Oxy joins offshore energy sector

Government approves deal in ultra-deepwater block

June 5, 2026

From left, ExxonMobil business development manager Gboyega Ayeni; vice-president of International Exploration at Occidental Petroleum (OXY) Pedro Romero; Energy Minister Dr Roodal Moonilal, and Minister in the Ministry of Energy Ernesto Kesar.

 

Another major US energy company is entering the Trinidad and Tobago energy sector after the Government approved Occidental Petroleum Corporation’s acquisition of a stake in the ultra-deepwater exploration block operated by ExxonMobil.

Prime Minister Kamla Persad-Bissessar announced in Parliament yesterday that the Government approved Oxy’s farm-in to Block TTUD-1, giving the Houston-based major a 10% participating interest. ExxonMobil will remain the operator and retain a 90% stake. Oxy’s entry follows ExxonMobil’s return to Trinidad and Tobago in August 2025, when the US energy giant secured a Production Sharing Contract for the TTUD-1 ultra-deepwater exploration block. Following ExxonMobil’s entry into Block TTUD-1, Trinidad and Tobago attracted significant international interest.

“Working closely with all stakeholders, we accelerated permitting, enabling ExxonMobil to launch one of the largest seismic programmes in Trinidad and Tobago within six months of signing the PSC.

I am advised that seismic acquisition is now approximately 85% complete, with full acquisition expected by late July. In this vein, we are pleased to welcome another major American energy company into Trinidad and Tobago.

The Government, via the Ministry of Energy, has approved a farm-in to Block TTUD-1 by Occidental Petroleum Corporation (Oxy), with a 10% participating interest. Under this arrangement, ExxonMobil remains the operator and will retain a 90% participating interest.”

ExxonMobil indicated that they look forward to cooperating with compatriot Oxy to further evaluate the block’s resource potential. The advent of Occidental into Block TTUD-1 demonstrates that T&T is again on the radar of the largest world-class energy companies.

On May 22, Persad-Bissessar met senior executives Paul Riley, president of ExxonMobil Trinidad and Tobago Deepwater Ltd, Pedro Romero, vice president of International Exploration at Occidental Petroleum and Gboyega Ayeni, ExxonMobil Trinidad and Tobago Deepwater Business Development manager. Energy Minister Dr Roodal Moonilal and Minister Ernesto Kesar attended the meeting.

Occidental Petroleum is an international energy company that produces, markets and transports oil and natural gas. The IOC leverages its global leadership in carbon management to advance lower-carbon technologies and products. Headquartered in Houston, Occidental primarily operates in the USA, the Middle East and North Africa. The courtesy visit by Pedro Romero, vice president of International Exploration alongside ExxonMobil underscores Trinidad and Tobago’s capacity to attract leading international energy investors and reflects confidence in its energy potential and long-term investment prospects.

Persad-Bissessar reported other positive developments in the energy sector. National Gas Company (NGC) recorded over $3.2 billion in profits and restored dividends to thousands of citizen shareholders through TTNGL. All downstream gas supply agreements for 2026 were settled and NGC is working to secure future gas supply. Work proceeds steadily on Manakin-Cocuina, Manatee, Onyx and Dragon.

The Prime Minister stated that holdover letters were issued to 25 quarry operators and approval of letters for approximately 30 additional applicants is proceeding to ensure an adequate supply of aggregate for the Revitalisation plan and infrastructure projects. The last government restricted licences to a few individuals, spawning a monopoly and llegal quarrying. New measures would create a level playing field, ensuring more affordable prices.

ExxonMobil, Occidental sign offshore exploration contract for TTUD-1

June 8, 2026

Trinidad and Tobago signed a production-sharing contract yesterday with ExxonMobil and Occidental Petroleum for the TTUD-1 ultra-deepwater exploration block, a “significant milestone” in advancing the country’s upstream energy sector.

Energy Minister Dr Roodal Moonilal signed the agreement at the Ministry of Energy in Port of Spain during a meeting with executives from the two US energy companies. President Paul Riley and business development manager Gboyega Ayeni represented ExxonMobil. Pedro Romero, vice president for international exploration represented Occidental.

Financial terms of the agreement were not revealed. Occidental’s entry follows ExxonMobil’s return to Trinidad and Tobago in August 2025, when the US energy giant secured a Production Sharing Contract for the TTUD-1 ultra-deepwater exploration block.

The Energy Ministry stated   “Subsequent discussions with the representatives of ExxonMobil and Oxy built on the recent engagement with the Prime Minister in May and focused on ongoing projects, future investment opportunities and efforts to sustain momentum in exploration and production activities, for the mutual benefit of both companies and Trinidad and Tobago.”

Days before the signing, Prime Minister Kamla Persad-Bissessar highlighted the agreement during the opening of Parliament, signalling the Government’s intention to advance energy sector initiatives following its return to office. The Government approved Occidental’s farm-in to Block TTUD-1, giving the Texas energy company a 10% participating interest. ExxonMobil will remain operator and retain a 90% stake.

“Working closely with all stakeholders, we accelerated permitting, enabling ExxonMobil to launch one of the largest seismic programmes in Trinidad and Tobago within six months of signing the PSC. I am advised that seismic acquisition is now approximately 85% complete, with full acquisition expected by late July.”

Significant international interest in Trinidad and Tobago followed ExxonMobil’s entry into Block TTUD-1.

“In this vein, we are pleased to welcome another major American energy company into Trinidad and Tobago. The Government, via the Ministry of Energy , approved a farm-in to Block TTUD-1 by Occidental Petroleum Corporation, with a 10% participating interest. Under this arrangement, ExxonMobil remains the operator and will retain a 90% participating interest.”

ExxonMobil indicated that they look forward to collaborating with compatriot Occidental to further evaluate the block’s resource potential.

Entry of Occidental into Block TTUD-1 demonstrates that T&T is again on the radar of the world’s largest and most capable energy companies.

 

 

 

ExxonMobil Holdings Corporation returns home.

June 22, 2026

SPRING, Texas–(BUSINESS WIRE)–

Exxon Mobil Corporation today announced that its redomiciliation from New Jersey to Texas is expected to become effective on July 1, 2026.

With this change, ExxonMobil Holdings Corporation will become the publicly traded parent company, replacing Exxon Mobil Corporation of New Jersey. Shares will continue to trade on the New York Stock Exchange under the ticker symbol “XOM”.

Shareholders are not required to take any action. Shareholders approved the move to Texas at the company’s 2026 Annual Meeting. Additional details are available in the company’s filings with the U.S. Securities and Exchange Commission. ExxonMobil expects to file a Form 8-K upon completion.

 

 

Exxon relocates to Texas July 1

Jun 22, 2026,By: Carl Surran, SA News Editor

Exxon Mobil said its redomicile to Texas from New Jersey is expected to take effect on July 1. Exxon Mobil Holdings Corp. will become the publicly traded parent company, replacing Exxon Mobil Corp. of New Jersey, while shares will continue to trade on the NYSE under the XOM ticker symbol. Exxon won shareholder approval for the move last month, after CEO Darren Woods pitched Texas as a state where lawmakers, judges and juries better understand the oil business, which he said would lead to more reasonable and productive decisions from state officials and citizens.

