP).
TT trade mission to Canada
2024, 09/24
Minister of Trade and Industry, Paula Gopee-Scoon, led a trade mission to Canada, organised by the Trinidad and Tobago Manufacturers’ Association (TTMA, supported by the Ministry of Trade and Industry, which said the mission aims to explore new business opportunities in the Canadian market.
This includes sourcing possible raw material and finished products for local producers, making strategic business and logistical contacts (distributors, market agents and companies) and increasing awareness of Canada’s business contacts to T&T’s manufactured products.
A diverse group of 19 private sector companies from the food and beverage, chemical, household and construction sectors will participate in the mission. Among them are:
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- Bricha Ltd,
- Christle Ltd,
- United Bearings,
- DSB Marketing,
- RHS Limited,
- Langston Roach Industries,
- Sacha Cosmetics,
- Creamery Novelties Ltd/HADCO,
- Ramps Logistics,
- Excellent Stores,
- New Wave Marketing,
- Kairi Chocolate,
- The Herbarium Ltd.,
- Angostura,
- SM Jaleel and Company,
- Cargo Consolidators Agency Ltd.
- Yekof’s General Trading,
- ASA Enterprises Ltd and
- Leisurely Travel & Tours.
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The trade mission will encompass a Doing Business Seminar, which will feature strategic Canadian stakeholders such as regulatory bodies, government officials and other members of the private sector.
Participants will engage in networking sessions, business-to-business meetings and tours of Canadian supermarkets and distributor plants.
The Government recognises the significance of this trade mission, given the potential importance of the Canadian economy to the promotion and expansion of T&T exports.
Minister Gopee-Scoon will engage in a number of bilateral discussions toward strengthening trade and investment relations and advancing the export prospects for local companies.
Through the Caribbean-Canada Trade Agreement (Caribcan),, imports of eligible products from TT have been granted non-reciprocal, duty-free treatment by Canada.
From 2018 to 2022, T&T maintained a deficit trade balance with Canada, averaging TT$708.2 million in exports and TT$1.5 billion in imports annually. Trinidad and Tobago’s current exports which benefit from duty-free treatment into Canada, include methanol, rum, aerated waters, biscuits, mauby syrup, pepper sauce and pasta.
Trinidad and Tobago’s private sector has ramped up its commercial activity with 64 companies currently actively exporting to Canada.
Key players include
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- Methanol Holdings (Trinidad) Ltd),
- Atlas Methanol Company Unlimited, and
- Eco Scrap Solutions,
- Sesko (Trinidad),
- Maraj and Sons,
- Caribbean Development Company,
- Sucro Can,
- KC Confectionery,
- Matouk International,
- Hand Arnold, and
- SM Jaleel and Company.
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TTMA chief executive Dr. Mahindra Ramdeen, said, “Our mission to Canada is a strategic initiative to bolster the contribution of the non-energy manufacturing sector to the GDP of Trinidad and Tobago, by creating opportunities for our manufacturers to establish and strengthen business relationships, we hope to drive economic growth and diversification.”
This trade mission underscores TTMA’s commitment to fostering a robust and competitive manufacturing sector. Participants will showcase their products and services, explore market opportunities and gain valuable insights into the Canadian market.
The Association is confident that this mission will result in tangible benefits for the participating companies and contribute significantly to the overall economic development of Trinidad and Tobago. The TTMA remains dedicated to supporting members in their efforts to expand regionally and globally
Deodat Maharaj, new Managing Director at the UN Technology Bank
Istanbul – 09/05/2023
copy_of_deodat_maharaj_post_
The UN Technology Bank for Least Developed Countries (UNTB) is pleased to announce the appointment of Mr. Deodat Maharaj as its new Managing Director.
The national of Trinidad and Tobago, brings over 25 years of international leadership experience to his new role including serving in Least Developed Countries. His international background and experience position him well to lead this UN institution into its next phase of growth and development and deliver results for this group of highly vulnerable countries.
Prior to this appointment, he served as the Executive Director at the Caribbean Export Development Agency in Barbados. He also served as Deputy Secretary General, Economic and Social Development at the Commonwealth (2014-2017) and worked with the United Nations Development Programme in the field and at headquarters.
“I am honored to join UN Technology Bank for LDCs, and I am eager to collaborate with the talented team here, with our client countries and stakeholders,” said Mr. Maharaj.
