Trinity Exploration & Production

(“Trinity” or “the Group” or “the Company”)

(AIM: TRIN): Final Results 2021; Continued strong performance with structure in place for dynamic growth strategy

Notice of Results

Trinity delivered another resilient performance in 2021. The Group is now positioned to leverage its cash and asset base to drive value and returns – with groundwork laid for near-term resumption of drilling, comprising a combination of high angle and horizontal as well as conventional low angle wells. This will be funded from existing cash resources and is the first phase of an ambitious growth strategy designed to maximise returns.

Highlights
• Revenues of USD 66.2 million (2020: USD 44.1 million)
• Average production of 3,069 bopd (2020: 3,232 bopd)
• Average price per barrel received increased to USD 60.4/bbl (2020: USD 37.7/bbl)
• Adjusted EBITDA of USD 19.8 million (2020: USD 12.1 million)
• Operating Profit* of USD 10.0 million (2020: USD 3.0 million)
• Sixth consecutive year of sub USD30.0/bbl operating break-even with industry wide cost pressures increasing
• Cash generated from continuing operations USD 12.6 million (2020: USD 10.3million)
• Cash flow used in investing activities USD 13.9 million (2020: USD 6.0 million)
• Year end cash USD 18.3 million (2020: USD 20.2 million)
• New 25-year Galeota Licence, Crude Sales Agreement, Joint Operating Agreement, Conversion to 100% Working Interest
• Lease Operatorship Agreements renewed for 10 years on attractive terms
• PS-4 acquisition completed – further enhancing Trinity’s contiguous acreage

* Before SPT, PT, Impairments and Exceptional Items

Positioned for Next Growth Phase
• Dynamic strategy for growth is underpinned by a strong balance sheet and resilient and dependable cash flow
• Focus on maximising value from existing assets and through acquisitions and partnerships
• Clearly defined, risk-mitigated strategy to drive returns for shareholders through value growth and the potential to return cash
• Strengthened Board
o Additions of Derek Hudson and Kaat Van Hecke further strengthening commercial, operational and wider industry skill sets

• Creation of Technical Committee
o Focused on risk-mitigation and assurance of opportunities which can increase scale and
optimise returns
o Resumption of onshore drilling during H2 2022 is the first phase of this scaling up process
• Commenced planning for ambitious, risk-appropriate exploration programme
o To test the remaining material prospective onshore resources, using 3D seismic to map leads with potential to be fast-tracked to monetisation
o Exploring various options for the Galeota asset

Post Period Highlights

• Continued momentum into Q1 2022
o Q1 production levels resilient with volumes averaging 3,013 bopd (Q4 2021: 3,103 bopd).
2022 average production will be influenced by the timing and outcomes of the drilling campaign.
o Cash balance of USD 17.5 million as at 31 March 2022 (unaudited) (USD 18.3 million as at 31 December 2021)
o Average realisation of USD 83.1/bbl for Q1 (Q1 2021: USD 52.3/bbl)
o 2022 average production will be influenced by the timing and outcomes of the drilling
campaign

Jeremy Bridglalsingh, CEO of Trinity, commented:

“We are delighted with the Company’s performance during 2021 and look forward with confidence. The reinforced technical guidance for the upcoming drilling programme  points towards the potential for this to be an inflection point for the Company as we commence the next stage of our growth, and we very much look forward to updating the market with further developments in due course.

“Our ambition is to double production over the next few years, and thereby generate sufficient free cash flow both to fund future growth initiatives and deliver meaningful cash returns for shareholders, and we believe that we now have the structure in place to deliver this challenging target.”

CHAIRMAN’S STATEMENT

“It is a privilege to chair Trinity as we emerge from a period of significant change during which management refreshed our strategy and focused the business on clear and deliverable growth opportunities. Our dynamic strategy for growth is underpinned by a strong balance sheet and resilient and dependable cash flow from production – something of a rarity amongst the smaller companies in our sector – and a testament to our strong business model.

I would like to commend our team which has maintained focus, momentum and professionalism throughout a challenging year, allowing us to protect the integrity of existing assets and operate safely to deliver steady production and cash flow. Importantly, this core operating model provides the basis from which we can grow  the Company into a leading independent producer of scale both by maximising value from existing assets and through acquisitions and partnerships. We have a clearly defined, risk-mitigated strategy  in place and believe that this will drive returns for shareholders through value growth and the potential to return cash.

At time of publishing, the world is in turmoil and we are deeply concerned for those most affected by hostilities in the Ukraine. This global upheaval brings with it a raft of new and different challenges to an industry already coping with the perfect storm of restrictions on working practices imposed by the Covid-19 pandemic, unprecedented volatility in commodity prices and, in our own case, the shock of the sudden and untimely passing of our founder and Executive Chairman, Bruce Dingwall, CBE. As such, 2021 proved to be an
extraordinarily difficult year to navigate, but one in which Trinity proved its resilience and, perhaps as importantly, its ability to act decisively for the benefit of our stakeholders, refining and prioritising our extensive opportunity set, with a view to generating significant growth in value in the relatively near term.

Board Changes

In the past year we have changed the composition of our Board to bring Trinity’s governance structure more in line with market practice, with the role of Chairman becoming a non-executive position, complimented by the promotion of Jeremy Bridglalsingh to the position of Chief Executive Officer. Jeremy is a Trinidadian whose contribution to the Company’s strategy and development since becoming CFO in 2016, and more recently Managing Director in 2019, cannot be underestimated.
Further, we added depth and breadth to an already strong Board, welcoming two important new non-executive directors, Derek Hudson and Kaat Van Hecke, both highly respected and experienced members of the international energy industry. David Segel stood down from the board in March 2021, and I would like to place on record my thanks for his invaluable contribution to our deliberations since he joined the board following our recapitalisation in 2016.

Technical Committee
Trinity fields an expert sub-surface team whose knowledge of the geology of Trinidad’s hydrocarbon-bearing basins is a core strength of the Company. To support them and assist the Board by bringing a global context to analysis of potential new projects, during 2021 we established an external advisory committee of world-class sub-surface and petroleum engineering experts who will help us to critique and filter prospects so that we can confidently focus expertise, energies and investment to fast-track only the most viable,  high-grade opportunities.
The Technical Committee comprises two board members and three high-quality independent experts and has helped management refine and prioritise its existing opportunity set to focus on risk-mitigated prospects capable of being delivered with the Company’s existing financial and operational resources to increase scale and optimise returns. It has set ambitious but deliverable growth targets, and the resumption of onshore drilling during the second half of this year is the first part of this scaling up process.

Managing risk to deliver growth in production and cash flow
This additional layer of uncompromising, qualitative analysis in geoscience and petroleum engineering is  matched by two of Trinity’s key financial characteristics; capital discipline, with an increasing focus on risk assessment, and a relentless commitment to cost management. 2021 saw Trinity turn in its sixth consecutive year of sub USD 30.0/bbl operating break-even, in fact USD 29.2/bbl, a real achievement in such challenging times and an excellent discipline to provide a buffer against times of low market prices. The Company expects an increase on the usual operating breakeven in FY 2022 to support medium term growth through increased technical and intellectual capacity and with industry-wide cost pressures increasing. Furthermore, Trinity maintains a strong balance sheet, with cash resources of USD 18.3 million at 31 December 2021 (2020: USD 20.2 million), meaning we have the resources we require to deliver our near term growth objectives.

These pillars of our business culture will underpin our dynamic future strategy where we aim to grow our predictable, stable production and cash-flow allowing us the opportunity to both fund attractive new growth opportunities and deliver cash returns to shareholders.

Risk-appropriate investment for future growth
Stable cashflow forms the bedrock of Trinity’s financial strength and positions us well for our next, exciting growth phase. One of our key operational objectives is to safely and sustainably build and scale production and we have already commenced planning for an ambitious, risk-appropriate exploration programme that will tap into the region’s material remaining reserves, using 3D seismic to map prospects with potential to be fast-tracked to monetisation, generating material growth for our shareholders whilst understanding and hopefully ameliorating technical and commercial risk.
An additional layer of potential comes from the ongoing farm-down process for our Galeota licence, comprising the producing Trintes field, the Echo Prospect and potential from the Foxtrot and Golf accumulations. The Company has engaged with a range of potential partners and whilst initial feedback has been encouraging, several participants have indicated their inability to fully assess the economics of the opportunity without clarity being considered by the Government of Trinidad and Tobago (“GORTT”). As these considerations seem to have been delayed, and to ensure that the Company attains the best possible value proposition for this highly valued asset, we have made the decision to pause our farm-down process until the GORTT fiscal reforms have been concluded.
We continue to explore a variety of options for this asset, with the aim of maintaining exposure while avoiding the need for material additional debt or diluting existing shareholders. These key criteria must be met, together with tax reform in Trinidad, which has been flagged by the Government, before your Board will commit to/progress any partnership offers.
We eagerly anticipate T&T’s new bidding rounds for exploration blocks both onshore and near offshore. We will target licences that provide additional opportunities to expand our footprint in Trinidad. Concurrent with that, we will continue to evaluate acquisition opportunities.

Investing in future energy and transition
Unfolding geopolitical events have made it clear that, for many years to come, ‘traditional’ energy (i.e. oil & gas) will remain an essential part of the energy mix. However, the clock is ticking towards Energy Transition & Net Zero and Trinity’s goal is to be at the forefront of T&T and the wider Caribbean region’s energy transition.  During 2021 we established a new senior executive role of Innovation, supported by a small but highly qualified  team, and have already instigated several meaningful studies and ground-breaking collaborations that we believe will challenge conventional thought and help to develop innovative new approaches to energy production.
Trinity’s ESG programme is designed to build environmental considerations into the mindsets of our people and the heart of our business culture such that sustainability becomes one of the cornerstones of our future vision.

Financial Discipline
Our 2021 results demonstrate your Company’s resilience. Adjusted EBITDA for the year was USD 19.8 million (2020: USD12.1 million) and cash resources were USD 18.3 million (2020: USD 20.2 million) at year end despite the absence of new drilling activity. In 2021, in line with previous years, we hedged around 50% of our production to counteract the impact of low oil prices and the effects of Supplemental Petroleum Tax (“SPT”), which is at its most punitive when realised oil prices are between USD 50.01 and USD 55.0 per barrel. The adoption of a similar policy for 2022 has significantly reduced the immediate benefit of high oil prices on our profitability and cashflow, especially in the first half of the year. However, we expect the impact will decrease in H2 2022, as a lower proportion of our existing production is hedged and our onshore drilling programme will bring new production onstream.

Financial restructuring
At an appropriate future point it is our goal to make returns to shareholders either in the form of cash dividends or share buy-backs. With this in mind, during 2021, your Board undertook a complex share capital re-organisation to position the distributable reserves at PLC level that will enable us to return cash to shareholders as and when appropriate.

Fiscal Reform
Throughout 2021 Trinity continued to leverage its deep and long-standing relationships with Government, Heritage and the region’s energy participants more broadly to make the case for positive fiscal reform. We remain confident that the Government understands the requirement for fiscal reform, despite the near-term outlook for crude oil prices, in order to stimulate investment and development of the country’s oil and gas resources, to the benefit of all T&T stakeholders. We understand that the Government’s deliberations on tax
reform, specifically in relation to SPT, are ongoing, and we look forward with keen interest to receiving positive news on this matter in the near term.