 

 

 

Shell signs deal with Venezuela for 7 Tcf natural gas development

Agreement will also assist production at cross-border Dragon field offshore Trinidad & Tobago

Fabio Palmigiani South America Correspondent

Rio de Janeiro 16 June 2026

The Venezuelan government signed 5 contracts with Shell that will give the British supermajor rights to operate the giant Loran natural gas field. The agreements formalise Shell’s participation in Loran, a cross-border reservoir shared with Trinidad & Tobago estimated to hold 7 trillion cubic feet of natural gas, while also covering oilfield expansion and efforts to reduce gas flaring.

Interim president Delcy Rodriguez, said  “For the first time, the Hydrocarbons Law, which was recently reformulated and amended, is allowing these forms of negotiations and flexible business agreements where we will also boost production and where we can make better use of resources for the people of Venezuela.”

She emphasised the strategic step seeks to enhance energy capabilities through direct collaboration with key international players, thus ensuring concrete progress in infrastructure for hydrocarbon extraction in the Loran field.

Loran is expected to play a central role in Venezuela’s offshore gas ambitions, as it will be developed along with the Dragon project, also involving Shell, in Trinidad & Tobago, estimated to hold 4.2 Tcf. In addition to Loran, Shell agreed to a technical alliance to support procurement and output expansion at fields in Monagas North, and to a separate pact to buy equipment and parts to reduce gas flaring. The agreements move Shell to the top of state-owned PDVSA’s list of partners for key oil projects.

UK supermajor BP is also set to participate in the Loran gas field and in the neighbouring Cocuina-Manakin offshore gas project, according to separate deals with the Venezuelan government.

(Copyright)

 

 

 

Venezuela grants licence for Shell to develop Loran field with Trinidad

Venezuela on Thursday granted leading British petroleum company Shell a licence for a first phase of exploration and exploitation of the Loran gas field of seven reservoirs, six of them transboundary with Trinidad and Tobago. Acting President Delcy Rodríguez led the signing at Miraflores Palace, seat of the Venezuelan government.

Five instruments were signed : the Loran field licence and four others stemming from the technical-financial alliance established in March, which include the first service and purchase orders.

Agreements were signed for the development of the Carito and Pirital production units of the Punta de Mata division, in the eastern state of Monagas. Rodríguez described the award as a “historic step,” recalling that the field had remained “without development” for 23 years, and said the licence would allow “adequate use of the gas for export.” President of Shell Exploration and Production, Peter Costello, called the signings “a wonderful achievement” for Venezuela and the company, during the event broadcast by the state channel VTV.

Loran is part of the cross-border Loran-Manatee system, a single natural gas reservoir divided by the maritime boundary between Venezuela and Trinidad and Tobago, with reserves estimated at 10 trillion cubic feet, most of them in Venezuelan waters. Shell expects to start production in 2027 through infrastructure connected to Trinidad, which seeks fresh gas supplies for its liquefied natural gas and petrochemical plants. The project was stalled after the field was “de-unitized” in 2019, amid delays and sanctions.

The licence is part of the energy-sector opening driven by the Venezuelan government after the USA deposed Nicolás Maduro. Reform to the Hydrocarbons Law approved in January opened the door to private and foreign investors under Washington’s auspices. In April, Shell and the US company Chevron agreed to an asset swap under which Chevron ceded its stake in Loran and strengthened its presence in the extra-heavy crude of the Orinoco Belt, while Shell consolidated its position in gas.

US officials attended several of those signings ; US Interior Secretary Doug Burgum attended an earlier meeting in Caracas. Hydrocarbons Minister Paula Henao said the first service and purchase orders would materialize “in the short term.” Hours earlier, the state company Petróleos de Venezuela (PDVSA) had reported an inspection together with Shell at a gas reception and distribution complex in Monagas, to assess the strengthening of infrastructure and production.

Formalized contracts to operate the massive offshore Loran natural gas field promise a bright future for Venezuela and Trinidad & Tobago, where Shell is a foundational investor since 1913.

Shell has a world-leading Integrated Gas and LNG business, meeting 16% of global demand. Shell continues to secure and develop major gas reserves internationally. Shell pioneered GTL technology, converting natural gas into high-quality liquid fuels and lubricants in operating plants. Shell opened the massive Pearl Gas-to-Liquids (GTL) plant in Ras Laffan, Qatar in 2011, the world’s largest LNG export facility. It was damaged by Iranian strikes earlier and was being restarted when Indian and Pakistani staff died in an accident.

SHELL INTEGRATED PORTFOLIO DRIVES STRONG RESULTS

Q1 2026 Adjusted Earnings of $6.9 billion reflect strong performance across the business. CFFO excluding working capital was $17.2 billion for the quarter. Working capital outflow of $11.2 billion in Q1 2026 reflects impact of unprecedented volatility in commodity prices.

1. • Strong operational performance across the portfolio supports higher contributions from trading & optimisation.
2. • Cash capex outlook for 2026: $24 – $26 billion, includes ~$4 billion for ARC acquisition. 2027 – 2028 outlook unchanged at $20 – $22 billion.
3. • ARC Resources acquisition to add 370 kboe/d, leading to a 4% production CAGR through to 2030 (from 2025).
4. • Resilient balance sheet with gearing of 23% (including leases) mainly reflects working capital increase in current price environment.
5. • Commencing a $3.0 billion share buyback programme for the next 3 months and 5% increase in the dividend to $0.3906.
6. • Q2 2026 volume outlook reflects the expected impact of the Middle East conflict.

 

 

 

TOUCHSTONE EXPLORATION ANNOUNCES CLOSING OF THE FUNDRAISE AND NOTICE OF AGM

CALGARY, ALBERTA (June 10, 2026) –

Touchstone Exploration Inc. (“Touchstone” or the “Company”) (TSX, LSE: TXP) announces the closing of its previously announced integrated fundraise on the terms previously disclosed in the Company’s news release dated June 8, 2026.

The aggregate 26,631,330 new common shares of no par value issued in connection with the integrated fundraise have received conditional approval for listing and trading on the Toronto Stock Exchange and have been admitted to trading on the AIM market of the London Stock Exchange.

In addition, the Company has issued unsecured non-convertible debt securities (the “Debt Securities”) with an aggregate principal amount of approximately US$8.4 million to Purebond Limited (“Purebond”) as part of the integrated fundraise.

 

2026 Annual and Special Meeting of Shareholders

Touchstone’s virtual Annual and Special Meeting of Shareholders (the “Meeting”) will be held on Thursday, July 23, 2026 at 8:00 a.m. (Mountain Time).

Registered and beneficial shareholders will be mailed a notice-and-access notification and form of proxy on or about June 23, 2026, advising as to the electronic availability of the Meeting materials, including the 2026 Management Information Circular (the “Circular”), the 2025 audited consolidated financial statements and related Management’s Discussion and Analysis. For holders of the Company’s depositary interests, hard copies of the Circular and form of direction will be mailed on or about June 23, 2026.

The Meeting materials will be available under the Company’s profile on SEDAR+ and on the Company’s website following mailing.

Among other matters to be considered at the Meeting, independent shareholders will be asked to approve a resolution pursuant to which the Debt Securities would be repaid in full and the repayment proceeds would be applied to subscribe for 89,765,000 new common shares of the Company. Further information regarding the resolution will be included in the Circular.