He will be the 3rd Executive Director of UNTB and will lead its work across 45 Least Developed Countries located in Africa, Asia, the Pacific and Caribbean., the poorest countries on the planet who need the most support.
The United Nations General Assembly established the UN Technology Bank for the Least Developed Countries and adopted its Charter on 23 December 2016. Its objective is to leverage science, technology, and innovation to help this poorest group fast track their development agenda and help create opportunities for people living in its client countries.
Venezuela’s VP, Delcy Rodriguez, gets energy ministry
2024, 09/08
Venezuela’s Vice President Delcy Rodriguez addressed supporters during a rally in defence of a proposed bill titled, “Law against fascism, neofascism and similar expressions”, in discussion by lawmakers, in Caracas, Venezuela, on August 23.
Local and foreign energy experts do not expect T&T’s energy and business relationship with Venezuela to be affected by the recent appointment of the new oil minister in Venezuela. After claiming victory in July’s controversial presidential elections, which the opposition claimed to have won, Venezuelan President Nicolás Maduro reshuffled the cabinet and added the Oil Ministry to Vice President Delcy Rodriguez’s portfolio.
Rodriguez is seen by international observers as the minister who was responsible for returning Venezuela’s economy to double digit growth by implementing free market and business-friendly reforms. These include the establishment of Special Economic Zones (SEZ) to attract international private sector investment, partial privatisation of state-owned industries and allowing greater use of the US dollar for daily business transactions. Her visit to Port-of-Spain on March 27, 2020, when T&T’s borders were closed due to the COVID-19 pandemic, generated controversy here.
Former US Ambassador to T&T, Joseph Mondello, publicly expressed concern at the visit, pointing out its lack of consistency with T&T’s obligations as a party to the Rio Treaty of the Organisation of American States.
“Article 20 of the Rio Treaty makes it unambiguously clear that all measures imposed by the Organ of Consultation — like the travel restrictions on Ms. Rodriguez — are binding on all treaty parties, whether or not they voted in favor of such measures.”
In 2018, Rodriguez was one of 11 Venezuelan officials who faced sanctions imposed by the European Union. She was banned from travelling to the EU and had her assets frozen.
In another change, Héctor Andrés Obregón Pérez was designated as the new president of Venezuela’s state-owned energy company Petróleos de Venezuela (PDVSA).
Energy Minister Stuart Young gave an update on energy co-operation between T&T and Venezuela: “We signed the licence for Cocuina in Venezuela on July 24, 2024. Seismic survey work is going to be commenced on Manakin and Cocuina in the next couple of days. We continue to set records. Delivering real results.”
Young is well acquainted with Rodriguez as he has met her several times in the past in Venezuela during energy negotiations.
Francisco J. Monaldi, a fellow in Latin American Energy Policy and the Director of the Latin America Energy Program at the Center for Energy Studies at Rice University’s Baker Institute for Public Policy in the United States, told media that he expects Venezuela to maintain its oil and gas policies and to continue the relationship it has with T&T.
“I think that Delcy Rodriguez who is the vice president is one of the most influential people in the Government. Her brother is president of the National Assembly (Venezuela’s Parliament) taking a direct interest in oil policy.
She used to be the Minister of Finance and it signals the importance that she gives the oil sector in two ways. She wants, as much as possible, to continue with the policies of trying to get foreign capital and secondly, I think she also wants to be prepared in case the US imposes further sanctions in terms of being able to collect oil revenue exported to the black market.
“You can see that by the fact that although she is the Minister of Oil, she also appointed to PDVSA someone who is very close to her, which will work for her. He is not someone who will have an independent powerbase. So, it is pretty much someone on her team. He also used to work in the cryptocurrency regulator’s office. So, he will also be in charge of trying to collect revenue from the oil sold on the black market.”
Monaldi is confident that both Venezuela’s new Oil Minister and PDVSA’s new President will continue to honour the contractual obligations of deals signed with T&T.
“They will continue the gas deals signed with T&T. I do not see any change in policy. Now, there is even more connection to the President as Delcy Rodriguez is always in contact with Maduro. So, the bottom line, I think, is this does not change and in fact makes it easier for some of these deals to continue to be negotiated and enforced.”
Tackling the thorny issue of more sanctions, Monaldi was asked whether he thinks the US will refuse to extend the licences with T&T making these projects unviable.
“I think for now, it is likely it will not happen. Probably in the future the licences could be revoked. I think Venezuela’s new Oil Minister will be more hands-on and will have better connections to the President and will pursue the same policies. I do not see any indications that the projects with T&T will slow down in any way.”