Thanks
I would like to conclude by extending the thanks of the Board to our Shareholders who have remained supportive and engaged despite a difficult year. As the frustrating limitations imposed by the Covid-19 pandemic hopefully subside we look forward to engaging ‘in-situ’ with shareholders and our broader stakeholder community with plans for a busy agenda of presentations and events throughout the coming year. I would also like to extend the sincere thanks of the Board to our management and employees whose unstinting dedication has allowed us to successfully and safely navigate the challenges posed by the Covid-19 pandemic.

We entered 2022 with a refreshed strategy, a strong balance sheet and a dynamic vision for growth. We believe the time is right for Trinity and are energised to deliver optimum value on your behalf.

Nicholas Clayton
Non-Executive Chairman

Reserves and Resources
A comprehensive management review of all assets has been concluded and has estimated Trinity current 2P reserves to be 19.73 mmstb at the end of 2021, compared to the year-end 2020 reserve estimate of 19.55 mmstb.
This represents a 0.9% year-on-year increase. The overall increase in reserves of 0.18 mmstb results from a combination of both negative and positive influences on oil volumes across all assets. However, a Reserves Replacement Ratio (RRR) of 100% was achieved in 2021 with production of 1.10 mmstb fully replaced together with updated well numbers and decline curve analysis on planned infill and producing wells Onshore and Offshore the
West and East Coast.

Brent Forward Price Deck applied to Reserves Economic Limit Testing (“ELT”) as at 3 January 2022

WTI Forward Price Deck applied to Reserves Economic Limit Testing (“ELT”) from Britannic
Trading LLC as at 3 January 2022

(USD/bbl)    2022     2023     2024     2025     2026     2027     2028     2029
Price Strip   76.48     71.76     68.91     67.09    65.97    65.25     65.65     65.65

Management considers the reserves presented in the table below represent the best estimate as at 31 December 2021 of the quantity of reserves that will actually be recovered from our current assets. It represents production which is commercially recoverable, either to licence/relevant permitted extension end or earlier via the application of the economic limit test. The subsurface review has defined investment programmes and constituent drilling targets to commercialise these reserves as detailed by asset area shown in the table:

Unaudited 2021 2P Reserves
Net Oil Production

           31 December    Production    Revisions        31 December
.          2020  mmstb                                                      2021 mmstb
Onshore      5.44            (0.60)             2.42                7.26
East Coast  11.66           (0.40)             (1.48)              9.77
West Coast  2.45           (0.09)              0.33                2.70
Total            19.55           (1.09)               1.27                19.73
Note (*):
–
East Coast 2P reserves decreased due to a reclassification of three Trintes infill wells to horizontal well targets for Echo (-1.89MMstb) which was partially offset by the impact of wells optimisation and maintenance and economic limit testing improvements (+0.4 MMstb)
Onshore and West Coast 2P reserve changes primarily reflect ongoing well optimisation across all assets to arrest decline from our base wells and, for the Onshore, the acquisition of PS4 adding 2P reserves of 0.67MMstb.   The planned 2022 onshore drilling campaign, comprising a combination of high angle and horizontal wells, conventional wells and more materially, stratigraphically untested deeper reservoirs within the fields have utilised improved performance prediction methods (ie dynamic simulation, inflow equations etc) and decline curve analysis for assurance in forecast predictions.
Management’s best estimate of 2C resources as at 31 December 2021 is 47.22 mmstb (2020: 23.25 mmstb). The positive movement of 23.97 mmstb in 2C resources primarily reflects our increased working interest in Galeota,  now 100% compared to 65% at YE 2020 following the successful revision of the license terms.

Management’s Estimate of 2C Resources as at 31 December 2021

Asset         31 December 2020    Revisions    31 December 2021

Onshore                4.01                     (0.19)                         3.82
East Coast            15.94                    24.45                        40.39
West Coast            3.30                    (0.29)                         3.01
Total                     23.25                      23.97                       47.22

Note (*):
• East Coast:
o Working interest in Galeota is now 100% compared to 65% used in YE 2020
o Year End 2020 ECHO FDP conservative 8 well development vs. Year End 2021 most likely Case of 12-well development inclusive of re-categorization of three Trintes infills now being carried as 2C at ECHO

o Additional contingent resources for the shallower TGAL G, H, and M Reservoirs, which are not targeted for initial TGAL (Echo) development, but forms part of phased future development plans.
• Onshore:
o Base Production Optimisation Operations to recategorize some 2C to 2P
o Improved Well Decline Analysis on planned 2P infills to capture more 2C;
• West Coast:
o Recently concluded subsurface work across the Point Ligoure sub-licence asset has re-defined the subsurface
structure resulting in a downward revision of 2C resources
o Base Production Optimisation Operations to recategorize some 2C to 2P in particular execution of ABM151 RCP in Brighton.

                                                                                                           FY 2021 FY 2020 Change %
Average realised oil price1 USD/bbl                                               60.4          37.7          60
Average net sales  2              bopd                                                    3,006        3,226        (7)
Revenues USD million                                                                        66.2         44.1          50
Cash balance USD million                                                                   18.3         20.2          (9)
IFRS Results Operating Profit before SPT & PT USD million     10.0           3.0          233
Total Comprehensive income/(loss) for the year USD million      7.7          (2.8)        375
Earnings Per Share – Diluted APM Results USD cents                 18.0           (7.0)        357
Adjusted EBITDA3 USD million                                                       19.8             12.1        64
Adjusted EBITDA4 USD/bbl                                                             18.0             10.3        75
Adjusted EBITDA margin5 %                                                            29.9             27.4       2.5
Adjusted EBITDA after Current Taxes6 USD million                  14.8             10.6        40
Adjusted EBITDA after Current Taxes Per Share – Diluted US cents 35.0   25.0        39
Consolidated operating break-even7 USD/bbl                             29.2              20.1        45
Net cash plus working capital surplus8 USD million                  20.8              21.4        (3)

 

Analyst Briefing and Investor Presentation

Trinity, the independent E&P company focused on Trinidad and Tobago, announced results for the year ended 31 December 2021 on Tuesday 24 May 2022.

A briefing for Analysts was held at 14.00 on Tuesday 24 May 2022 both in person – with Chairman Nicholas Clayton and Chief Executive Officer Jeremy Bridglalsingh, and via web conference for those unable to attend.

Link to Investor Meet Company :-   https://www.investormeetcompany.com/trinity-exploration-production-plc/register-investor

A copy of the presentation was made available on the website shortly after the presentation.

Enquiries:-

For further information please visit www.trinityexploration.com or contact:

Trinity Exploration & Production plc.   via Walbrook

Nick Clayton, Non-Executive Chairman

Jeremy Bridglalsingh, Chief Executive Officer

SPARK Advisory Partners Limited (Nominated Adviser and Financial Adviser)  +44 (0)20 3368 3550

Mark Brady  or  James Keeshan

Cenkos Securities PLC (Broker)

Leif Powis  +44 (0)20 7397 8900

Neil McDonald  +44 (0)131 220 6939

Walbrook PR Limited

+44 (0)20 7933 8780

Nick Rome/Tom Cooper

trinityexploration@walbrookpr.com

Nick Rome,  Associate Director

D: +44 (0)20 7933 8783 | M: +44 (0)7748 325 236 |

75 King William St, London, EC4N 7BE | www.walbrookpr.com

 

 

TOUCHSTONE ANNOUNCES FIRST QUARTER 2022 FINANCIAL AND OPERATING RESULTS

CALGARY, ALBERTA (May 12, 2022) – Touchstone Exploration Inc. (“Touchstone”, “we”, “our”, “us” or the “Company”) (TSX, LSE: TXP) reports its operating and financial results for the three months ended March 31, 2022. Selected information is outlined below and should be read in conjunction with our March 31, 2022 unaudited interim condensed consolidated financial statements and related Management’s discussion and analysis, both of which will be available under our profile on SEDAR (www.sedar.com) and on our website (www.touchstoneexploration.com). Unless otherwise stated, all financial amounts herein are rounded to thousands of United States dollars.

First Quarter 2022 Financial and Operational Highlights

• Achieved quarterly average production volumes of 1,396 barrels per day (“bbls/d”), representing a 4 percent increase relative to the preceding quarter and an 8 percent increase from the 1,297 bbls/d produced in the first quarter of 2021.
• Realized petroleum sales of $10,496,000 from an average crude oil price of $83.55 per barrel compared to petroleum sales of $8,212,000 from average realized pricing of $66.81 per barrel in the fourth quarter of 2021.
• Generated an operating netback of $37.83 per barrel, a 26 percent increase from the fourth quarter of 2021 and a 72 percent increase from the $21.98 per barrel reported in the first quarter of 2021.
• Our funds flow from operations improved to $1,426,000 in the quarter compared to $1,291,000 recognized in the fourth quarter of 2021 and $538,000 reported in the first quarter of 2021.
• Recognized a net loss of $236,000 and comprehensive income of $164,000, compared to a net loss of $460,000 and comprehensive loss of $415,000 reported in the same period of 2021.
• Capital investments of $2,554,000 focused on continuing production testing operations on the Royston-1 well, expenditures related to the Coho-1 facility and pipeline and lease preparation costs for two Coora development well locations.
• Exited the quarter with cash of $10,148,000, a working capital surplus of $4,259,000 and $30,000,000 drawn on our term credit facility, resulting in a net debt position of $21,241,000.
• In March 2022, our field development plan for the Cascadura area was approved, which extends the exploration and production period for the defined 2,378-acre area through October 31, 2039.

Recent Highlights

• Daily crude oil sales averaged 1,532 bbls/d in April 2022 with a realized price of $91.79 per barrel.
• Coho pipeline has been welded, with trenching operations progressing toward anticipated initial production within four to six weeks.
• The National Gas Company of Trinidad and Tobago (“NGC”) has agreed to purchase the Coho pipeline upon completion and commissioning.
• Received a review and assessment report in response to our Cascadura area Environmental Impact Assessment (“EIA”) application with no material deficiencies raised.
• NGC has received regulatory approval to construct a 20-inch natural gas pipeline from our Cascadura surface facility to their onshore transmission pipeline network.

Paul Baay, President and Chief Executive Officer, commented:

“Our first quarter results reflected a combination of increased commodity pricing and higher production volumes from our legacy crude oil properties. Our near-term priority is to bring our Coho and Cascadura exploration discoveries onto production, with a focus on converting our extensive Trinidad reserve base to sustainable long-term cash flows to fund our portfolio of future development and exploration opportunities. We are forecasting first gas from Coho imminently, which will represent the initial step change in our production profile. With the approval of our Cascadura field development plan and our EIA in the final stages of documentation and clarification, we are making progress toward bringing our Cascadura discovery onto production. We thank our shareholders for their continued support and look forward to providing further updates as we proceed to execute our 2022 strategy.”

First Quarter 2022 Financial and Operating Results Summary

Operational Update

Coho:  Our pipeline and facilities project at Coho is progressing, and the pipeline has been strung out and welded along the right-of-way. Trenching has commenced, and approximately 4,000 feet has been buried to date.