As previously disclosed in the Company’s June 8, 2026 news release, Purebond’s entry into the subscription agreement, together with the proposed repayment of the Debt Securities and resubscription for common shares, constitutes a related party transaction under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The repayment of the Debt Securities and the application of the proceeds to a subscription for common shares are subject to receipt of required shareholder and regulatory approvals.

The repayment and resubscription will result in the issuance of additional common shares to Purebond, an insider of the Company, and are expected to result in Purebond becoming a control person. The transaction will be subject to approval by disinterested shareholders in accordance with TSX requirements and MI 61-101, with Purebond and other participating insiders, and their affiliates and associates, excluded from voting.

TOUCHSTONE EXPLORATION INC.

INITIAL RESULTS OF FUNDRAISE

CALGARY, ALBERTA (June 5, 2026) –

Touchstone Exploration Inc. (“Touchstone” or the “Company”) (TSX, LSE: TXP) is pleased to announce that, further to the Company’s announcement dated June 4, 2026 regarding the Fundraise (the “Fundraise Announcement”), the Company has initially raised aggregate gross proceeds (before expenses) of US$10.9 million (approximately £8.1 million and C$15.0 million) at the Issue Price of 7 pence per New Common Share (equivalent to approximately C$0.13 per New Common Share).

Of the aggregate gross proceeds raised to date, approximately US$10.3 million (approximately £7.7 million and C$14.3 million) is being subscribed for by the Company’s largest shareholder, Purebond Limited (“Purebond”), by way of the aggregate of the First Tranche Subscription Shares and the Debt Securities (each as defined in the Fundraise Announcement, which also provides further details of the Subscription Agreement).

The WRAP Offer remains open for participation and a further announcement will be made upon its closing confirming, inter alia, the final aggregate number of New Common Shares to be issued, allocations to Purebond, and related party transaction disclosures.

Canaccord Genuity Limited acted as Nominated Adviser and Lead Bookrunner and Cavendish Capital Markets Limited acted as a Joint Bookrunner in connection with the Placing. Canaccord Genuity Corp. acted as Canadian Adviser in respect of the LIFE Offering.

Admission and Total Voting Rights

Application will be made to AIM for the First Tranche Subscription Shares, the Placing Shares, and the LIFE Offering Shares to be admitted to trading on AIM (“First Admission”) and the TSX to list the New Common Shares. First Admission is expected to occur on or around June 10, 2026.

The LIFE Offering Shares will be immediately freely tradable in Canada pursuant to the Listed Issuer Financing Exemption.

A further announcement will be made following the close of the WRAP Offer, which will include the total voting rights in the Company’s share capital at First Admission, pursuant to the admission of the First Tranche Subscription Shares, the Placing Shares, the LIFE Offering Shares and the WRAP Offer Shares.

Capitalised terms used in this announcement but not defined have the meanings given to them in the Fundraise Announcement.

TOUCHSTONE EXPLORATION INC.

WRAP RETAIL OFFER FOR UP TO US$1.0 MILLION

CALGARY, ALBERTA (June 4, 2026) –

Touchstone Exploration Inc. (“Touchstone” or the “Company”) (TSX, LSE: TXP) is pleased to announce a retail offer via the Winterflood Retail Access Platform (“WRAP”) to raise up to US$1.0 million (approximately £0.74 million / C$1.4 million) (the “WRAP Retail Offer”) through the issue of new common shares of no par value in the capital of the Company (“Common Shares”). Under the WRAP Retail Offer, up to 10,640,714 new Common Shares (the “WRAP Retail Offer Shares”) will be made available at a price of 7 pence (equivalent to approximately C$0.13) per share.

In addition to the WRAP Retail Offer and as announced on June 4, 2026 (the “Fundraise Announcement”), the Company is also proposing to conduct a direct subscription (the “Subscription”) for new Common Shares (the “Subscription Shares”) by the Company’s largest shareholder Purebond Limited, a non-pre-emptive placing (the “Placing”) of new Common Shares (the “Placing Shares”) to certain institutional and other investors to be carried out by way of an accelerated bookbuild, a non-pre-emptive private placement (the “LIFE Offering”) of new Common Shares (the “LIFE Offering Shares”) to certain investors in Canada pursuant to the Listed Issuer Financing Exemption under applicable Canadian securities laws (the WRAP Retail Offer Shares, together with the Subscription Shares, the Placing Shares and the LIFE Offering Shares, the “New Common Shares”), to raise gross proceeds of between US$10 million and US$15 million (between approximately £7.4 million / C$13.9 million and £11.2 million / C$20.8 million) (the “Fundraise”) at a price of 7 pence (equivalent to approximately C$0.13) per New Common Share (the “Issue Price”).

The Issue Price represents a discount of approximately 3.4 percent to the 7.25 pence closing price on AIM of the Company’s existing Common Shares on June 3, 2026, being the latest practicable date prior to this announcement. The issue price of the WRAP Retail Offer Shares is equal to the Issue Price.

The Fundraise Announcement sets out the reasons for the Fundraise and use of proceeds. The proceeds of the WRAP Retail Offer will be utilised in the manner discussed in the Fundraise Announcement.

For the avoidance of doubt, the WRAP Retail Offer is not part of the Subscription, the Placing or the LIFE Offering.

Completion of the WRAP Retail Offer is conditional, inter alia, upon the completion of the Subscription, Placing and LIFE Offering, but completion of the Subscription, Placing and LIFE Offering is not conditional on the completion of the WRAP Retail Offer.

The WRAP Retail Offer is conditional on the WRAP Retail Offer Shares being admitted to trading on the AIM market (“AIM”) of the London Stock Exchange (“Admission”). It is anticipated that Admission will become effective and that dealings in the WRAP Retail Offer Shares will commence on AIM, at 8:00 a.m. on June 10, 2026. The WRAP Retail Offer Shares will also, subject to conditional acceptance from the Toronto Stock Exchange (“TSX”), be listed on the TSX, which is expected to take place before market open on June 10, 2026.

TOUCHSTONE EXPLORATION INC.

PROPOSED FUNDRAISE OF US$10 MILLION TO US$15 MILLION

CALGARY, ALBERTA (June 4, 2026) –

Touchstone Exploration Inc. (“Touchstone” or the “Company”) (TSX, LSE: TXP) announces the launch of an integrated financing to raise gross proceeds of between US$10 million and US$15 million (between approximately £7.4 million / C$13.9 million and £11.2 million / C$20.8 million), of which US$10 million is expected to be provided by Touchstone’s largest existing shareholder, Purebond Limited (the “Fundraise”).