In a move that increased the tensions between the United States and Venezuela, the US Government seized the Venezuela’s Government presidential plane in the Dominican Republic .
Former energy minister (T&T) and energy consultant Kevin Ramnarine said he expects Venezuela to maintain a similar energy policy as the new Oil Minister with the new PDVSA president.
“I see no impact on Venezuelan energy policy given Delcy Rodriguez’s appointment to the post of Oil Minister. What I think is that we have to keep an eye on the US’s stance towards Venezuela which obviously impacts how we do business with Venezuela.”
Ramnarine warned that T&T must always be aware of the dangers of more sanctions in the energy relationship with Venezuela.
“The possibility of more sanctions is always a likelihood, especially given that the US recognises that Edmundo González Urrutia won the election. The recent seizure of the private jet in the Dominican Republic also points to a heightening of tension between both countries. That is a part of the overall risk profile of these Venezuelan gas deals. Having said that, they are important to us going forward.”
New business strategies
In new restructuring plans which will impact Venezuela’s gas cooperation with T&T, Rodriguez has already created new vice ministries in the energy sector. She has set up a new Vice Ministry of Gas responsible for monetising Venezuela’s gas resources, headed by Paulina Henao.
There is also a new Vice Ministry of Integration and International Affairs, which will be headed by Eduardo Antonio Ramírez Castro. Its responsibility will be to coordinate, promote and develop international cooperation in energy matters, representation before multilateral organizations in oil, gas and related areas, as well as determining the prices of hydrocarbons for export.
Venezuelan analyst Werther Sandoval who writes regular business and energy columns in the Venezuelan daily newspaper El Ultimas Noticias, gave an idea of what kind of business strategies PDVSA will continue to adopt in doing business with T&T and other foreign countries.
On August 28, he noted that PDVSA is developing a restructuring and reorganisation of the oil industry based on plans aimed at creating “new business models with world-class companies.” Among these are joint service agreements that guarantee payment schemes through trusts and buyers in order to achieve sources of financing and direct investments from commercial partners.
Restructuring and reorganisation activities, carried out during 2020, 2021, 2022 and 2023, include defining details, including upstream exploration, production, treatment and initial storage.
He quoted from a report on the restructuring of Venezuela’s oil and gas industry: “It has been proposed that activities from upstream to downstream may be developed under four business models depending on the business section, namely:
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- ) joint ventures,
- ) shared production contracts,
- ) service contracts (with or without risk) and
- ) licences. preserving in all business models the reserve of ownership of hydrocarbons for the state through PDVSA.”
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UK statement on Urrutia’s decision to leave Venezuela
September 12th 2024
Gonzalez Urrutia currently exiled under asylum conditions in Spain has promised to continue struggling for freedom and democracy in Venezuela (Pic Reuters)
UK Foreign Secretary David Lammy said, “Edmundo Gonzalez’s decision to seek political asylum abroad follows months of repression and intimidation against opposition figures and civil society in Venezuela. It is a decision that no politician should ever have to make. The UK continues to bear testimony to the millions of Venezuelans who turned out to vote in the presidential election on 28 July. Along with the UN and international allies, we remain deeply concerned about allegations of serious irregularities in the declared results.
Despite repeated calls, Venezuela’s National Electoral Council has still not produced full results or credible evidence of a victory for Nicolas Maduro.
”Publicly available records appear to show Edmundo Gonzalez secured the most votes by a significant margin. The UK has also publicly expressed the unacceptability of the ongoing repression in Venezuela.
Human rights must be protected, and arbitrary detentions and harassment must stop. The UK continues to work with international partners to achieve a peaceful solution in Venezuela. Dialogue remains the only solution to ensure that the will of all Venezuelans is respected.”
EU Parliament says González Urrutia is Venezuela’s President-elect
September 19th 2024
González Urrutia said he would continue to work for a democratic Venezuela from abroad and hoped to be back in his country in January for his intended inauguration
The European Parliament recognized Unitarian Democratic Platform (PUD) candidate Edmundo González Urrutia as the legitimate winner of Venezuela’s July 28 controversial presidential elections, at which the incumbent Nicolás Maduro claims to have prevailed.
Strasbourg reached this decision with 309 votes in favor, 201 against and 12 abstentions. Disenfranchised politician María Corina Machado has been recognized as leader of the democratic forces in Venezuela.