Cascadura:  In March 2022, the Trinidad and Tobago Ministry of Energy and Energy Industries approved our field development plan for the Cascadura area, which extends the exploration and production period for the defined 2,378-acre area through October 31, 2039.

We are progressing with facilities procurement and construction of the Cascadura natural gas facility and liquids pipeline. We received a review and assessment report in response to our Cascadura area EIA from the Trinidad and Tobago Environmental Management Authority on May 5, 2022. We anticipate submitting the additional information request on May 13, 2022. Upon final approval of the EIA, we expect to immediately proceed with construction of the surface facility, access roads and future development drilling locations.

Royston:  We are concluding the extended production test of our Royston-1 exploration well, with the well shut-in for a pressure build-up. Our proposed future Royston-1 drilling operations include re-entering the existing wellbore to abandon the lowest section of the well and sidetrack the well to evaluate the intermediate sheet and potentially the subthrust sheets in the Herrera Formation.

Annual Meeting of Shareholders

We will be holding our 2022 Annual Meeting of Shareholders (the “Meeting”) on Thursday, June 9, 2022 at 10:00 a.m. (Mountain time). To continue to mitigate risks to the health and safety of our communities, shareholders, employees and other stakeholders amid ongoing concerns regarding the coronavirus pandemic, we are holding a virtual-only Meeting which will be conducted via live audio webcast. Every shareholder and duly appointed proxyholder, regardless of geographic location and ownership, will have an equal opportunity to participate in the Meeting online and vote on the matters to be considered at the Meeting. You cannot attend the Meeting in person. Details on how to attend the virtual-only Meeting are as follows:

Go to https://web.lumiagm.com/249639854 in your web browser.

• • • If you have voting rights, select “Login” and enter your username and the password “touchstone2022” (case sensitive).
    • If you do not have voting rights, select “Guest” and complete the online form.

Further details on how to attend the Meeting are included on our website. The meeting materials, including our Notice of 2022 Annual Meeting of Shareholders and Management Information Circular dated April 29, 2022, are available on our website (www.touchstoneexploration.com/investors/shareholder-meetings) and under our profile on SEDAR (www.sedar.com). The meeting materials were mailed to shareholders on May 10, 2022.

Touchstone Exploration Inc.

Touchstone Exploration Inc. is a Calgary, Alberta based company engaged in the business of acquiring interests in petroleum and natural gas rights and the exploration, development, production and sale of petroleum and natural gas. Touchstone is currently active in onshore properties located in the Republic of Trinidad and Tobago. The Company’s common shares are traded on the Toronto Stock Exchange and the AIM market of the London Stock Exchange under the symbol “TXP”.

For further information about Touchstone, please visit our website atwww.touchstoneexploration.com or contact:

Mr. Paul Baay, President and Chief Executive Officer
Mr. Scott Budau, Chief Financial Officer
Mr. James Shipka, Chief Operating Officer
Telephone: 403.750.4487

 

 

BP hires Subsea 7 for TOPR pipeline

May 11, 2022 LUXEMBOURG
BP awarded a contract to Subsea 7 for the TOPR project offshore Trinidad and Tobago. The project covers the installation of a 96-kilometer 12-inch pipeline in water depths of up to 280 feet, associated shore approach and diver tie-in spools. Subsea 7 office in Houston, Texas will conduct Project management and engineering. Front end engineering and design (FEED) is underway and the engineering, procurement, construction and installation (EPCI) scope is scheduled to begin this month.

Craig Broussard, vice president for Subsea 7 US, said: “We are honoured to have been selected for the fast-track delivery of the TOPR project and we look forward to continuing our collaborative relationship with BP.”

Subsea 7 defines a sizeable contract as being between $50 million and $150 million.

 

BP loss on  exit from Russia

LNG Prime Staff
May 3, 2022

Energy giant and LNG player BP reported a huge quarterly loss after writing down $24 billion to exit Russian operations.

BP’s first-quarter loss was $20.4 billion, compared with a profit of $2.3 billion in the prior quarter and $4.6 billion in the first quarter of 2021. The figure includes pre-tax charges of $24 billion and $1.5 billion as a result of the loss of significant influence and bp’s decision to exit its 19.75 percent shareholding in Rosneft and its other businesses with Rosneft in Russia.

However, BP’s underlying replacement cost profit reached $6.2 billion in the first quarter, compared with $4.1 billion for the previous quarter and $2.6 billion in the same quarter last year. BP attributed the rise to “exceptional” oil and gas trading, higher oil realizations and a stronger refining result. For the first quarter, BP announced a dividend of 5.46 cents per ordinary share payable in June 2022.

The firm has a significant presence in the LNG industry and recently signed a deal with South Korea’s Kogas to supply 1.58 million tonnes of LNG per year for a period of 18 years.

BP plans to grow its LNG portfolio from 18 mtpa in 2021 to 30 mtpa by 2030. Chief executive Bernard Looney, said,

“In a quarter dominated by the tragic events in Ukraine and volatility in energy markets, BP’s focus has been on supplying the reliable energy our customers need. Our decision in February to exit our shareholding in Rosneft resulted in the material non-cash charges and headline loss we reported today. But it has not changed our strategy, our financial frame, or our expectations for shareholder distributions.”

Point Lisas plants

May 11 2022

With high global prices for petrochemicals and government urgently needing revenue from the energy sector, the regime wants all the downstream plants up and running and there is now hope that the idle plant could restart later this year.

John Floren, President and Chief Executive Officer of Methanex, one of the world’s largest methanol producers, told an earnings call in Canada that Methanex regard restart of its idled Titan plant in Trinidad as an area of growth in production and hoped that it could be restarted. Methanex wanted to ensure it would get gas at a price that it can sustain throughout the cycle and was in discussions with the government to finally restart operations. Government told Methanex that it wanted maximum downstream production and hoped for a gas deal from negotiations between the National Gas Company and upstream suppliers.

Floren said, “Our focus will be on getting our idle plants in New Zealand and Trinidad restarted. So that will be our growth because they are idle today….Right now the upstream and the government are negotiating, their contracts are coming up this year and you know until that negotiation gets finalised, I would say it is unlikely that Titan will secure a gas contract to allow that to restart, but those contracts will be negotiated this year and the government has told us they want to keep all the downstream alive and they just need to have their contracts negotiated with the upstream and that is ongoing. We are continuing to dialogue with the government and the task is to get gas at an economic price that allows us to operate Titan through the cycle and that’s what we are focused on.”

Finance Minister Colm Imbert will be pleased that Floren is predicting continued strong prices for methanol for the next two quarters.

On the current value of methanol, Floren said, “I think there are numbers we always watch, one is the MTO (Methanol to olefin) that’s the one on the affordability curve, the one that gets impacted first… In the high- priced energy environment that we are seeing today, that is also very good for olefin prices because they are obviously paying more for naphtha today than they would have been this time last year, so that slipped into the cost curve nicely, so the MTO producers are running like 95 percent today so unless you saw a huge correction in olefin prices then that would mean energy prices falling quite a lot from where they are today I think we are going to be fine on the demand side.”

He acknowledged negative sentiment in the market with the current lockdown in China and the inflationary pressure but said when Methanex looks at its supply/demand balance it feels demand is holding up.

“MTOs are running well, high energy prices make the other energy applications very very attractive for methanol, so we expect demand to continue to grow and we are watching it very closely and we have visibility throughout the globe…and we are not seeing any impact on demand.”

There are likely to be planned outages and there was already a plant in T&T that is down. He noted this will lead to a continued favourable supply/demand balance for Methanex. Prices have been beyond the cost curve and part of that is due to constrained global Methanex supply.

Floren said he does expect some more supply out of Iran as the country emerges from winter.

“As of today we are not seeing any impact on demand. There are obviously head winds and we are watching and certainly the lockdowns are not as severe as they were in the spring of 2020 but it is something we are watching. On the supply side most of the plants are outside the lock down areas, so we are not seeing our customers or even our competitors having to shut down at this time. Having said that, if you look at pricing in China its about $365 equivalent US dollar per tonne, that’s below the cost curve in China as we see coal and natural gas. If they were to shut down it would be more about cost curve than covid at this point.”

On the Ukraine conflict, the CEO said it seemed that Europe is set on moving away from Russian energy, so that means they .. have to be replaced from elsewhere and he predicted it is going to lead to higher prices.

“There is higher gas prices in Europe, its going to mean less production of methanol, certainly the Norwegians might decide to sell gas instead of making methanol, that could be an option for them as well. Russia itself continues to make methanol and they consume methanol in country as well, they export 1.5 to 1.8M tonnes. Almost from day 1 of the war, our customers told us they did not want to get Russian material and I think that is pretty much across the board in the European customers.”

High global gas prices had not had significant effect on Methanex as it has hedged the prices in 65 percent of the feedstock it receives. The CEO explained it was the major reason for the hedging that Methanex has engaged in, because it wanted to be able to land its product in China at US $200 a metric tonne

Floren noted, “When we look at the gas market fundamentals in North America we still have that US $4. We are buying a lot of gas in that range and there are times when we will see what we are seeing outside that range and we will probably see less than $4. Having said that, there has not been a lot of exploration and development in the last two years because of covid and now because of ESG issues so you know what happens when there is no development drilling there is less supply that leads to higher prices.”

With the price of natural gas in Europe he does not know how they can make a profit at this point in time.

“The LNG market today is at $17/$20 per mmbtu and Europe’s going to wean itself off Russian gas, its going to come from LNG and you just can’t make methanol at that price unless you get thousand dollars plus a tonne for the product, so I think unless something was to change with the direction of the product, for Russia and Europe, its going to be difficult for methanol, for ammonia and nitrogen and a lot of things that rely on natural gas.”

Floren noted that today’s methanol prices in the US are between US $7 to US $8 and at that price companies are still cash positive but that it cannot go on for much longer.

Green Methanol

The cost of making green methanol, or carbon neutral methanol is too expensive and at today’s price point would require buyers to purchase it at US $1000 a metric tonne.

Floren said, “It’s one thing to want to use green methanol but it’s another thing to pay for green methanol. If you look at renewable natural gas or the other pathways to making green methanol, you need about $1000 a tonne in the selling price to make it work. So we have that ability, we are in discussions with Maersk and I know they are in discussions with a number of different parties and they are going to be facing those same economics. Our view has always been as the shipping industry converts to use natural gas based methanol, the intention is as the economics gets better and the ability to afford green methanol gets through the system, they are going to want to want to convert, but they will use it in combination.”

 

Bidder identified for refinery

Replying to Pointe-a-Pierre MP David Lee during questions in the House of Representatives the Prime Minister said a preferred bidder has been identified to buy the Pointe-a-Pierre refinery,

Lee had sought an update after recalling Energy Minister Stuart Young recently saying four bidders were given until April to submit revised proposals.

Dr Rowley replied, “The further proposals of the four bidders were received and evaluated. After evaluation, TPHL (Trinidad Petroleum Holdings Ltd) has identified a preferred bidder and is currently pursuing discussions with this entity. The process is ongoing.”

Lee rightly said this had been stated only recently. Lee asked if there was a timeline to conclude this evaluation. The PM said Lee should know the answer was no.