The Fundraise will be conducted via the issue of new common shares of no par value in the capital of the Company (“Common Shares”) at a price of 7 pence (equivalent to approximately C$0.13) each (the “Issue Price”) and consists of:

1. an aggregate investment of up to US$10 million by Purebond Limited (“Purebond”), comprising
   1. 1. (i) a direct subscription (the “Subscription”) by Purebond for new Common Shares (the “Subscription Shares”) at the Issue Price pursuant to the subscription agreement entered into with the Company dated June 4, 2026 (the “Subscription Agreement”), subject to clawback to satisfy valid applications pursuant to the Placing and the LIFE Offering (both as defined below) and
      2. (ii) pursuant to the Subscription Agreement and the related repayment and subscription agreement between the Company and Purebond, unsecured non-convertible debt securities of the Company (a debenture) (the “Debt Securities”) in connection with the Fundraise; such Debt Securities are not issued at the Issue Price;
2. a non-pre-emptive placing (the “Placing”) of new Common Shares (the “Placing Shares”) at the Issue Price to certain institutional and other investors, to be carried out by way of an accelerated bookbuild;
3. a non-pre-emptive private placement (the “LIFE Offering”) of new Common Shares (the “LIFE Offering Shares”) at the Issue Price to certain investors in Canada pursuant to the Listed Issuer Financing Exemption (“LIFE”) (under applicable Canadian securities laws); and
4. a non-pre-emptive retail offer through the Winterflood Retail Access Platform (“WRAP”) (the “WRAP Offer”) to raise gross proceeds of up to £0.74 million (US$1.0 million / C$1.4 million) through the issue of new Common Shares at the Issue Price (the “WRAP Offer Shares” and together with the Placing Shares, the LIFE Offering Shares and the Subscription Shares, the “Offer Shares”) to be made on terms outlined in a separate announcement.

 

 

Touchstone reports oil output growth

..advances gas projects

May 31, 2026

Canadian operator Touchstone Exploration Inc reported oil production growth in its latest update on operational activities in Trinidad and Tobago. FR-1835 and FR-1836 development wells on the WD-8 block were successfully completed and placed on production in mid-May 2026.

Since start-up, the wells collectively averaged approximately 175 bbls/d of medium-gravity crude oil, performing in line with expectations.

Advised that Atlantic LNG Train 4 is undergoing a scheduled 54-day maintenance shutdown that commenced on May 26, 2026, Touchstone stated,

“During this period, Central block gas volumes will be redirected to Train 2/3 and the domestic market, which is anticipated to enhance our realised natural gas pricing.”

Mechanical and electrical installation of the Cascadura facility booster compressor continues to progress on schedule, with commissioning expected to commence this month. Touchstone is preparing for a coiled tubing cleanout and acid stimulation programme at the Carapal Ridge 3 well to address an inflow restriction and maximise production performance.

President and CEO, Paul R Baay, commented:“Operationally, our focus remains on efficiently converting reserves into near-term cash flow. The addition of two development wells on our legacy WD-8 oil block provides immediate, stable cash flow that capitalises on current strong global crude oil prices.

Crucially, these wells were funded via our strategic exchange of the Fyzabad asset last year, which produced approximately 49 barrels per day in 2025, representing an excellent allocation of capital.

Simultaneously, we are on the verge of expanding our natural gas throughput capacity at Cascadura as compressor installation advances toward a June 2026 commissioning.

At the Central field, the CR-3 well is awaiting coiled tubing services to commence a well intervention to unlock its full productivity. We continue to prioritise disciplined capital allocation, focusing on high-return well and facility optimisations.”

 

 

TOUCHSTONE EXPLORATION PROVIDES AN OPERATIONAL UPDATE

CALGARY, ALBERTA (May 28, 2026) –

Touchstone Exploration Inc. (“Touchstone”, “we”, “our” or the “Company”) (TSX, LSE: TXP) provides an update on its recent operational activities in Trinidad and Tobago.

Highlights

• Oil production growth: The FR-1835 and FR-1836 development wells on the WD-8 block were successfully completed and placed on production in mid-May 2026. Since startup, the wells have collectively averaged approximately 175 bbls/d of medium-gravity crude oil, performing in line with expectations.
• Optimized gas pricing outlook: The Company has been advised that Atlantic LNG Train 4 is undergoing a scheduled 54-day maintenance shutdown that commenced on May 26, 2026. During this period, Central block gas volumes will be redirected to Train 2/3 and the domestic market, which is anticipated to enhance our realized natural gas pricing.
• Progress at Cascadura: Mechanical and electrical installation of the Cascadura facility booster compressor continues to progress on schedule, with commissioning expected to commence in June 2026.
• Carapal Ridge 3 production optimization: Touchstone is preparing for a coiled tubing cleanout and acid stimulation program at the Carapal Ridge 3 (“CR-3”) well to address an inflow restriction and maximize production performance.

Paul R. Baay, President and Chief Executive Officer, commented:

“Operationally, our focus remains on efficiently converting reserves into near-term cash flow. The addition of two development wells on our legacy WD-8 oil block provides immediate, stable cash flow that capitalizes on current strong global crude oil prices. Crucially, these wells were funded via our strategic exchange of the Fyzabad asset last year, which produced approximately 49 barrels per day in 2025, representing an excellent allocation of capital.

Simultaneously, we are on the verge of expanding our natural gas throughput capacity at Cascadura as compressor installation advances toward a June 2026 commissioning. At the Central field, the CR-3 well is awaiting coiled tubing services to commence a well intervention to unlock its full productivity. We continue to prioritize disciplined capital allocation, focusing on high-return well and facility optimizations.”

Operational Update

WD-8 Block Drilling

Following the conclusion of the WD-8 drilling campaign, the FR-1835 and FR-1836 development wells were completed and brought online in mid-May. Combined production from the two wells has averaged a field estimated 175 barrels per day of medium-gravity crude oil, performing in line with internal expectations. Field operations teams are currently optimizing production flow rates.

Turnkey drilling costs for both wells were funded by the drilling operator under the terms of the strategic asset exchange agreement executed by the Company in 2025.

Central Block Natural Gas Marketing

Atlantic LNG Train 4 is undergoing planned maintenance from May 26 through July 19, 2026. Additionally, the main transportation pipeline serving Atlantic LNG will be offline for planned maintenance between June 15 and June 29, 2026.

 

 

 

Predator Oil & Gas    –   operational update 11 June 2026

• Snowcap-3 long-lead well inventory build progressing on track
• Oil storage tanks (capacity 1,200 barrels) to move to Snowcap-3 production facilities site
• Snowcap-3 production start-up focussed on Herrera #8 Sand with a potential initial pre-drill stabilised test rate of 500 bopd
• Snowcap-3 estimated operating net-back US$52/brl, versus current US$31.9 for April net entitlement oil sales equivalent to 76 bopd
• Oil storage allows Snowcap-2ST1 and Jacobin-1 well interventions and wax treatment pilot to proceed
• Independent Technical Resources Report for MOU-6 published
• Positively impacts MOU-6 risk versus reward metrics to deter premature project dilution
• MOU-6 well preparations accelerated
• Significant progress towards potential award of Corrib South successor authorisation
• Corrib South back on the table as a potential “High Impact” strategic asset

Predator Oil & Gas Holdings, the Jersey based Oil and Gas Company with producing hydrocarbon operations and exploration activity on Trinidad and Morocco, announced an operational update.

Trinidad

Snowcap-3 (‘SC-3’)

• SC-3 well inventory build for long-lead items progressing on schedule with delivery dates set by both in-country and overseas suppliers.
• Pre-drill logistics team in place to secure the drilling site to facilitate surveying for the construction of the well pad and associated production facilities.
• Service Orders for well services being issued.
• Commercial negotiations for the preferred drilling rig to align with the current window for drilling SC-3 are close to conclusion.
• Exact timing for the commencement of drilling operations to be announced closer to the current delivery dates being satisfied for all of the long-lead well inventory items that have been sourced from overseas, which are subject to freight transport logistics and customs clearance.
• SC-3 pre-drill logging and well testing programme is being finalised.
• Herrera #8 Sand targeted for production start-up based on a stabilised initial forecast flow rate of 500 bopd with a minimum production rate of 200 bopd to evaluate efficiency of oil storage capacity versus trucking logistics to the preferred sales point.
• 3 existing oil storage tanks with combined capacity of 1,200 barrels being moved to SC-3 well site to enable start-up production as early as possible following well testing.