The document endorsed chiefly by conservative and rightwing political parties fell short of becoming binding since it lacked the required majority. However, it urged the EU and its Member States to do “the maximum possible” so that retired diplomat González Urrutia can assume the Presidency of Venezuela next January 10, 2025.
It also made history because it was the first time in the current legislature that the European People’s Party sided with rightwing forces instead of with social democrats, liberals, and greens.
The declaration underlined the EU’s “respect for the will of the Venezuelan people, expressed in the elections,” and insisted that voting remained “the only way for Venezuela to restore democracy, allow for a peaceful and genuine transition and resolve the current humanitarian and socio-economic crisis.”
The EU also called on the International Criminal Court (ICC) in The Hague to include ongoing human rights violations and arbitrary detentions in its investigations into alleged crimes against humanity committed by Maduro’s regime.
In addition, the “immediate and unconditional release of all political prisoners and arbitrarily detained persons” was demanded from Caracas.
Strasbourg also hailed the Spanish Government granting asylum to González Urrutia so as to keep him as a “viable” solution. The EU’s Parliament also asked the Union’s High Representative for Foreign Policy, Josep Borrell, to reinstate sanctions against members of Venezuela’s National Electoral Council (CNE) and to further extend all measures previously adopted against members of the Chavista administration.
“If on January 10, 2025, there is no peaceful transfer of power and restoration of democracy, there will be a new migratory exodus to other countries in the region, similar to the one that has led nearly eight million Venezuelans to flee the country in recent years,” the MEPs warned.
Strasbourg’s resolution goes one step farther than the Council of the European Union, whose foreign ministers handle the EU’s foreign policy and who last month decided to recognize neither candidate’s victory.
González Urrutia wrote on social media from Spain, “As president-elect, I thank the European Parliament for this recognition that transcends me; it is the recognition of the sovereign will of the people of Venezuela and the thunderous voice of a majority that demands the truth be respected. I thank the representatives of the European Parliament for the discussion they have decided to give in this chamber on the serious situation Venezuela is going through. The international community continues to increase its support to the sovereign will of our people. We are working without pause to enforce it!”
“What María Corina has done and continues to do from Venezuela in her capacity as a leader is a guarantee that, together with the commitment of the person who speaks here, our country will not suffer any damage, doubt or discouragement, despite all the obstacles, despite all the terrors, despite all the risks of seeking until the very end a peaceful solution to the Venezuelan crisis, with political guarantees for all.”
“The European Parliament recognizes Edmundo González Urrutia as president-elect of Venezuela. Thank you, Europe!” Machado posted on X.
The PUD claimed Gonzalez Urrutia had won as minutes from 83.5% of polling stations published on the Internet, but the Bolivarian administration contended that those documents were fake despite organizations such as The Carter Center saying otherwise, and relied instead on an unsupported CNE declaration upheld by a Supreme Court ruling also with no documentation backing it up.
Brazil still open to Venezuelan refugees
September 13th 2024 –
When people ”have no food or work, they seek other places to survive,” Lula argued
President Luiz Inácio Lula da Silva insisted week that Brazil would remain open to welcoming refugees from Venezuela, Agencia Brasil reported. The head of state hoped the neighboring country would soon “return to normalcy.”
Foreign Minister Mauro Vieira ”has been directed by the Brazilian government to ensure that we treat those coming to Brazil out of necessity with the utmost respect,” said Lula. “As you know, human beings are somewhat nomadic—when they have no food or work, they seek other places to survive.”
“We must treat those arriving here with dignity, and the federal government is responsible for helping the state of Roraima provide for their education and well-being. We don’t want these individuals to endure more hardship here after the struggles they faced in Venezuela.”
Lula was planning to visit the Brazilian State of Roraima soon to discuss the issue with Governor Antonio Denarium. The Venezuela-bordering enclaves of Boa Vista and Pacaraima in Roraima serve as the primary entry points for Venezuelans seeking better living conditions in Brazil. To address the humanitarian needs at the border, the Brazilian government is carrying out the so-called Operation Welcome (Operação Acolhida) together with over 120 national and international organizations, civil society, and private partners.
According to the International Organization for Migration (IOM), a United Nations agency, Brazil saw 1,134,532 Venezuelan migrants enter the country between January 2017 and July 2024, of whom 532,773 have since departed.