“Given the nature of what is happening, one cannot put a timeline on it at this stage, and it being only recent, it is reasonable to assume that as the work is ongoing, that a timeline as to when it will be concluded is not really feasible at this stage, and I’m not going to guess at that.”

Lee said valuations had been around a while but the Speaker disallowed his question, deemed to be a repeat.

Couva South MP Rudranath Indarsingh asked if Trincity Mall has been sold, as the State has control over it. Rowley said the mall was not under Government control but rather that of the liquidator of CL Financial. He said the mall has not been advertised for sale nor sold.

 

Petrotrin drained forex, economy

Dismissing claims that Petrotrin would have been able to reduce the fuel subsidy, Minister of Energy Stuart Young noted that, in its last days, the refinery was losing more money than it was earning.

In August 2018, the Prime Minister announced that the company would be shut down as it was a drain on the national treasury rather than a contributor. Citing the Lashley report of 2017 he highlighted the deteriorating financial position with an estimated $11.4 billion in debt at the end of financial year 2015.

During his contribution on a debate to adopt the report of the standing finance committee in the Lower House, Young argued that the cost to import crude oil to maintain operations at the refinery alone was not economical. He accused the Opposition of trying to deliberately mislead the country into thinking Petrotrin would be able to lower the fuel subsidy and contribute to the national economy. Citing figures on the cost of crude oil impors, Young said there was no evidence to suggest the company could cover its own operating costs as lines of credit were set up with banks to get the necessary foreign exchange to meet monthly requirements.

“It’s a complete false proposition to suggest if the refinery was open the fuel subsidy would be lower and worse than that the people need to know in order to pay for the significant volume of imported crude oil for the refinery Petrotrin drew down on average US$650 million a year in short term debt. Petrotrin was drawing down an average of US$650 million a year to buy crude oil to put into the refinery. How does that equate to a net foreign exchange earner? In other words, they were taking taxpayers’ money, US$650 million a year and spending it to purchase crude to put into the refinery.”

Responding to reports that the company up until its closure was still profitable, Young said this was barely the case as it would not have been able to sustain long-term operations

Petrotrin was regulated by the Ministry and local content led to its downfall. The quest for another $3billion proves that the state failed to manage all the state assets itt grabbed from the international investors. Divestment is the only solution to raise funds and create wealth.

Government did not budget for high fuel subsidy

Stakeholders remember the transfer pricing negotiations seeking more revenue from two IOCs. Thanks to their re-investment of profits, state coffers are brimming with energy revenues. On December 14, 2018, Government and BPTT executed the Agreement on Phase 1 issues. This was followed by a payment by BPTT of approximately TTD$1.0 billion in settlement of legacy issues of royalty gas and an interim payment to NGC on its domestic gas shortfall. Shell enhanced revenue to the Government, estimated at US$944.7 million over the period 2018 to 2027, . before expiry of agreements for Trains 2, 3 and 4. Negotiations with Shell resulted in an agreement to pay the Government approximately US$397 million to the end of 2019. So this windfall of over USD1.3 billion (TT 9 billion) should suffice for wages, salaries, fees, gratuities, transfers, subsidies, overtime, debts, loans, allowances, rents, leases and other bills and expenses of ministries, agencies, boards and commissions, costing over $3 billion.

FINANCE Minister Colm Imbert said government did not budget for subsidising fuel with oil at its current rate costing $3 billion. He explained issues surrounding the price of fuel and the fuel subsidy and why the subsidy was reduced. At this time, with oil at US$95, or an average price of US$95, the cost of premium gasoline would be over $7/litre, or $7.25. The cost of super would be about $7.05. The cost of diesel would be $6.50 or $6.70.

“Let’s say the average is TT$8. With our annual consumption of a billion barrels of gasoline, that means the country has to pay TT$8 billion to purchase fuel. At the prices (prior to the increase) the revenue that would have been generated would have been about TT$5 billion. So the remainder that would have to be made up by government would be about TT$3 billion. Someone has to pay that extra $3 billion.”

The bulk of the supposed $3 billion deficit would have come from the treasury, which holds money from VAT, income tax, corporation tax and all other revenue sources. Government allocated $200 million to subsidise the price of fuel in the 2021-2022 budget, calculated from an oil price of about US$65 a barrel but the price is now much higher.

“So the subsidy to be paid to maintain prices (at previous levels) is an expense that was not budgeted for.”

He knocked criticism of the reduction of the fuel subsidy and described comparisons with Barbados and Guyana as false. Arguments that these countries are reducing taxes and increasing subsidies are irrelevant to the point that TT would have to find billions of dollars to maintain the subsidies at previous levels.

“What is relevant is, where are you finding $2 billion or $3 billion to make up the difference between the cost of purchasing the fuel and the price at which you sell it? None of the commentators say where they would get that from. Are they going to increase VAT? Are they going increase the income tax rate? Are they going to reduce personal allowance? Are they going to increase duties on imported goods? Where will they get the money from? They don’t want to treat with the reality that there is a $2-$3 billion deficit that has to come from somewhere.”

Government took the decision to reduce the fuel subsidy in such a way that some of that expenditure could be applied to other things.

“We could put it into development programmes, patching potholes, fixing roads, cleaning drains, making sure that there isn’t any flooding in the oncoming rainy season, on the health sector, free education or tertiary education. We don’t think that it is a good idea to take $2 billion or $3 billion and spend it on keeping the fuel prices down. It should be spent on something that is of a much better benefit to the nation.”

The price of fuel is determined by several factors. This includes the purchase price of the oil at the world market price, plus the price of processing that oil into gasoline, plus the cost of logistics, transport, storage and other overheads. TT normally buys its fuel from the US. The fuel subsidy started in the 70s when an Arab/Israeli conflict triggered what was dubbed the first oil crisis in history. The Yom Kippur War started in 1973, when Egypt and Syria launched a surprise attack against Israel on the Jewish day of Yom Kippur (atonement). When the tide turned and Israel began gaining ground, Arab oil-producers tried to pressure Western countries into forcing Israel to withdraw, by placing embargoes on the US, Netherlands, Portugal, Rhodesia and South Africa.

In December 1973 the Organisation of the Petroleum Exporting Countries (OPEC) held a conference in Vienna where it was announced that the price of oil, which was about US$5 a barrel, would go up to US$11.65 a barrel because of the cessation of oil exports to these countries. In response to the rising price of oil and the correlated price of fuel, Prime Minister Dr Eric Williams put the fuel subsidy in place. In 2014 the then government spent close to $7 billion to maintain the same fuel subsidy.Government feared the backlash that would come from reducing the subsidy and decided to maintain it. That was a bad move in the long run.

“Can you imagine if the government at the time decided to put aside TT$2 billion for the fuel subsidy and had the other TT$5 billion? They could have paid all the back pay to public servants and not left it for an incoming government to deal with as an expense to burden the treasury. There are many different things that the money could have been used for.”

On April 19, the price of super and premium gasoline increased by $1 per litre to $6.75 and $5.97 respectively. Diesel rose 50 cents to $3.91 and kerosene rose to $3.50.

Energy minister on CNN: Trinidad and Tobago has gas

May 10

In a six-minute interview on CNN Minister of Energy Stuart Young told Quest Means Business that Trinidad and Tobago is ready and willing , knowing his country is unable, to help the pivot from Russian oil and gas,

“What you have to look at is what other countries can ..contribute by ramping up production.So how does the rest of the world and in particular Europe deal with its current energy crisis? ..look at where there is an alternative supply… TT is one of those places.”

“We’re looking on at this international crisis taking place and as you said, we see ourselves as punching way above our belt. We have been a significant gas producer, LNG producer for the last few decades. At our height of production we were pumping out about 770 million MMBtu of LNG a year on an annual basis. We are four trains, and so we see the ability we have additional capacity right now,” said Young.

“We are eager ..to assist .. globally, in whatever way we can. It’s not only on the LNG front, we were also a significant ammonia producer .. Ammonia and methanol and we have capacity there as well. So, as a gas producer who turns gas into both LNG as well as Pet-chems- ammonia, methanol, urea, UAN (fertiliser), we are ready to.. assist with .. this crisis..”

As a significant gas producer for decades, TT produced about 770 million mmbtu of LNG a year at its peak and ammonia and other petrochemicals on a yearly basis. In addition to natural gas production the country hoped to benefit from ammonia and methanol price surges.

Rising revenue from LNG and ammonia will pay bills. The vast majority of profitsfrom surging energy prices will be decimated by outstanding bills. Government did not expect huge windfalls despite high energy prices. In response to a question from Richard Quest concerning potential windfall from these products, he said,

“As a government we are really making revenue increases off taxation, but coming out of the pandemic … we will be paying our bills. .. revenue is used to look after about 1.4 million people who, .. have quite a good life. So we will be spending it on our education, which we spent billions on in terms of our currency ..I wouldn’t put it as tremendous amounts of revenue.”

Russia accounted for 41 per cent of natural gas imports to Europe. Germany was the largest importer with 42.6 billion cubic metres . Japan imported the least, 8.8 billion cubic metres.

Amid the invasion of Ukraine in February, the EU announced a ban on buying Russian oil after the end of 2022 but there is no consensus on ending imports of gas. Germany halted its Nord Stream 2 project, a €10 billion pipeline for natural gas from Russia to Germany. The project would have supplied heat to about 26 million German homes. Tthe onus was on other oil and gas countries like Trinidad and Tobago to ramp up production and provide an alternative.

Opposition MPs criticised the Minister for his remarks on CNN where he said TT had the capacity to contribute to global gas supplies:
“Minister Young’s statement that this country was ramping up gas production to meet the needs of the global community was not only a proven lie but it was a brazen attempt to mislead the international community given this nation is actually experiencing the worst natural gas production in decades,”

bpTT expected projects such as Cassia C field to achieve first gas and deliver over a quarter billion standard cubic feet at the beginning of this year but setbacks caused further delays, with production due to come on stream at the end of 2022.

“It is even more shameful that Minister Young wants to boast about LNG production when this nation suffered a 48.6 per cent drop in LNG production in the third quarter of 2021. If the energy sector was so fruitful as Minister Young painted, maybe he should have told CNN why fuel prices were increased and the subsidy cut. If the energy sector was so vibrant as Minister Young told CNN, maybe he should have told Quest why some energy companies are moving all operations to Guyana.”

 

TTNGL

May 11 2022

Budget- Major Fiscal 2022 allocations were:

1.  Education and Training $6.886 billion
2.  Health $6.395 billion
3.  National Security $5.664 billion
4.  Works and Transport $3.577 billion
5.  Public Utilities $2.671 billion
6.  Rural Development and Local Government $1.656 billion
7.  Agriculture $1.249 billion
8.  Housing $0.610 billion.

The Finance Minister aimed to secure a range of financing options for the fiscal deficit, tap into the domestic and international capital markets, access facilities at the international institutions funded by foreign taxpayers and secure bon-debt creating financing facilities from public-private partnerships and strategic asset sales.

In October, Finance Minister Colm Imbert delivered a budget of $52.4 billion with an expected oil price of US$65 per barrel and gas price at $US$3.75 per mmbtu. World energy prices far exceeded these estimates as a result of conflict and tight supply/demand equilibrium in global energy markets.