 

Snowcap-2ST1 (“SC-2ST1”) and Jacobin-1 well re-entries

• Sufficient oil storage capacity available to commence SC-2ST1 and Jacobin-1 operations prior to commencing the SC-3 well.
• SC-2ST1 increased bottom-hole reservoir pressure to 1845.7 psi to be evaluated first by swabbing operations to attempt to prepare the well for natural flow prior to pumping.
• Jacobin-1 has also provided encouragement for a well re-entry and wax treatment before conversion to pumping.
• Successful operations may potentially add initially 20 to 40 bopd for guidance purposes only, as the forecast is impossible to be determined accurately prior to the completion of operations.

April net oil sales entitlement under the Master Services Agreement (‘MSA’) for the Goudron, Bonasse, Inniss-Trinity and Icacos fields

• 2,289 barrels of net entitlement oil sold in April at a Heritage Fair Market Value sales price of US$ 83.338/brl.
• Equivalent to a realised operating profit net-back of US$31.9/brl after Heritage and Ministry licence costs and no exposure to field operating costs.
• 85.4% of the production is from Heritage Incremental Production Service Contracts, which have less favourable commercial terms relative to direct Ministry licences due to the application of additional royalties and First Tranche Oil at a fixed price of US$16/brl.

Short-term business development strategy

• Over the next 6 months focus is on production start-up and cash flow from the Cory Moruga Exploration and Production Licence, which is a direct Ministry Licence.
• SC-3 operating net-back currently estimated pre-drill to be US$52/brl (versus US$31.9/brl for April sales oil using the same pricing parameters). This is subject to revision post-drill.
• Initial SC-3 production estimate of 6,000 brls./month pre-drill (versus 2,289 brls for April existing production).
• Accelerated establishment of the pre-drill SC-3 production facilities in Trinidad creates opportunity for a stepwise uplift in cash flow to potentially support reserves-based lending for MOU-6 in the event of a successful well test and a declaration of commerciality.

Morocco

Independent Technical Resources Report (‘ITR’) MOU-6

The ITR is a strategic document for updating the Company’s business development strategy for Morocco. The ITR is available at www.predatoroilandgas.com

Short-term business development strategy

• Risk versus reward metrics for the proposed MOU-6 well are enhanced by the ITR.
• Historical drilling and rigless testing issues addressed by new well design, mud weight strategy; drilling fluids chemistry and use of larger, imported perforating guns.
• Finalising partnering relationships pre-drill that involve significant equity dilution in the MOU-6 project is commercially no longer attractive due to the Company’s new re-assessment of risk versus reward.
• A relatively low quantum of capital is required for a potential initial MOU-6 pilot CNG and/or micro-LNG “proof-of-concept” development. Valuations remain subject to drilling success, testing results, commerciality assessment, regulatory approvals and market conditions.
• ‘Proof-of-concept’ de-risking of the commercial model for gas monetisation would significantly enhance the potential value of unrisked P50 and P10 prospective and contingent gas resources.

MOU-6 well planning

• MOU-6 well inventory build for long-lead items will be completed at the beginning of August.
• Revised pre-drill strategies for well design and drilling mud chemistry completed and will ensure flexibility for potential testing and re-use of the proposed MOU-6 well.
• Environmental Impact Assessment is anticipated to be approved in July.
• MOU-6 will be drilled to +/- 950 metres.

Ireland

Corrib South Licensing Option 16/26

• Focussed at corporate level on satisfying remaining financial requirements requested by the regulatory authorities to be submitted by 30 September 2026 to allow a recommendation to be made on the status of the application for a successor authorisation.
• The Company is confident that it will satisfy the stated regulatory requirements, particularly considering the increased cashflow to be potentially established by the SC-3 well in Trinidad.
• Corrib South has been re-established as a potentially significant asset for the Company adjacent to the Corrib gas field. It could provide future much-needed gas storage for Ireland to assist with energy security and to prolong the life of the Corrib gas field infrastructure.

For context Corrib South was retained by the developer of the Corrib gas field (Shell) as a Reserved Area Licence prior to exiting Ireland.

Paul Griffiths, Chief Executive Officer of Predator Oil & Gas Holdings Plc commented:   ‘Since 2021 the global oil and gas sector has faced unprecedented challenges generated by the demand to replace fossil fuels by renewable green energy to address legitimate climate change concerns.

The rationale for the changeover was ill-conceived as it did not address energy security and the impact of energy price shocks on the cost-of-living during an inevitable transition period. This impacted investor sentiment and political expediency in Europe to delay and put in place regulatory hurdles to frustrate the development of oil and gas sector assets.

Access to capital and finance needed for business development growth became restricted and more costly. “Swimming against the tide” would be an apt description for the oil and gas sector, particularly impacting smaller independents during this period leading to a contraction and near-elimination of the farmout market.

Fast-forward to the past 12 months and energy security and the cost-of-living crisis has replaced the former political narrative as a result primarily of the Middle East wars.

Very few pragmatic and fair-minded people would deny the importance of fossil fuel to sustain the Energy Transition and ameliorate the cost-of-living crisis by developing indigenous oil and gas resources.

The Company has survived this period of turbulence to be in a position to now ‘swim-with-the-tide’ . The change in sentiment in political, financial and regulatory circles is now being utilised by the Company to drive our operations forward in 2026 in a manner that was not previously possible.

We are very pleased with current progress given the unpredictable impact of the Middle East conflict on the global logistical supply chain. So far there has been no consequences for the Company. This window of opportunity must be exploited before the cycle of positive sentiment might yet turn again, as politicians are fickle, depending on which way the votes blow!’

Source: Predator Oil & Gas

 

 

 

Canada deepens trade and investment ties

3 June

CANADIAN High Commissioner to Trinidad and Tobago Michael Callan says that the commercial relationship between the two countries is based on hundreds of years of shared history.Building on this strong foundation, he is very optimistic about the room for further growth in trade, education, security and commercial relations, even as both countries navigate a challenging global environment.

At the High Commission of Canada in Port of Spain, Callan described Canada as “open” and “accessible” and pointed to long-standing ties through migration, education, culture and business. Many nationals from T&T have settled in Canada over the years, particularly in the greater Toronto area and the relationship between the countries continues to deepen through people-to-people connections.

Canadian businesses already operating locally benefitted from decades of commercial engagement and there is still “a lot of work to be done” in expanding economic cooperation. Canadian firms in the downstream industries for decades have supported thousands of families with well-paid professional jobs for generations.

Canadian companies are familiar to T&T, with banking giants Scotia, RBC and CIBC being part of daily life. However, others make less visible contributions every day. As energy costs dominate global headlines, utility T&TEC engaged Screaming Power of Ontario, to assist customers in managing energy usage. Kaizen Environmental Services (Trinidad), subsidiary of a Canadian company, has a successful operation undertaking major environmental projects.