Lacalle Pou tells UN to focus on Venezuela
Friday, September 27th 2024
Uruguayan President Luis Lacalle Pou urged the United Nations General Assembly in New York to pay attention to the Venezuelan crisis sparked by Nicolás Maduro’s unsupported victory claims in the July 28 elections.
The National Party leader underlined, “The time has come to act for Venezuela. I cannot fail to mention what is happening in Venezuela. Among other things, because this is not new in our position. Fortunately, we have always been far from that authoritarian and intolerant regime, which has attempted against freedom and the common good”, he argued while insisting that many world leaders “have looked the other way” in the face of Chavista authoritarianism. “Some of them out of self-interest.
“I believe that this is not about presenting the minutes of the elections, or anything like that. It is about condemning the fraud, it is about condemning the regime and condemning not only a flawed electoral process.
“We must also condemn the political persecution, the violation of human rights, the arbitrary imprisonment. The time has come to act for Venezuela and for Venezuelans.
“If the international community is tolerant of these attitudes, we can only wait for the next country that will be subjected to what Venezuelans are being subjected to.” Lacalle Pou warned in his last appearance.
In this scenario, Lacalle said he reviewed his previous UN speeches and recalled that the concept of freedom with responsibility was always a guiding thread.
The Uruguayan leader also foresaw a deepening globalization for which a solid and credible International Law was needed. He highlighted protectionism as a barrier to global development while underlining the importance of freedom of trade.
“We have to have a world that is more open to goods and services from other countries.” It was also paramount “to understand each other better, and take advantage of the synergies of the encounter of different cultures; as long as we are tolerant and respectful of countries that think differently.”
Uruguay will hold presidential elections on Oct. 27 with a possible runoff on Nov. 24. Back-to-back reelection is not allowed.
Höegh LNG rebrands, expands focus on floating infrastructure for ammonia & hydrogen
September 16, 2024, by Fatima Bahtić
Bermuda-based shipowner and operator Höegh LNG has changed its name to Höegh Evi to reflect the recent expansion of its focus beyond liquified natural gas (LNG) import terminals and encompass “innovative and tangible clean energy solutions”.
As disclosed, Höegh Evi will accelerate the energy transition with floating infrastructure for ammonia and hydrogen, as well as carbon transport and storage (CCS), in addition to LNG.
“The name Höegh Evi continues to speak to our heritage and our strong reputation within the LNG industry, while capturing the expansion of our focus in response to new demands and the energy transition. Together, the Höegh Evi team both at sea and onshore is very excited to develop clean and efficient solutions to the benefit of people and planet in the future,” said Morten W. Høegh, Chairman of the Board of Directors at Höegh Evi.
“In a world of rapid change and evolving energy demands, customers need a partner to help them balance today’s energy security needs with tomorrow’s clean energy ambitions. Höegh Evi will continue to be a leading provider of floating LNG infrastructure while we are also applying our skills and experience to bring marine infrastructure for clean molecules into operation by the end of this decade,” stated Erik Nyheim, President & CEO of Höegh Evi.
Höegh LNG has been active in the LNG sector for over 50 years, working with floating storage and regasification units (FSRUs) and LNG carriers. Now, the firm is looking to develop “innovative” marine infrastructure including floating ammonia and H2 import terminals, ammonia cracking technology and CCS. In May this year, the company struck a deal with Australian Industrial Energy (AIE) and Egyptian Natural Gas Holding Company (EGAS) to deploy one of its floating storage and regasification units (FSRUs) in Egypt, aiming to support the country’s energy security.
Empire of Oil: how hydrocarbons remade the world
[ A new publication by Petroleum Economist Media Network ]
The transition to oil evokes revolution and renaissance
Historians like to tell the story of the industrial revolution, with the second phase—the technological age—starting around 1870. Oil barely gets a mention.
With rapid economic growth from innovations around mass production, assembly lines and electrification, hydrocarbons hide in plain sight. But transformations in lighting, then transportation, in petrochemical products like paint and plastics, in improvements in living standards, oil breathed—and continues to breathe—life into the modern global economy.
We could sit back and marvel at the many accomplishments. But the world does not stand still. Instead, this prosperity is often taken for granted in the West and is still sought out by resource-rich regions in the Global South as the debate over oil and energy investments shows no sign of resolution.
Policymakers would do well to remember the past as they remake the future: one of poverty, one of a lack of mobility, one of brutal free market opportunism, one of collusion and power grabs, one of war and price shocks, one of newfound global cooperation and competition and one of huge improvements to standards of living.