Since the reading of the budget , the Government controversially hiked the price of super and premium gasoline by $1 a litre, citing high energy prices and a burgeoning subsidy and diesel by 50 cents per litre.From over $3 billion supplementary funds now sought, government allocated 10 per cent of the increased budget to fund the higher fuel subsidy, which rises from $400 million to $700M—a variation of $300 million. Was this necessary ? See Spotlight on Energy Update.

On CNN, Energy Minister Stuart Young, acknowledged that despite favourable energy prices, the Government would have to use most of the additional revenue to cover bills and expenses. According to Parliament’s Agenda, the decision to increase funding follows review of the Recurrent Expenditure and the Public Sector Investment Programme (PSIP) by the Ministry of Finance.

29 government ministries and agencies require additional public funds and over half of the $3 billion is to be allocated to transfers and subsidies, with $1,794,160,500 being requested.  A common wish list was for funds to pay outstanding salaries or gratuities to staff.

 

Budget Review reaps over $3 billion more for red tape

May 13 2022

Amid apocalyptic shortage of food, water, energy, medicine and security, The Standing Finance Committee in Parliament, comprising Government and Opposition MPs, and the Opposition grilled Ministers on reasons for Government claims of supplementary funding of $3,081,703,900 to the 2022 Budget for 29 divisions, including16 ministries. The additional funds will cover departmental ’ costs for operational expenses, including salaries, contracted services gratuities, legal fees, property lease/rentals and payments for T&TEC and TSTT services and other issues.

Funding was approved at the sitting of the Lower House, where the Finance Ministry presented the Mid-Year Review of the 2022 Budget. The Zoo fauna will now gorge on public funds until the next feeding time in October.

UNC MP Saddam Hosein queried the name of the senior counsel for the Industrial Court being paid $790,000 in outstanding fees for a High Court matter.
Attorney General Reginald Armour said he will lay a list of names of attorneys and fees paid.  Armour confirmed the court’s $7.9 million allocation included payments for T&TEC and TSTT.

After Public Administration Minister Allyson West confirmed funding for the Service Commissions to pay outstanding TTEC and TSTT bills

–  UNC’s Barry Padarath asked if this would also be government policy for ordinary people to seek deferrals on payments.   West confirmed funds were provided for attorneys for matters in which he Police Service Commission (PolSC) was involved and for investigators for the PolSC.  Funds were provided to commissions for outstanding lease/rental payments on properties. UNC leader Kamla Persad-Bissessar called for names of the owners.

– Finance Minister Colm Imbert and Persad-Bissessar also argued over documents concerning the Election and Boundaries Registration Pop-Up facilities.

 – Persad-Bissessar grilled Minister in the Prime Minister’s Office, Symon De Nobriga (Communication), on funding of $300,000 for the engagement of a social media specialist for “upskilling a team of officers regarding the presentation of Government’s vision and accomplishments.”  Minister in the Office of the Prime Minister (OPM), Stuart Young,said that the specialist will give officers training in social media increasing in relevance.

 – Persad-Bissessar questioned $2.8 million provision for the OPM to facilitate payments for electronic/print media “publication of Government’s vision and accomplishments”.
Young replied that approachiong media houses eliminates the “middle man” and was more cost-effective. Public servants and the ministry decided on outlets including established media .The Opposition complained about some of his remarks. The Committee chairman urged Young to avoid personal invectives.

Maligned Ministries will hopefully practise prudence and avoid further waste of public funds.

1. Ministry of Public Utilities
Prodigal Public Utilities obtained the lion’s share of $467.8 million.  Of $408,400,000, the majority ($328,000,000) will fund wages and salaries of $150,248,000 for the Wanton Water and Sewerage Authority to September 30, 2022
Allocation of $161,325,000. is part of the outstanding payment on a US$60 million loan facility to meet pament obligations to Desalcott. $35,000,000 will fund a Community Water Improvement Programme which will oversee 34 projects.

The Ministry allocation listed $2,382,000 for a renewable energy incentive- the procurement of two Wind Lidar Units and ancillary equipment.

$18,000,000 was requested for additional transmission Infrastructure to move power from TGU to National Grid. and will fund the establishment of a Union Estate Gandhi Village 220kv Double Circuit.

$12,000,000 will pay refunds owed to the Trinidad and Tobago Electricity Commission (T&TEC) arising from the 25% and 35% rebate granted to Rate A (domestic) customer accounts with billings of $300 or less.

Wasting time is the main reason for escalating costs. The Cabinet-appointed expert committee to investigate the cause of the February 16 blackout across Trinidad for 12.5 hours found a large falling fungus-infected Palmiste tree was responsible.. Public Utilities Minister Marvin Gonzales laid the report in the House of Representatives . The committee, chaired by Chandrabhan Sharma, retired professor of electrical and computer engineering at the University of the West Indies, included former T&TEC chairman Keith Sirju, and acting Police Superintendent Allister Guevarro. The report ruled out sabotage as the cause of the outage and found response of some key agencies in the aftermath was unsatisfactory.

At the time of this trigger incident, the country was under a high wind yellow alert issued by the Meteorological Office. The diseased tree fell on a single-phase T&TEC 12 KV distribution line near Grants Trace Extension Road and the NGC private road in Rousillac. The tree then crashed and came into contact with the 220KV line circuit, which transmits most of the power from the TGU generating facility to T&TEC. This triggered a series of events resulting in the shutdown of the entire electrical grid at around 12.52 pm. The episode, from the triggering of the event by the fallen Palmiste tree on the 12KV distribution line, to the shutdown of the entire grid resulting in an islandwide blackout, spanned 3.6 seconds.

Given the speed at which the events unfolded, the committee concluded that there was no time for human intervention. The likelihood of a similar event happening in the future is extremely low because of a robust line-clearing regime for trees and undergrowth via T&TEC line clearing crews. 11 underpasses where 220 KV transmission lines cross over lower voltage lines between TGU and the Gandhi Village sub-station were checked and found to be in keeping with internationally recommended specifications.

Within one hour of the blackout, three generating plants operated by TGU and PowerGen tried starting their black-start units but multiple attempts failed to restore power. A black-start unit is a unit which can start its own power without support from the an electricity grid in the event of a major system collapse or a system-wide blackout. The report identified a lack of preparedness among the independent power producers and T&TEC for such a situation and the absence of a documented power-system restoration plan. Initial restoration of power started at 6.50 pm and total restoration was completed by 1.34 am the following day.

Ineffective management response was highlighted by the committee which identified major weaknesses in management of the response. These included:

• ineffective communication with the public, with heavy reliance on the internet and social media, which was negatively impacted by the blackout;
• the absence of the Office of Disaster Preparedness and Management;
• lack of a systematic approach in the restoration process which led to many unforced errors in the re-energisation process.
• The committee concluded that no single person took on the role of incident commander and had overall authority, as well as detailed knowledge of the restoration process.
• At the same time, the committee recognised the initiative of the protective services to trigger a commendable response in the circumstances.

Recommendations addressed fundamental faults;

• A key recommendation to improve security, reliability and efficiency of the transmission grid is the construction of another 220 KV circuit from the Union sub-station to the Gandhi sub-station.
• The construction of this second line is already at an advanced stage with completion scheduled for the first quarter of fiscal 2023.
• The unfortunate event unmasked issues pertaining to all parties involved.
• Several problems encountered in restarting the plants were evident in 2013 when the system suffered a similar collapse.
• Independent power providers and the T&TEC staff made unforced errors in the re-energisation process. This can be easily remedied by ensuring that the operators are schooled in the understanding of the issues involved in a de-energised grid and the safe process to re-energise the grid.
• While there was great inconvenience to the population, there was no loss of life directly attributable to the outage.
• The blackout laid bare the many shortcomings in disaster preparedness and restoration procedures.

Oilfield Workers Trade Union (OWTU) had claimed the blackout was caused by a tree falling on two power lines. It accused T&TEC of using inexperienced contractors in its vegetation management and line-clearing division, which requires adequate manpower and well-trained workers to perform its duties.

2. Scandalous Social Development and Family Services swiped the tiger’s share – $390 million.
It has failed broken and dysfunctional families, evident by the frequency of violence in schools, domestic violence, suicides, over 200 murders, child abuse and other family challenges related to mental health, stress and disability.

3. A Haphazard Health Ministry grasped the elephant’s supplement of $362,887,700 as the pandemic rages and vaccination slows which will bolster the centre of the pandemic, response where the part-time Principal Medical Officer is a director of Angostura, alcohol pioneer and producer of rum, a health risk., $12,500,000 will fund acquisition of Covid-19 vaccines for children and adults. T&T is awaiting vaccines cleared for use by children aged 5-11.

4.. Erratic Energy and Energy Industries consumed the leopard’s share $300,000,000. even after staggering losses at the National Gas Company Group of Companies. The minister lacks experiewnce in the petroleum industry and is out of his depth.
In 2021 the Finance Minister agreed to indemnify the hubristric NGC Board should the company lose over $440 million in a doomed attempt to rescue Atlantic LNG Train 1.

NGC chairman Conrad Enill reported an unaudited first quarter after-tax profit of $191 million. His report accompanied the summary consolidated financial statements for the three months to March 31, 2021. The turnaround followed a $2.1 billion loss for 2020. The rebound in commodity prices positively impacted revenues and profit. NGC executed a new gas supply contract with Tringen while negotiations continued with Methanol Holdings (Trinidad) Ltd for a long-term gas-sales contract.

Ruby field, in which NGC holds a 31.5 per cent stake, began production in May, ahead of schedule. Green hydrogen production, solar power, electric car-charging stations and the use of drone, satellite and infra-red technology to detect methane emissions are among its projects.

NGC joined the Oil Methane and Gas Partnership (OMGP), a comprehensive, measurement-based methane reporting framework that standardises rigorous and transparent emissions accounting practices. Contracts, infrastructure and claims were among charges which contributed to $2.1 billion loss which represented a $2.6 billion charge from a restated profit of $0.5 billion for the 2019 financial year.

Financial performance was adversely affected by exceptional charges of $4.2 billion arising from onerous contracts ($2.1 billion), impairment of infrastructure ($1.6 billion) and claims ($0.5 billion).A charge of $2.1 billion was recorded for a gas supply contract in which the cost of fulfilling the contract exceeded returns . NGC has a provision of $4.5 billion for onerous contracts. NGC identified significant capacity under-utilisation. Gas infrastructure was impaired by $3.2 billion of which $1.6 billion was charged to profit and loss account for economic obsolescence.

Claims from customers were due to gas curtailment issues. NGC increased its provision by $0.5 billion with a total expected liability of $1.2 billion in balance sheet. The cash cow continues to subsidise natural gas to the Trinidad and Tobago Electricity Commission (T&TEC) for the provision of electricity. For 2020, this amounted to $0.5 billion. Receivables from T&TEC totalled $2 billion, with a further $3.7 billion in loans outstanding. NGC has long-term contracts for LNG (liquefied natural gas) supplied by approximately 60 per cent of gas.

5. Spendthrift Ministry of Education swiped $300,000,000 more after receiving the highest budget of $6.886 billion. A medal muddle revealed official malfeasance ignored by the President. and Minister Dr Nyan Gadsby-Dolly. The vital School Feeding Programme at the National Schools Dietary Services Limited which prepares lunch boxes at the School Feeding Catering Centre in Chaguanas. is in jeopardy as the spectre of starvation looms.