The Ministry of Finance contracted another Canadian company, FreeBalance, which has a partnership with Trinidad Systems Ltd to market public financial management software solutions. These help government institutions plan and manage budgets, assets and human resources more effectively. Established local companies expanding deeper into Canadian markets include KC Confectionery Ltd and Sunshine Snacks .

Internationally, Callan said countries are operating in a “difficult global context.” Diversification and stronger partnerships are increasingly important. In pursuing international opportunities, Canadian companies always seek transparency and predictability in their investments. He cited collaboration in security and law enforcement, including engagement involving the T&T Police Service, cybersecurity initiatives and cooperation with Canadian federal agencies. This takes many forms. Canadian soldiers currently in T&T work with their Trinidad and Tobago Defence Force colleagues to strengthen joint military planning and ensure both countries are prepared to cooperate should the need arise.

Community organisations play an important role in strengthening bilateral relations. He praised volunteers and community members who help maintain connections between both countries over many years. The Canada Club of T&T is a community initiative of the High Commission of Canada since May 2025 to connect Canadians, alumni and friends of Canada in T&T. It serves as a network for sharing experiences, opportunities and fostering connections through online exchanges and local events.

Noting that it is important for diplomats to move beyond diplomatic circles and connect with citizens from all walks of life in T&T, Callan continues to engage with different parts of society. During his visit to St Dominic’s Children’s Home, in partnership with the Samaritan Movement to experience the children’s artistic talents, he learnt how the High Commission could support their aspirations .

Callan acknowledged recent changes to Canada’s immigration system, where movement between the two countries remains active through work, education and family ties. This is facilitated by Canada’s Electronic Travel Authorization (eTA) programme, which allows anyone with a valid US non-immigrant visa, or who has held a Canadian visa within the last ten years, to secure entry into Canada quickly and conveniently online.

Tourism and aviation are areas of continued collaboration. Callan referenced the role of airlines including Air Canada and Caribbean Airlines in maintaining connectivity between the countries. He was excited about Canada hosting events of the FIFA World Cup which open in Toronto on June 12.

Trade with Canada continues to grow and 97% of products from the region enter Canada tariff-free under existing arrangements. Referencing broader international trade agreements involving Canada, Callan explained that these opportunities can open doors around the world, with Canada connected to Europe, Asia and the Americas through free trade agreements and air, sea and land links. This is a major priority for Canada as it continues to work to reduce trade barriers and improve commercial access around the world .

Over 30 Canadian universities participate annually in outreach activities involving students in T&T, reflecting continued interest in Canadian tertiary education opportunities. Callan stresses that it’s precisely in times of global uncertainty that Canada wants to reinvest in its friends. Canada and T&T share a time zone, language, legal tradition and extraordinary cultural ties. Trinidad nationals thrive in Canada and continue to be welcomed to study, perform, explore and do business—tariff-free.

Collaboration between business organisations and trade agencies in both countries will remain important as Canada and T&T expand economic and commercial ties. The upcoming T&T Chamber of Industry and Commerce trade mission to Canada in August, with a focus on the Greater Toronto Area is a great opportunity for local companies to find new Canadian partners as the relations between Canada and T&T strengthen.

 

 

Shell, Digicel fund Solar lights for farms

3 June

Participants in the Renewable Energy Systems Laboratory project gathered at the University Field Station after completing a solar installation aimed at supporting agricultural research and farmer training.

The Renewable Energy Systems Laboratory (RESL), a joint initiative between the T&T Association of Energy Engineers (TTAEE) and The University of the West Indies, has officially begun operations. Funded by the Digicel Foundation and energy company Shell, the laboratory was established as a renewable energy training centre aimed at bridging the gap between research and practical application in the agricultural sector. Thomas Jackson, TTAEE business development director, said the project represents exactly what both organisations envisioned when they partnered to create the facility. It moves beyond theory and places students and farmers in real-world environments, generating data and solutions that are directly relevant to T&T.

RESL is more than a research initiative. UWI students designed and installed a functioning solar system, improved conditions at the University Field Station and shared their knowledge directly with farmers.

The project marks the first major initiative undertaken since the laboratory’s establishment and is intended to serve as a foundation for broader renewable energy adoption across rural sectors.

“For too long, farmers have had to rely on guidance developed for completely different climates. What these students have done is begin building knowledge specific to our conditions, a critical step in making renewable energy work for our communities.

That is the kind of practical, meaningful impact we want to see. It also highlights the strength of our local talent. When given the right platform, our students are not only learning, they are solving real problems and contributing to the energy transition in a tangible way.

The experience, data and relationships built through projects like this will help scale renewable energy solutions across rural communities. There is exceptional talent in T&T, and it is about bringing the right people together to move the country forward.”

The initiative centres on a comparative study of bifacial and monofacial solar panels under regional conditions. Conducted through UWI’s Community Service-Learning programme and supported by funding from the Digicel Shell Foundation, the project aims to generate region-specific data that can be used in farmer training programmes hosted at the laboratory. One of the project’s primary goals is to address the shortage of region-specific information on renewable energy systems.

“Farmers in T&T often rely on information from North America, where environmental conditions differ significantly. This project allows us to collect real-world performance data under local conditions so future recommendations are practical, relevant and optimised for T&T.

The solar installation is already delivering benefits at the University Field Station. This transfer of knowledge ensures the impact goes beyond a single site and supports wider adoption of renewable energy solutions throughout the agricultural sector”.

Solar power now provides lighting for a potting shed that previously had no electricity, improving safety and allowing staff to work later in a properly lit environment. The system was also designed to accommodate future expansion for additional research and agricultural development projects. The initiative extends beyond the university campus. Following installation, students worked directly with farmers, providing guidance on system installation, maintenance and safety practices.

Agronomy technician in UWI’s Department of Food Production and local farmer Rayard Khan praised the students for their work. Many farmers still operate without reliable access to electricity.

“Your commitment, enthusiasm and work ethic have been nothing short of inspiring. Because of you, I can stand in the potting shed, flick a switch and the space comes alive. No longer do I have to use my car headlights while working late.

As engineers, imagine trying to manage water efficiently without powered systems, preserve harvests without cold storage, or process produce without basic machinery. This is not a distant problem; it is a daily reality. It limits not just productivity, but possibility.Your introduction of solar energy into agriculture is not just a technological upgrade; it is a lifeline.”

 

 

 

Best upstream outlook in years

24 June Jason Chatoor- energy consultant

Over the last few years, the narrative around Trinidad’s gas supply has been focused on what’s missing, with gas production declining, fields depleting and Dragon perpetually on the horizon. It’s been a story of a widening gap. That narrative is still true, but a different story may be emerging from what is being built, drilled, sanctioned and legislated now. The numbers are sobering about the demand that is already awaiting this gas.

A wave of curtailments and shutdowns in recent years at Point Lisas was driven primarily by inadequate gas feedstock. At various points, a significant proportion of ammonia and methanol production capacity was idle or running well below design rates, with multiple major producers either shutting down or striking short-term gas supply deals to maintain operations.

The situation is fluid, with some operators securing new gas contracts and restarting capacity while others remain offline or constrained. The broad pattern, however, remains clear: an industrial estate built on the promise of affordable, reliable gas is struggling to get enough. Atlantic LNG also felt the impact, running with three of its four trains since Train 1 was mothballed due to gas shortages. Even those three trains are operating below capacity. Against this demand backdrop, supply is waning.