A world map that was redrawn and remade many times over, with the US, Russia and Saudi Arabia (as part of the wider the Middle East) emerging as the key players.
When Petroleum Economist was first published 90 years ago to cover the incredible story, the oil age had just moved on from its preface. A handful of big companies jostled for power over resources, Saudi Arabia stood on the cusp of entering the energy arena, and traditional empire had yet to be fully usurped by advanced capitalist power.
But the motorcar was a mass-produced phenomenon and commercialisation of products was evolving. The Second World War would soon accelerate the geopolitics of oil and change the energy environment for good. NOCs would assert their authority; OPEC, the OECD and the IEA would all rise; China and India would become economic powerhouses; and new forms of oil would arrive such as North Sea volumes and US shale; and gas and LNG would be transformed.
And in 90 years’ time where will oil—and gas—be on this journey? Will they have gone the same way as whale blubber, which oil first replaced in lamps? Or will they still play a smaller but important role, just like the way coal today still makes up almost 30% of the energy mix despite the transition drive?
Will we have solved the decarbonisation challenge with or without oil and gas? Will the terms ‘energy trilemma’ and ‘climate change’ be but footnotes in the world and oil’s history or will they define the period that is to come? Will an energy source that is clean, cheap and practical emerge to truly lead the transition or will there be mistaken false dawns and badly pushed agendas as we scramble for direction?
One should keep in mind how oil transformed the world and that this was both revolution and renaissance. To quote philosopher George Santayana, who was born around the time of oil’s first discovery in the US: “those who cannot remember the past are condemned to repeat it.”
Maybe the real question here is what parts do we want to emulate from oil’s journey and what parts should go the way of whale blubber?
The time to decide that is now.
Empire of oil: Contents
Chapter 1: The rise of oil’s big three: US, Russia, Saudi Arabia
Part 1: The transition to oil
Part 2: The start of the oil age
Part 3: The oil age develops
Chapter 2: OPEC and the post-war evolution of the oil industry
Part 1: The birth of OPEC
Part 2: The emergence of the IEA
Part 3: Shale, new demand and OPEC+
Chapter 3: Post-Soviet Russian oil and gas
Part 1: Privatisation and nationalisation
Part 2: Sanctions and isolation
Chapter 4: Gas and LNG come out from oil’s shadow
Part 1: The early years
Part 2: The power of pipelines
Part 3: LNG and a global market
Chapter 5: Oil & gas industry in pursuit of the energy transition
Part 1: Net zero and the trilemma
Part 2: IOCs and climate change
Part 3: NOCs and the transition
Part 4: Hydrogen’s renewable renaissance
Chapter 6: Other reflections
Part 1: Lessons from oil’s past
Part 2: Oil in the far east, January 1942
Part 3: Baghdad and Beirut, October 1960
Part 4: October Revolution, November 1973
Part 5: Time for action from OPEC, September 2016
SLB reports sustainable lithium breakthrough
CLAYTON VALLEY, September 10, 2024
SLB has extracted 96% of lithium from brine at a demo plant in Nevada in a breakthrough for sustainable production, the company said.
The solution produces lithium 500 times faster than conventional methods while using only 10% of the land, the company said.
The energy technology player said its approach combines its subsurface expertise with surface engineering of advanced technologies that include direct lithium extraction (DLE).
DLE extracts lithium from water with high salinity, or brine, typically via evaporation, which requires a large land area and causes major losses of water. SLB’s alternative approach uses less land and water and returns spent brine to its source.
“Lithium is a key enabler of electrification, so we must find ways to accelerate its production without adversely affecting the environment,” said Gavin Rennick, president of SLB’s New Energy business.
“SLB’s demonstration plant in Clayton Valley proves our unique integrated approach to produce scalable quantities of lithium in the fastest, most economical and sustainable way for today’s market. This accelerates deployment of viable commercial-scale facilities for high-quality lithium products that are the backbone of our electrification economy.”
Lithium is a key metal used in electric vehicle batteries. It experienced a 30% uptick in demand in 2023 and is facing the steepest demand growth among energy transition metals, according to the IEA.
IBC Guyana 2024
The International Business Conference (IBC) 2024 is just days away, and the anticipation is palpable. This premier event, hosted in the vibrant hub of Georgetown, Guyana, from October 15-17, promises an unmatched platform for business leaders, investors, and innovators.