Family hardship due to mismanagement led to requests for 7,000 extra meals through the School Nutrition Programme (SNP). From 2009 to 2013, the NSDSL obtained $1.7 billion in government subventions. A drastic cut in the NSDSL budget led to a paltry $41 million in 2021 from $200 million in 2020, down from $224 million in 2019,

Schools are in a dreadful state. Longdenville Presbyterian Primary parents protested for a proper school for their children, at Jerningham Community Centre in Cunupia, for over five years. The PTA tried to meet the Ministry of Education, unsuccessfully and resorted to protests to get the attention of the authorities to secure their children’s future.

For the past 20 years, Longdenville Presbyterian Primary School produced academic excellence, without a roof over the heads of its pupils and dedicated staff members. For this reason frustrated parents continued to enrol in the disembodied school but are now citing dangers to children at the inadequate Centre. Longdenville Presbyterian Primary was first relocated in 2000, following prolonged delays of repairs to the original building on Longdenville Main Road. Most children were housed at the Robinson Memorial Presbyterian Church on the same compound. Some pupils were sent to an annexe at the Longdenville Government Primary School

Parents and staff are asking the Ministry of Education to act on building of a physical school as the community centre lacks infrastructure for a school and is used for public activities during school hours. At the Centre, in poor conditions, children are cramped and ventilation is poor, they cannot use the air conditioners and the windows cannot open. There is never a full complement of children attending . Some days there were 20 children, the first day of school there were 18 children. There were about 25 children at most attending the model school, an extension of the Longdenville Presbyterian Church. During renovations, the 60 pupils were relocated to Longdenville Government Primary School and the Jerningham Community Centre .

When the government school became crowded, the Presbyterians were moved to the community centre. There are now about 101 pupils, teachers, and auxiliary staff at the community center, which the community, which needs for its events.Teachers cannot proceed with the syllabus because there were no pupils to teach. The children’s education is neglected because no new topics are being taught. The most they get is revision exercises. The cost of travel to and from the centre had almost doubled for most parents. The ministry promised school buses but they were yet to receive this support amid increased covid19 cases.

“We are there five years now and we never had any transportation from the ministry. So parents have an additional cost to hire a bus or taxi and some parents have more than two children attending the school, making covering transportation costs tough.” Some children had to enrol in private tuition because the syllabus was not being taught. Some older children preparing for the SEA exam seek private online schooling. .Private lessons cost $85 to $125 weekly .

Rt Rev Joy Abdul-Mohan is Moderator of the Presbyterian Church. The Presbyterian Primary School Board of Education is acquiring land to build a new Primary School. The board was aware of the parents’ concerns and was in discussions with the Commissioner of State Lands. The school building, annexed to the church, has been condemned.The board hopes that this will be finalised shortly and the Ministry of Education will then allocate funds to commence construction.

6. Fickle Finance Ministry grabbed a gargantuan share of $225,966,500. $125,966,500 will fund the Infrastructure Development Fund (IDF). This will enable the Ministry of Trade and Industry to pay VAT and other costs related to Construction of the Phoenix Park Industrial Estate of $92,066,500 and will fund the South Office of the Immigration Division by the Ministry of National Security at St James Street, San Fernando.

7. The Paralysed Ministry of National Security in October gained the third highest budget, a massive fund of $5.664 billion for 2022 . After the feckless Minister told media that “my duty is not to make sure that people feel safe and secure, ” with the murder toll exceeding 200 for 2022, Insecurity Sharks swallowed $206,900,000 with no crackdown on crime. $16,000,000 is for staff salaries and cost of living allowance, $10,900,000 for overtime for monthly paid officers, $9,000,000 for allowances and $6,000,000 for government contribution to NIS.

The claim covers shortfalls in allocations for remuneration to officers in the Fire Service and Prison Service for the period July to September 2022.National Security

8. Ministry of Attorney General and Legal Affairs logged a leviathan share of $95,613,000 The Jumbo Judiciary snared $30,300,000. The Industrial Court got $7,924,000 Total for the lucrative legal profession is a cosmic $133, 837 ,000

9 Ministry of Agriculture, Land and Fisheries landed a buffalo’s share of $120,040,800 but Cinderella needs a party dress to attend the ball. Rowley and a team of three ministers are in Guyana for an Agri-Investment Expo and can act as fairy godfathers to food producers as world starvation looms and Caricom possesses all the resources for thriving agriculture- fertile soil, ample water supply and strategic location. WITCO can divest tobacoo and cultivate fruit to build immunity.  Rowley and President Ali had engaged in extensive bilateral talks and pledged to deepen ties . Discussions focused specifically on agriculture, energy and national security.

10.. Minister of Works and Transport procured the wolves’ share of $97,033,000.

Hopefully roads will be repaired and built to facilitate agriculture.

11. Rural Development and Local Government bagged the Rhinoceros share of $95,357,000
Working with the Agriculture ministry and UWI this office can promote rural livelihoods to boost food output and create prosperity.

12.. The Ministry of Housing and Urban Development hauled a hefty hippopotamus share of $76,300,000 of which the bulk, $67,000,000, will allow the Housing Development Corporation to pay contractors for provision of waste disposal, building maintenance and janitorial services. The remaining $9.2m will facilitate payment of principal ($8,916,337) and interest ($383,663) on a Udecott three-year fixed rate term loan facility for the design and construction of Phase 1 of the Piccadilly Street Urban Regeneration Project.

13..a. Thriftless Tobago House of Assembly caught the snakes’ share of $60,000,000 to facilitate payment of outstanding debts of $27,800,000. to National Helicopter Services Ltd (NHSL) for the period November 2019 to February 2022 and $19,000,000 owed to T&TEC for the period 2017 to 2021. The remainder of $13,200,000 will fund gratuities owed to individuals who completed contract appointments over the period 2017 to 2021.

b. Central Administrative Services, Tobago netted $2,648,400 . Total for Tobago is $62, 648, 400

14 The Profligate Office of the Prime Minister claimed a colossal mammoth’s’ share $59,961,300 for a superfluous ministry. $4,293,000 will pay outstanding fees to Commissioners and Legal Counsels appointed to a Commission of Enquiry into management of the land acquisition by National Infrastructure Development Company Ltd (Nidco) for construction of the Solomon Hochoy Highway Extension from San Fernando to Point Fortin.

The regime plumbed new depths of insanity, funding investigation of state corruption by fatcats. and other offensive actions consuming resources.

The Lethargic Children’s Authority falls under the remit of the Office of the Prime Minister (Gender and Child Affairs). This Ministry is led by the Honourable Ayanna Webster-Roy.    Symon de Nobriga is the Minister leading the Communications Division.

15. Ministry of Sport and Community Development scored a behemoth share of $67,000,000
Working with National Security and faith groups can build capacity among youth through sport and agriculture.

16 Ministry of Tourism, Culture and the Arts garnered $20,000,000.
Collaborating with Sport and Culture can bring benefits for youth.

17. Ministry of Public Administration Personnel Department drew the princely sum of $9,728,000. The website is inaccessible. It may include the Elections and Boundaries Commission, Service Commissions, Public Service Appeal Board, Integrity Commission, Equal Opportunity Tribunal and Parliament. It can include the Office of Prime Minister and merge with Planning and Development.

18. Ministry of Planning and Development copped $9,000,000 for 6 state enterprises and boards including Caribbean Industrial Research Institute, Chaguaramas Development Authority, Economic Development Advisory Board, Environmental Management Authority, Institute of Marine Affairs and National Trust. It oversees the University of Trinidad & Tobago, European Development Unit, IT, Green Fund, Libraries and Town and Country Planning.    This ministry can merge with Public Administration and Office of the Prime Minister to save costs.

19. Ministry of Labour Registration, Recognition and Certification Board got $2,152,300

Otiose Boards and Commissions
Elections and Boundaries Commission gained a monumental sum of $23,525,000 .
It was not possible to find the line ministry. The obvious Ministry of Public Administration was not accessible by website.

No line ministry was shown for the following which may be under Public Administration-

1. Service Commissions won $14,419,000
2. Public Service Appeal Board gained $1,005,400
3. Integrity Commission took gained $350,000
4. Equal Opportunity Tribunal got $2,427,500
5. Parliament took $4,114,000, presumably for the Office.
6. Tax Appeal Board acquired $1,869,000 and may be under the Ministry of Finance. or Legal Affairs.

TOTAL: $3,081,703,900

TT can follow the sensible example of the UK where government aims to cut up to 91,000 civil service jobs to save money and return to 2016 staffing levels within three years. It had not ruled out a recruitment freeze or compulsory redundancies as part of planned cuts. Bloated bureaucracy can be reduced to streamline the workforce and equip staff with the skills to be an even more effective, lean and innovative service to deliver for the people.

 

PNM   ‘spreadsheet economics’   mismanage finances

OPPOSITION Leader Kamla Persad-Bissessar dismissed the “good news” offered by Finance Minister Colm Imbert about improved economic performance from 2021 to the early part of this year in the Mid-Year Budget Review She contributed to debate on a motion to approve the Standing Finance Committee’s Report and the Finance (Supplementation and Variation of Appropriation) (Financial Year 2022) Bill, 2022 in the House of Representatives.

The committee sat on May 13 to approve an additional $3 billion for the 2022 budget. The motion and the bill were passed by the House. Persad-Bissessar declared Opposition MPs did not trust any of the information which Imbert provided in his earlier contribution. “Where all the money gone?”

Referring to budget documents which all parliamentarians receive, Persad-Bissessar claimed, “The Government is engaging in spreadsheet economics.”

She alleged Government was moving figures from one spreadsheet in the documents and placing it into another, to create the impression that the economy had performed better over the last fiscal year.

Persad-Bissessar reiterated UNC claims that the PNM’s only plan to grow the economy was “tax, borrow and spend.” She scoffed at Imbert’s statement that Government had not borrowed money locally or externally for five months.

“The Government will turn the corner on borrowing.”

Referring to the report, Persad-Bissessar reiterated, “The maths is not mathsing.“

She claimed there was no evidence of a national secondary roads company being formed, despite an allocation of $100 million being made in the report for it. She wondered how money allocated to the National Security Ministry would be used to reduce crime in TT and if any of it would be used to buy “spyware or malware.”

After reiterating the UNC’s position that National Security Minister Fitzgerald Hinds had proven himself unable to do his job, Persad-Bissessar told Hinds.

“Minister, you should go home in silence.”

She wondered if the Prime Minister had ever been to the Heights of Aripo where Andrea Bharatt’s body was found last February. She saw something on Facebook which said Dr Rowley went to Aripo “to see somebody’s cow.”

Persad-Bissessar believed there were no signs of positive economic growth and Imbert provided the population with nothing to give them hope that their quality of life would improve from the increased revenues that he alluded to.

“People in this country cannot put a plate of food on the table.”

Many famiies depend on school meals for survival.

 

Chamber hails bright business outlook

May 17 2022

The T&T Chamber of Industry and Commerce is encouraged by The Finance (Supplementary Appropriation) Bill “as it would result in relief of financial pressure on businesses and provide for a stimulus to the T&T economy as a whole.”