What’s already in the system

Two significant projects achieved first gas in 2025 and deserve acknowledgment. In April 2025, bpTT’s Cypre field came online. A subsea tieback to the Juniper platform with 7 wells, Cypre delivers around 250 mmscfd at peak. It came in roughly 2.5 years from final investment decision, about as efficiently as you can execute an offshore tieback in this part of the world. As I covered earlier on what it actually takes to develop a gas field from discovery to first gas, that execution timeline is genuinely impressive.

A month later, the 50/50 joint venture between EOG Resources (Operator) and bpTT, Mento, produced first gas. Both Cypre and Mento are now contributing to production numbers.

The 2027 cluster

The Trinidad energy industry is anxiously awaiting 2027. 4 projects are either under active construction or being drilled, all targeting first gas in 2027.

1. Ginger : bpTT took final investment decision in March 2025. 4 subsea wells tied back to the Mahogany B platform, 50 miles off the southeast coast, with peak production capacity around 370mmscfd. Drilling is continuing through 2026.
2. Aphrodite: Shell sanctioned Aphrodite in June 2025. A single subsea tieback routed through the Dolphin platform in Shell’s East Coast Marine Area, targeting around 107 mmscfd at peak.
3. Coconut : Another bpTT/EOG joint venture under a similar structure to the Mento arrangement.
4. Manatee : Shell took final investment decision on Manatee in July 2024. The field holds an estimated 2.7 trillion cubic feet of gas reserves and since sanctioning.

Shell has upgraded the pipeline from 24-inch to 32-inch. increasing capacity from 700 mmscfd to 1,000 mmscfd. This capacity upgrade suggests increased confidence in the project’s long-term potential.

Ginger, Aphrodite, Coconut, and Manatee combined show a meaningful volume of new gas flowing into the system within the next 18 months. These projects likely require a ramp up period and may not deliver peak rates in 2027.

The legislation that could unlock more

On top of the active development projects, there is a piece of legislation that has not received as much attention as it deserves. The Finance Bill passed in June 2026 updated the Petroleum Act and Petroleum Taxes Act to introduce targeted fiscal incentives for what the law now defines as marginal marine gas fields, specifically offshore shallow-water fields with recoverable gas resources of 300 bcf or less.

Under the previous legislative regime, many of these smaller fields were economically challenging to develop. The new legislation reduces the royalty rate on certified marginal marine gas fields. To qualify as marginal, a field must be officially certified by the Minister of Energy, demonstrate an IRR below 15% as a standalone project, and have commenced production after January 1, 2026. These fields are not individually large volumes but they are cumulative and represent gas that would otherwise stay in the ground permanently.

For mature areas where existing infrastructure is sitting nearby at low utilisation, that is a meaningful incentive. Let’s keep a close eye on how these changes actually incentivise field development.

The cross-border picture

Dragon and Loran both involve Venezuelan gas that could flow to Trinidad. Dragon sits entirely in Venezuelan waters with plans to pipe production to Shell’s existing Hibiscus platform. Loran is the Venezuelan side of the same geological reservoir that Shell is already developing as Manatee in Trinidad waters. In both cases, the gas is Venezuelan and the politics have been complex. However, the opportunity is significant.

Dragon’s development pathway in March 2026 bore the core message – that political resolution is not the same as gas in pipe. The timeline from licensing to first gas runs through commercial negotiations, detailed engineering, procurement, drilling and commissioning.

Even with good political conditions, first gas in a realistic scenario takes several years from the moment things get moving in earnest. The political conditions have improved meaningfully. Following developments in Venezuela in January 2026, the interim government has been considerably more open to energy investment.

Shell received a new OFAC licence in October 2025. Shell CEO Wael Sawan said at CERAWeek in March 2026 that the company could greenlight up to two Venezuelan projects this year if fiscal and legal frameworks align. A final investment decision on Dragon could come by end of 2026 and Trinidad’s energy minister hopes to see first gas in Q4 2027 of 350 mmscfd.

Recently, Venezuela granted Shell a licence for the Loran field, the Venezuelan side of the cross-border Loran-Manatee reservoir. Loran holds an estimated 7.3 trillion cubic feet of gas. Combined with Manatee’s 2.7 trillion cubic feet on the Trinidad side, the integrated cross-border system represents ten trillion cubic feet. That is a different order of magnitude from anything else in the near-term development portfolio. If Dragon and Loran both progress, the supply picture starts to look transformational.

I remain cautiously honest about the timelines. The complex politics are better , mainly following the change in Venezuela’s political leadership but the road ahead is bumpy at best. OFAC licensing, commercial negotiations, mandatory US company participation requirements and the sheer complexity of cross-border development all control production. MOUs are not the same as gas-in-pipe. However, progress is real and Shell is extremely competent at complex energy developments.

Longer bets

Calypso, operated by Woodside Energy with bpTT holding a 30% stake, is a deepwater gas field 220 kilometres off the coast of Trinidad in 2,100 metres of water, with confirmed reserves of 3.5 trillion cubic feet. Commercial terms between Woodside and the Government were agreed in February 2025, and final investment decision is expected by end of 2026, with first gas realistically around 2031 at peak production of 700 mmscfd. This is the big deepwater prize that could sustain the gas economy into the next decade.

Then there is TTUD-1 block. A Production Sharing Contract was signed in August 2025, with 3D seismic survey starting in January 2026, covering an ultra-deepwater block exceeding 7,000 square kilometres off the east coast in water depths over 2,000 metres. Survey completion is targeted for July 2026, after which data interpretation begins and potentially two exploration wells follow.

A commercial discovery means first gas well into the 2030s. This could be a valuable exploration bet, not a near-term supply solution. ExxonMobil’s track record in the neighbouring Guyana basin, where Stabroek block yielded over 11 billion barrels of recoverable resources, means their interest in Trinidad geology is noteworthy.

Challenges

The picture above is genuinely optimistic relative to two or three years ago. Optimism without honesty, however, is just good PR. Gas price economics remain complicated. The upstream requires gas prices that justify deepwater and complex development costs. The downstream players have price ceilings that limit what they can pay for gas. There is not a lot of deal space here and agreeing to pricing that works for both parties will decide which projects get built and which potentially stall.

Execution capacity is a real constraint. Drilling rigs, pipelay vessels, fabrication yards, environmental permitting processes and skilled contractors are all finite resources. One or two projects at a time is manageable. Six or seven running concurrently is challenging at best.

The cross-border projects carry specific risks that the domestic ones do not. The complexity of Dragon and Loran has been reduced but has not gone away. Calypso, the biggest single prize in the medium-term portfolio, still needs to clear a final investment decision in an environment where deepwater economics remain challenging and Woodside is actively simplifying its global portfolio.

What this all means

The supply activity should be thought of in the context of the idled plants and curtailed production. Atlantic LNG and the Point Lisas plants have the infrastructure, the workforce and the global customer relationships to be competitive. What they require now is a steady supply of suitably priced gas volumes. The projects coming in 2027 start to address that. The marginal-field legislation makes previously stranded smaller volumes more viable. The cross-border picture, following the change in Venezuela’s leadership, has improved in ways that would have seemed unlikely 18 months ago. Calypso and ExxonMobil’s deepwater block represent a credible pipeline beyond that.