With the agenda finalised, over 600+ delegates, 30+ exhibitors, and 17+ conference sessions scheduled, IBC 2024 will offer dynamic sessions on trade, investment, and partnerships across key sectors like manufacturing, agriculture, agro-processing, finance and energy. Whether you’re looking to expand into new markets or forge strategic alliances, this is your moment.
Don’t miss the opportunity to explore endless possibilities in one of the fastest growing economies in the world.
Contact the Team Today
Sponsorship Enquiries –
International Companies
Giancarlo Riveros
Commercial Director
Cell: +44 7483 846699
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Locally Headquartered Companies
Divya Doerga
IBC Project Director
Cell: +592 223 5583
Delegate Enquiries -International Companies
Sara Sefi
Commercial Manager
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IBC Project Director
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Marketing Coordinator
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Efficiency and decarbonisation in ammonia production
September 20, 2024
Treveno Mowassie, president of Yara Trinidad, and Karlon Batchasingh, president of Tringen Nitrogen Co. (Tringen), talk to The Energy Year about embracing opportunities for decarbonisation and navigating Trinidad’s gas supply challenges. Global crop nutrition company Yara International holds a 49% stake, through a subsidiary, in Tringen, a producer of anhydrous ammonia.
What is the significance of the joint venture partnership between Yara International and Tringen?
Treveno MOWASSIE: Yara and Tringen have a deep-rooted joint venture that has worked in the interest of all parties and continues the public-private partnership intended since Tringen’s formation in 1974. Yara contributes expertise in technical aspects, operational management, distribution and shipping, and brings the market intelligence and progressive outlook of the global business analytics to the local landscape. We do so using the values and vision of Yara International and are guided by our mission to Feed the World and Protect the Planet.
Together, we have forged our presence in the local environment as one of the pioneering and longest-operating companies in the Point Lisas Industrial Estate. We have been able to bring additional value to the people of Trinidad and Tobago by upgrading the natural gas purchased into ammonia and providing that upgrade value back to the State.
Karlon BATCHASINGH: Following the joint venture with Yara, the Tringen-I plant was commissioned in 1977 followed by the Tringen-II production facility in 1985. The site created a lot of opportunities and was the starting point from which the rest of the Point Lisas Industrial Estate expanded. It provided a lot of opportunities, not only for direct local employment but also as the starting point for the establishment of a full service sector.
How have the challenges in natural gas supply impacted your operations in Trinidad?
TM: We continue to operate two Tringen assets, Tringen-I and Tringen-II, which collectively have an installed capacity to produce 1.1 million tonnes of ammonia per annum. However, with gas curtailments in recent times, it has not always been possible to operate the plants at their full capacity. We continue to work with all the stakeholders in the gas value chain to navigate through this volatile period but with optimism on the future potential for gas supply and business sustainability.
Ammonia demand continues to be driven by its use in fertiliser and food production. With a growing global population, it is natural to expect the demand for ammonia to grow as a result. Although the Trinidad natural gas supply over the past few years has not been able to keep up with the growing demand for ammonia, we will continue to maintain the optimum production possible in the local gas supply environment that we are currently operating in, with the intent that when this supply ramps up, we will be able to increase our production and we will grow alongside the growth in global ammonia demand.
What strategy are you following in the interim to navigate the gas supply challenges in Trinidad?
TM: The gas curtailment environment has challenged and tested the extent of our normal business focus of making the most efficient use of every molecule of gas. We have utilised the period we are in to adopt a strategy around maximum reliability and improved efficiency. In addition to the normal strategy of safe operation and trying to optimise output, we had to adapt and adjust to become more efficient and optimise the use of what we have available in this period – of course, maintaining safety as a top priority.
This has come through several actions the site has progressively taken, from major capital investments to directly impact plant energy efficiency which were executed in 2014 and resulted in a 10% reduction in plant energy consumption and greenhouse gas emissions to securing ISO 50001 – Energy Management certification and thereby ensuring a systematic way of working and employee participation. This has come in the form of reviewing the operating and management strategy associated with energy management.
As a global entity, the technical knowledge and resources available to Yara Trinidad come not only from the local talent pool but also from the wider global organisation. As a global organisation, Yara brings the riches of technical and innovative ideas during these periods to achieve the best utilisation of the assets here in Trinidad.