Finance Minister Colm Imbert’s request to Parliament for an increase in expenditure of $3.081 billion is financed by increased revenues derived from higher energy sector tax receipts, a spill over of amnesty tax payments from 2021 and higher withholding receipts.

“The chamber has been advocating for VAT refunds to be made current for several years and we are pleased that $1.6 billion of the additional expenditure will go to an increase in payment of VAT refunds for the period April to September 2022,
“We also note the minister’s intention to settle outstanding payments to suppliers and contractors, as well as the payment of arrears to utility companies, and outstanding gratuities to public sector contract workers. These payments are expected to result in a much-needed stimulus to the economy.”

While the economy will benefit from the increased revenues in the immediate future it is advocating for continued “tight management of expenditure and a focus on diversification for future economic sustainability. We underscore the need for close attention to be paid to the more vulnerable in society who would be affected by inflationary pressures brought on by current global circumstances.”

 

 

Macro-economy has breathing room

May 17 2022

UWI Economist Dr Vaalmikki Arjoon says the mid-year budget review delivered by Finance Minister Colm Imbert indeed suggests that the macro-economy finally has some breathing room especially after six long years of negative economic performance, worsened by the pandemic. While this is encouraging, the real GDP performance is still not better than pre 2020 levels, Arjoon added.

He noted that T&T’s fiscal space has now deepened given the dramatic increase in global hydrocarbon commodity prices, bringing a surplus of $1.98 billion at the end of April 2022.

This, Arjoon said, is encouraging especially since the economy’s Real GDP would have declined by over 11 per cent from 2016 to 2021, with a total deficit of $63.9 billion in that period.

“With such a deficit, we naturally didn’t save, and therefore, had to borrow to meet our fiscal spending responsibilities, bringing the debt burden to over $130 billion at the end of 2021,” Arjoon added.

Using the IMF’s projections, he also noted that the economy’s Real GDP is projected to grow by 5.47 per cent in 2022, with a value of $149 billion.

This, however, Arjoon added, is still lower than 2019’s value of $154.6 billion but higher than the Real GDP for 2020 and 2021.

Additionally, he noted that it is also very encouraging that the debt to GDP ratio has fallen to 72 per cent, which he added will certainly be looked upon favourably by the credit rating agencies, together with the increase in revenues.

However, according to Arjoon, the key reason that the debt to GDP value has fallen by such a substantial amount is not due to a meaningful fall in the public debt, but because of the denominator, nominal GDP, which according to the Minister of Finance increased to $180 billion.

“This value has increased primarily due to price increases, more so than production increases recall that prices as a whole have increased as the prices of all raw materials used in the production process and imported goods have risen sharply due to global supply chain complications together with the cost of shipping and, most of all, energy prices,” Arjoon said.

He explained this means that nominal GDP, which is the total value of goods and services produced at current prices, will naturally be much higher, therefore causing the debt to GDP value to fall.

Arjoon advised that it would be more meaningful to explore the revenues to debt ratio, as state revenues are needed to service the national debt.

In fiscal 2016, Arjoon noted, revenues to debt ratio was 50.9 per cent, “suggesting that 50.9 per cent of our debt could have been covered by fiscal revenues.”

This value fell to 28.3 per cent in fiscal 2020 but is projected to increase to 37 per cent in this fiscal period given the Finance Minister’s estimates of revenues.

“If we are careful, the surge in revenues from the energy sector can help with better debt repayment capabilities, but these additional revenues must be invested to build our productive capacity and generate attractive returns to not just pay off the debt but also re-invest in national development,” Arjoon added.

Also, he said the additional supplementary funds to be paid as arrears to contractors and contract workers, wages to WASA employees and grants such as the senior citizens grants will certainly help the recipients to cope with the increased cost of living brought on by the higher prices of consumables and fuel costs.

 

 

Divestment can drive prosperity, key to survial

May 16 2022

Presenting the Mid-term Budget Review, Finance Minister Colm Imbert sought to dispel concerns that the economy has not been performing and that Government borrowing has been getting worse. Positive and upbeat, the presentation was a spinoff from the Energy Minister’s CNN show which painted a brighter picture of events in T&T with the expectation of increased oil and gas revenue.

Imbert told citizens that the ravaged economy, , was finally rising from the slump. He promised that part of the surplus from the sale of petroleum fuels will be used to subsidise the price of LPG (cooking gas) for the rest of the fiscal year. This is good news for the public, given that the price of fuel at the pumps rose and there were fears the price of LPG would also increase.

Based on mounting revenues from higher oil prices, Government agreed to pay VAT refunds to businesses of $1.7 billion. Imbert expects that the payments will not just keep business operations afloat but will serve to stimulate the economy and help businesses maintain employment.
Petrochemical companies are “a life jacket” for Trinidad,” because of the increased price of petrochemicals .” The boost from the petrochemical sector was $1.7 billion. Of that figure, $570 million will subsidise cooking gas and $600 million will pay arrears for rent, water, electricity, telephone, janitorial and security services owed by ministries.

The economy performed so much better than forecast in last year’s budget, that Government will also be able to make a contribution back to the Heritage Stabilisation Fund (HSF).

With the rosy scenario of an economy on the upswing, Imbert noted current negotiations between trade unions and the Chief Personnel Officer, saying additional revenue earned will be applied to increased wages for public servants.
The overall picture of improvements to roads and infrastructure, reduction in public debt by $800 million and a reduction in borrowing, certainly indicated the economy is considerably better at this point.

Unfortunately, the sad reality is that while more petroleum dollars than expected are pouring in, the high level of crime, poverty and general fall in the standard of living remain real challenges which undermine economic benefits which may accrue from the energy activity .

In February the price of oil surged past US$100 per barrel. and rose to US$113 a barrel, but failure to implement a ban on Russian exports to the European Union could send oil crashing to US$65.

Trickle-down effects of the windfall will not be felt by the average citizen immediately. However, the Finance Minister needs to adopt a more cautious approach, even while instiling l confidence in the population, lest there is a change in fortunes and promises he made cannot be realised.

 

 

Reality check needed at mid-term

May 15 2022

As politically tempting as it might be to sugar-coat the facts when Finance Minister Colm Imbert delivers the mid-term budget review, he should take the opportunity to level with the T&T public about the economic realities ahead.

It would be easy to point to the recent International Monetary Fund’s (IMF) forecast for a strong economic recovery this year while glossing over the multilateral agency’s warning about downside risks. However, the projected 5.5 per cent growth in GDP is dependent on the recovery in oil and gas production, among other factors.

As eager as this population might be for some good news about the economy, it would be better to focus on fiscal prudence given continued uncertainty from the ongoing COVID-19 pandemic and the far-reaching effects of Russia’s invasion of Ukraine.

After a few years of low to negative growth caused mainly by contractions in the energy sector, this country is still experiencing a recovery that is slow and uneven.

The priority needs to be structural reforms to help diversify the economy, reduce public debt levels, increase competitiveness, attract investment, and take any other steps needed to make this country more resilient to regional and global shocks.

The rollback of pandemic restrictions, improved commodity prices and new projects in the energy sector due to come on stream later in the year are all good for T&T’s economic health, but a boom is not around the corner.

There is still the matter of continued reduction in energy sector production. In addition, data from the Central Statistical Office (CSO) shows that headline inflation is on an upward trajectory due to increases in international food prices, higher shipping costs, and global supply chain disruptions.

Citizens are being hit hard in their pockets, and the recent increases in fuel prices have only added to the hardships.

What the population is most interested in at this time are not the usual promises of better days ahead but a discussion of more practical, down-to-earth matters such as measures to address the impact of inflation.

Fiscal projections for the rest of the year should be framed in the current situation of slowing global growth, which is down from an estimated 6.1 per cent last year to 3.6 per cent–0.8 and 0.2 percentage points lower than had been projected at the start of the year.

Unlike the full-scale budget presentation later in the year, this mid-year review is not expected to include the introduction of new fiscal measures or major adjustments to existing ones. Instead, at the halfway point of what was introduced in the last budget, this will be more of a status report and assessment of those measures.

Mr Imbert, now well versed in these presentations, should be mindful, however, of the strange and uncertain times in which he will deliver his latest statement on the economy. This is a nation that is still only on the cusp of recovery, prone to external factors, and therefore delicately poised.

Budgets and midterm reviews are occasions for political engagements on all sides of the ideological divide that can obscure and distort the facts.

But if ever there was a time to level with this population and have a straightforward conversation about the economy and what lies ahead, it is now.

Central Bank of Trinidad and Tobago Annual Economic Survey, 2021
https://www.central-bank.org.tt/sites/default/files/latest-news/visual-summary-annual-economic-survey-20220905.pdf

Notwithstanding the emergence of new variants of the novel coronavirus (COVID-19), improvements in vaccination coverage and a gradual reopening of economies led to a rebound in global growth in 2021. In the Caribbean, both tourism-dependent and commodity-based countries experienced a resuscitation in domestic activity, resulting in an expansion of 3.5 per cent in 2021 compared to a contraction of 4.2 per cent in 2020 (IMF World Economic Outlook, April 2022).

Domestic economic activity was mostly constrained in 2021, but signs of improvement were evident in the second half of the year. Data from the Central Statistical Office (CSO) suggest real GDP grew marginally over the rst three quarters of 2021 compared to 2020. International commodity prices exhibited significant increases in 2021, boosted by strong demand as economies reopened. Driven by higher international commodity prices and the gradual relaxation of COVID-19 restrictions, the balance of payments current account improved during January to September 2021 relative to 2020. Available indicators suggest that the domestic labour market remained weak in 2021. Headline inflation gained momentum during 2021, however spare capacity and low aggregate demand kept in ation contained. A smaller scale deficit was realised during fiscal year (FY) 2020/21, when compared to the previous period, on account of higher Central Government revenues and lower expenditure.

The Central Bank kept its monetary policy stance unchanged during 2021 to support a durable economic recovery and resumed an active liquidity management strategy to ensure su cient liquidity in the nancial system. ECONOMIC DEVELOPMENTS According to the Central Statistical Office, domestic economic growth expanded by 0.9% during the period January to September 2021, led by growth in non-energy sector output (3.6%).

The Central Government registered a smaller deficit of 8.6% of GDP in FY2020/21, compared with a deficit of 11.2% of GDP in FY2019/20. The Central Bank maintained the Repo rate at 3.50%, unchanged since its 150 basis point reduction in March 2020. Gross o cial reserves amounted to approximately US$6.9 billion at the end of December 2021. Global growth was estimated to have expanded by 6.1% in 2021, compared with a contraction of 3.1% in 2020 (IMF World Economic Outlook, April 2022).

 

NFM in the red with $783,000 loss

State enterprise NATIONAL FLOUR MILLS reported a $783,000 loss for the first quarter of 2022, ending March 31, after steady declines in profits in 2021, ending the year with a meagre $1.3 million. Chairman Nigel Romano again attributed the poor performance to global challenges.

“As a result of the war the Black Sea region could be out of operation indefinitely resulting in disruptions to global markets and raising fundamental concerns about global food and energy security. The Russian invasion brought increased volatility to global markets, further disrupting supplies of grain and fuel, exacerbating rising inflationary trends,” Romano said when NFM’s unaudited financials were released.