However, complacency is not advisable. Projects get sanctioned but gas-in-pipe is something else entirely. The idled plants at Point Lisas did not all shut down overnight and they will not all restart overnight either. That is worth saying clearly without the spin that clouds PR announcements. The fundamentals are moving in the right direction. Let’s remain cautiously optimistic about what the future brings to the local energy sector.

 

 

 

Natural gas

2026, 06/18   Ian Narine,

financial consultant, [email protected]

A peculiar mood in parts of Trinidad and Tobago’s energy debate, as it relates to cross border gas with Venezuela, involves an undercurrent that creates doubt that Venezuelan gas would reach T&T shores.

Certain sectors position evidence that Trinidad is about to be bypassed as if this should be applauded. It is possible to be cautious about Venezuela but caution is not the same as willing a national opportunity to collapse. The irony is that many of these voices were a few years ago labelling others as “naysayers” and “unpatriotic” for the same perception.

That by itself is expected. The real problem is that parts of the public conversation have become so politicised that technical facts are being administered through partisan lens and a media, for whatever reason, opted out of providing the public with objective factual analysis.

Take for example the Dragon Gas arrangement. Leading into the 2025 election was a real agreement between T&T and Venezuela that was not fully bankable, with significant gaps . It was not a done deal.

If the then Maduro regime was able to unilaterally rescind the agreement as they claimed to have done, then the logical conclusion is that while there was an agreement on paper, it was not enforceable in law.

T&T’s position in such an environment would have been beholden to the whims of Caracas which could have resulted in negative social implications for T&T- the mounting of a Petrotrin rig in 2012 by Venezuelan authorities on suspicion of it being in Venezuelan waters, incidents with local fishermen and current oil spills. Venezuela has shown a real ability to protect its borders and national interests, which is good.

Juxtapose that ability against the established record of migrant trafficking, human trafficking, narco and gun trafficking that originates from Venezuela. It should be clear that there was not only a tacit approval of these activities on the Venezuela side under Maduro but also, that if T&T were to “anger” them in the pursuit of addressing these issues constructively, they could “rip up” the agreement down the road.

That isn’t a good place to be in and so while a Dragon exploration and production licence was issued to NGC and Shell on December 21, 2023, for the export of 100 per cent of Dragon gas to Trinidad and Tobago, it came with more risks than the government acknowledged.

Agreement
Dragon carries a documentary record of a project designed to use Trinidad’s existing energy infrastructure in spite of any tensions between both nations. This is because it’s the fastest commercial path to monetisation. The published licence terms reported in Trinidad and by Reuters described a 30-year licence, a Venezuelan state income floor of no less than 45 per cent of the licensees’ gross income, and a destination split in which 70 per cent of the gas would be for Atlantic LNG and 30 per cent for the petrochemical sector in Point Lisas.

If what was previously negotiated holds, then Venezuela is gaining a return on revenue without the capex and production risks. Adding time to market with T&T infrastructure, it represents an attractive value proposition for Caracas in dire need of funds for redevelopment.

The problem is that what was originally negotiated wasn’t executable. The original Rowley/Young/Maduro track carried three burdens that could not be wished away: US sanctions risk, creditor risk and contract enforcement risk.

The October 2023 OFAC amendment gave GORTT, NGC and Shell space to plan, finance, develop and manage Dragon; it also permitted payments to Venezuela for taxes, royalties, fees and lease bonuses, in US dollars or bolivars but it expired on October 31, 2025. That expiry date negatively impacted the project’s capital decision.

Shell’s position then versus now highlights the problem. In April 2024, Shell was seeking a longer US licence before making a final investment decision on Dragon and certainty required for an investment of over US$1 billion, with a 15-year licence discussed by sources. A two-year licence window was insufficient to justify this level of capital expenditure.

Then came the ConocoPhillips complication. Trinidad courts recognised ConocoPhillips’ US$1.33 billion claim against Venezuela, opening the door to enforcement against compensation streams connected to joint gas projects. It created a serious bankability problem. Even if there was a route to access the physical gas, the money route was contested and unclear.

The subsequent US revocation of Trinidad/Venezuela gas licences in April 2025 vindicated the concern. Revocation hit projects involving Shell, BP and NGC, imposed a May 27 wind down deadline and stopped payments to Venezuela related to the projects. No serious investor could ignore that precedent. It proved that the original sanctions architecture was politically reversible.

This is why the current route should not be analysed as a simple continuation of the old deal. OFAC’s 2026 General Licence 50A is not a blank cheque. It authorises certain oil and gas transactions involving listed entities, including Shell but requires contracts with Venezuela, PDVSA or PDVSA entities to be governed by US law with dispute resolution in the US. It also requires oil and gas taxes or royalties payable to Venezuela, PDVSA or PDVSA entities to be paid into Foreign Government Deposit Funds or another US Treasury directed account.

That changes the political economy of the project. For Trinidad and Shell, the new architecture may be more bankable because it offers clearer legal and payment controls. For Venezuela, it may be less attractive than unrestricted cash receipts. But that is precisely the point: a credible Dragon project has to satisfy Washington, Shell, Trinidad, Venezuela and creditors. This did not exist up to now.

Loran
Loran/Manatee field reinforces rather than weakens the argument that T&T is in a better position now to execute on cross-border gas reserves. Shell has been developing Manatee on the Trinidad side, while Loran lies across the maritime boundary in Venezuela. The reporting suggests that Shell’s interest in Loran is because of its proximity to Manatee, with one source describing a plan to drill subsea wells on the Venezuelan side and tie them back to the Manatee platform in Trinidad.

The timeline is for Manatee first gas in 2027 with increased pipeline capacity to Trinidad. Against that background, some recent commentary about alternatives to Trinidad and the use of the Atlantic LNG facility to monetise Venezuelan gas has been technically weak. Last week’s Shell visit to the Muscar Operational Complex in Monagas has been incorrectly positioned as evidence that Venezuela can consider this facility as a substitute for Atlantic LNG.

Muscar is a PDVSA-operated gas complex that distributes gas for reinjection into oilfields and for domestic supply. It was also temporarily shut after a 2024 explosion and fire. This facility is around 350 km from the Loran field and while Muscar may be important to Venezuela’s internal oil and gas system it is not, on the public evidence, an LNG export terminal capable of replacing Trinidad’s liquefaction platform.

Atlantic LNG remains the strategic prize because it already exists. It has liquefaction trains, tanks, export history, shareholders, commercial relationships and spare capacity created by T&T’s gas shortage.

Reports in April 2026 indicate that Shell expects Venezuelan gas to be processed into LNG in Trinidad, that Shell holds 45 per cent of Atlantic LNG, BP 45 per cent and NGC 10 per cent, and that the complex has capacity because of insufficient gas from T&T .

This is not a theory of Trinidad being bypassed. It is the opposite. The commercial pattern is consistent: use Trinidad’s existing infrastructure to monetise Venezuelan gas faster than Venezuela could by building or refurbishing a full alternative export chain. Go back to the Dragon project to understand why.

One option involved routing gas through Güiria, allowing Venezuela to process gas onshore and potentially retain some for domestic use. That option could have extended first output to 5 years rather than 3 and significantly increase capital expenditure and lower return on investment.

The Trinidad route remains the most commercially credible path and the responsible thing is to explain this point alongside any partisan theatre.