KB: On Tringen’s side, we rely heavily on the advice we get from our manager and operator regarding the efficiency and reliability of the plants and understanding which of our assets we can continue to operate during the periods of gas curtailment. We aim to maintain our operations as best we can to continue supporting the country’s economy.
Is Yara exploring any markets in the Americas for a potential expansion?
TM: From the perspective of a global entity such as Yara, there are evolving views on where opportunities exist around the world. Put simply, Yara has a mission to both feed the world and protect the planet. Within the Americas, the US presents commercial structures and other incentives that align with values held by Yara, such as those that enable environmentally sustainable solutions and carbon sequestration projects.
We are quite focused on our strategies for reducing carbon dioxide emissions, so green and blue solutions in ammonia production are very much a priority. At this point in time, the US provides quite an attractive environment to facilitate blue ammonia production and as a result, there are assessments ongoing on the opportunities regarding ammonia production. This also includes several public announcements regarding possible joint ventures between Yara and other entities in that region.
Does Yara see opportunities in the Trinidadian energy market that align with this mission to decarbonise?
TM: Yara, as an international company, will explore growth opportunities in all of the regions it operates in, and Trinidad will continue to be a part of that potential. Trinidad remains part of the focus in looking at our opportunities to produce blue or green ammonia. However, what needs to mature more quickly in Trinidad is the environment enabling initiatives such as carbon sequestration or access to renewable energy – or both. The end goal is to reach a full transition where renewable energy can be used to produce the hydrogen used in ammonia production. Access to renewable energy at the scale required for an ammonia plant is not yet available in Trinidad but we will prepare and plan for when that time comes. During that transition, carbon sequestration, especially in the context of opportunity in Trinidad, could provide the transitionary pathway required to enable the timeline for the green solutions of the future.
What approach will you take with your operations in Trinidad while upholding decarbonisation goals?
TM: We will continue our approach of being safety-focused, energy and GHG optimisation focused and bringing value back to our shareholders. We will continue to work for all stakeholders towards GHG reduction initiatives and remain ready to participate in pilot and large-scale projects towards this goal. We will focus on the possibility of implementing blue ammonia production solutions as a transition pathway. Until access to large-scale renewable power is available, we will also work towards green solutions on a pilot and medium scale. And we will do this through the empowerment and engagement of our people.
Trinidad has the necessary infrastructure, technical resources, knowledge and skills to achieve that in a relatively short time. At a national level, the legislation and enabling factors to move forward with carbon sequestration are already being discussed, but this needs to be further prioritised to increase the pace of progress.
As Trinidad and Tobago aims to develop a green hydrogen economy, what is the potential for collaborative projects, such as with NewGen?
TM: Our resolve to assess and move in that direction is firm, and has been since the onset of the discussion around national commitments to reducing carbon emissions. We have put a lot of effort into exploring options.
The NewGen project presents a green transition solution that we have studied at length with NewGen to determine the viability of utilising renewable solar power to produce hydrogen that can then be integrated into one of the Tringen plants. We have completed the internal feasibility assessments on the technical aspects, demonstrating that it is technically possible. We continue to work with all parties in advancing this promising direction and remain very willing and excited to continue the works with others that may make it a technical and commercial reality.
KB: If that comes to fruition, Tringen will be the first petrochemicals plant in the country, and possibly within the Caribbean region, to initiate such a project. It will be in the State’s interest for this to happen as it will benefit the people of the country and the region.
What is the significance of the gas sales contract signed between Tringen and the National Gas Company of Trinidad and Tobago Limited in December 2023?
TM: The agreement shows the willingness of Tringen and Yara to remain in the local environment despite the challenges with gas supply at this time. It demonstrates the interest and commitment we have to continue bringing value to the State and the people of Trinidad through Tringen. We are very happy to have completed the negotiation of that gas contract, which will allow operational continuity and upgrading the value of natural gas to ammonia for the contracted years to come.
Have the gas curtailments presented an opportunity for Tringen to strategise for turnaround and maintenance activities?
KB: Absolutely. We look at the curtailments and seek with our joint venture partner to assess the best time to take the plants down to do our turnarounds. In most instances, we have tied turnarounds in with periods of potential gas curtailments.
TM: It is important to use the opportunities presented to ensure that the reliability and efficiency of the assets are maintained and even improved. We are very prudent in the way that we utilise unscheduled and unexpected downtime events to make sure that we keep the safety, reliability and efficiency of the assets up to world-class standards so that when the supply is available, we can be as productive and safe as possible