In its consolidated statement of comprehensive income, NFM saw a turnover of $110,406,000 for the first quarter of the year, a little over $10 million more than the first quarter of 2021. Cost of sales went up to $91,952,000 from $78,790,000 compared to last year.

Cost of sales, selling and distribution expenses and administrative expenses whittled down revenue, which amounted to $2,635,000.

Despite global shocks, NFM is returning to normality and is focusing on upgrading infrastructure as part of its ongoing improvement initiatives to ensure the safety of food and feed products.

“We continue to train and develop our workforce with an emphasis on accountability and value for money.”

In March, when NFM released its 2021 results, the company said soaring international wheat prices eroded its profits down to $1.3 million, warning there may be another spike in the cost of flour. At the time, the company could not pay dividends to shareholders. In its 2020 financial year, NFM reported a $23.5 million after-tax profit. At the time, it was enjoying increased profitability as its 2019 pre-pandemic result was $6.1 million. Owing to wheat supply and shipping challenges, in 2021, the company increased prices for its flour and feed products.

 

UWI appoints Rose-Marie Belle Antoine first female principal

Prof Rose-Marie Belle Antoine has been appointed the new principal of the University of the West Indies St Augustine campus. –

The University of the West Indies announced Prof Rose-Marie Belle Antoine as the new principal of UWI St Augustine. The decision was made during the University Council meeting on April 29 and the appointment of Prof Rose-Marie Belle Antoine takes effect on August 1. Antoine will replace outgoing principal Prof Brian Copeland as the first woman to hold the post.

Antoine is a Cambridge and Oxford scholar who holds a doctorate from Oxford University in offshore financial law. Antoine started her journey with the UWI as a temporary law lecturer at the Cave Hill campus in 1989 and then became a lecturer in 1991.

Since then, she has served in several high-ranking positions at UWI including law faculty dean and pro vice-chancellor of the Board for Graduate Studies and Research. As Law Faculty Dean, Antoine was instrumental in creating the Makandal Daaga Scholarship, an equal-opportunity award to support law students who are outstanding in and out of the classroom.

Antoine noted Copeland was still principal until her appointment takes effect. Until then, Antoine said, “I would like to give the incumbent some courtesy, so I prefer to comment later. Thanks for reaching out.”

Senior lecturer at the UWI Institute for Gender and Development Studies (IGDS) Dr Gabrielle Hosein said Antoine’s appointment was a step in the right direction.

“Over the last decades, there has been a slow erosion of male dominance in UWI’s administrative hierarchy, and Prof Belle Antoine’s appointment as principal is another, significant crack in that old glass ceiling following a number of women, such as Prof Rhoda Reddock, holding the post of deputy principal.”

Antoine has been an ally of the IGDS and has an excellent track record of inclusive leadership with the unwavering support of human rights and social justice efforts relating to LGBTI non-discrimination, administrative and carceral injustice, marijuana decriminalisation and rights for people with disabilities.

“We welcome a UWI principal with such an outstanding record of challenging inequity and exclusion and their intersections with patriarchal and other inequities. We are confident about her capacity to inspire and to draw the resources of the region toward strengthening the UWI and its capacity to transform the region.”

Outside of her work with the UWI, Antoine has served as president of the Organization of American States Inter-American Commission on Human Rights, where she has also been the rapporteur for Persons of African Descent and rapporteur for Indigenous Peoples.

As chairman of Caricom’s marijuana commission, Antoine has been an advocate for the decriminalisation of marijuana and the creation of a sustainable cannabis industry.

She also currently serves as president of the Family Planning Association. The association’s executive director Ava Rampersad described Antoine as a down-to-earth, committed leader who is particularly passionate about the development of young people.

“She is firm when she needs to be firm, she is very innovative and open to ideas. Once you are able to approach her from a perspective of coming with your evidence to say something, she would definitely support you.”

She said Antoine is someone who operates from a place of integrity.

“It is no surprise someone of that calibre would be appointed as the principal of the UWI. We at the association are very proud of her. We are honoured by her accolades and we continue to support her in her endeavours.”

Former principals of UWI St Augustine include Prof Clement Sankat (2008-2016), former MP Dr Bhoendradatt Tewarie (2001-2007), Prof Compton Bourne (1996-2001), former president George Maxwell Richards (1985-1996), Prof Lloyd Braithwaite (1969-1984), Sir Dudley Huggins (1963-1969) and Sir Philip Sherlock (1960-1963).

As a patron of UWI, ECO continues to build the Geoscience Library to celebrate UWI Science Centennial 2022 and welcomes the new principal in these apocalyptic times for civilisation.

 

From Hillview to Princeton

Arya Ollivierra, a past student of St Joseph’s Convent, St Joseph and Hillview College, will study engineering at Princeton University.

Ollivierra often listened to her grandfather – a chemical engineer – tell stories about the different projects he worked on. She also read his books and learnt about different engineering concepts. So from a young age, Ollivierra knew she wanted to do sciences and become an engineer even though she wasn’t quite sure which kind.

 

Her academic achievements including a near perfect Scholastic Aptitude Test (SAT) score, an additional scholarship in natural science and all grade ones in her Caribbean Secondary Education Certificate (CSEC), and Caribbean Advanced Proficiency Examination (CAPE) exams.

Volunteer work at the El Socorro Centre for Wildlife Conservation made everything possible including her Princeton acceptance.  As a pupil of St Joseph’s Convent, St Joseph, Ollivierra was actively involved in the school’s environmental club where she served as vice president from 2016-2017 and then president from 2017-2018. Ollivierra worked alongside the biology and environmental science teacher Simmika Seecharan-Bissram to create a filtration system for the school’s water supply to help it taste better to get students to buy less bottled water. Using a carbon and sediment filter, the system provided additional purification for the school’s water.

“There was an EMA competition going on and I had this idea for a project where instead of the plastic bottle recycling drives the club usually had, we do something which would reduce the number of plastic bottles the students were using in the first place. So we decided to create an ‘enviro filter’ which I thought would reduce the school’s plastic consumption.”

Ollivierra led recycling drives and special awareness assemblies.

Despite dedication to the club and juggling several extracurricular activities, Ollivierra placed in the top ten regionally for all the CSEC subjects she pursued including mathematics, English A, biology, chemistry, physics, additional mathematics, Spanish and English B (Literature).

When she created the filtration system, Ollivierra never imagined it would get a merit award at the EMA’s 2018 Green Leaf award or be implemented in other schools. St Lucia-based Franciscan Institute contacted her in August 2021 with funding to implement the system in other schools. The institute is a ministry of the Sisters of the Sorrowful Mother dedicated to promoting a culture of peace in several Caribbean countries in St Lucia, Grenada and TT. On April 22, the institute organised a virtual meeting between Ollivierra and principals from several schools across TT and the Caribbean to discuss plans to introduce the filter to more schools.

Hardbargain RC Primary School in Williamsville will be the first school outside of St Joseph’s Convent where the filtration system will be constructed. The school’s water problems were a main reason why it was selected.

“I was really excited when they reached out because it (the filter) is something that I’m really proud of. When we did the filter, I was thinking it was something we did for Convent and it would probably end there. I am also really happy the filter’s usefulness has been expanded to helping schools with water issues.”

As a sixth form student at Hillview College from 2019-2021, Ollivierra continued volunteering at the El Socorro centre and also juggled extracurricular activities. However, it was no surprise when she yet again got all grade ones in her CAPE subjects including pure mathematics, applied mathematics, chemistry, physics, communication studies and Caribbean studies. With those grades, she secured her additional scholarship in natural sciences.

When she graduated from Hillview in 2021, she decided to take a gap year. Hillview chemistry teacher Nigel Phagoo gave her the chance to do a brief stint as an assistant teacher from November 2021 to March as the school’s students prepared for this year’s Caribbean Examinations Council (CXC) exams.

“When he called with the opportunity, I immediately said yes because it was my gap year and I was using it to volunteer, do more extracurriculars and relax from CAPE which was stressful. It was really fun, and I got to practise being a teacher, teach some classes and help show students some labs.”

Starting with McGill University in February, Ollivierra said acceptance from the different universities poured in. She was accepted by Princeton, Columbia, McGill, MIT, UCLA, Carnegie Melon, Stanford and the University of Toronto.

“Princeton is also a really good engineering school and the biggest benefit was financial aid. So we spoke to Princeton and there were opportunities for financial aid, so I chose Princeton.”

Ollivierra admits she isn’t quite settled on whether she’ll like to do mechanical or aerospace engineering. However, given she got a general acceptance to do engineering at the university, she said there is still time to decide.

“I’m looking forward to the new experience because I’ve never lived outside of Trinidad before, so I think it will be a really new and interesting experience. I’m interested in meeting people of different backgrounds because Princeton will have people coming in from all over the world and I think it will be very interesting.”

 

 

T&T Chamber

Apr 28 2022

Charles Pashley, Chief Strategy Officer at ANSA McAL has been appointed for a second one-year term as the president of the T&T Chamber of Industry and Commerce. the annual general meeting.

“He has over 25 years management experience which includes food retail, restaurant management, manufacturing distribution, supply chain and has worked with a major international accounting and auditing firm, He has also held positions as the CEO and Director at Prestige Holdings Ltd and Smith Robertson and CO Ltd,” the Chamber stated announcing Pashley’s re-appointment.

Also elected to the T&T Chamber’s board for the 2022/2023 term were two new directors..
They are Bryan Ramsumair the co-founder and managing director of DeNovo Energy Ltd, and Jean-Paul Dookie the vice -president and country executive at Fujitsu (Caribbean) Trinidad Ltd.
The other members of the Chamber’s board for 2022/2023 are:

Reyaz Ahamad- Immediate Past President, Kiran Maharaj- Snr Vice President
David Hadeed-Vice President, Karen Yip Chuck- Vice President
Camille Chatoor- Director, Ian Chinapoo- Director
Sacha De Souza-Thompson– Director, Jason Julien- Director,
Mark Laquis– Director, Marc Persaud– Director, Sonji Pierre Chase– Director
Christian Stone– Director, Diane Hadad, Chair, Tobago Division- Director (ex-officio)
Ian De Souza, CEO- Director (ex-officio)

 

Nidco warns : No tender for Toco Port

NIDCO has not begun any tender process to build a Toco port, as the company warned against the issuance of bogus cheques. To do its job of procurement on behalf of the Government, Nidco issues tenders via its website and national newspapers, ensuring procurement was transparent, efficient and effective.

“Nidco has not initiated any tender or award of contract process with regard to the Toco Port. The issuance of any letters of award or contracts relating to the Toco Port project is fraudulent and not authorised by Nidco.” Contracts for Nidco projects must be only signed in-person at Nidco’s offices, under a Nidco legal officer.Nidco said its cheques can only be collected at their offices through an official from Nidco’s finance department.

“The signing of any contract outside of Nidco’s offices is fraudulent and not authorised by Nidco. The collection of cheques outside of Nidco’s offices by a rogue agent is fraudulent and not authorised by Nidco.”

The Ministry of Works and Transport does not issue cheques directly to contractors on Nidco’s behalf, and any occurrence of such is fraudulent and not authorised by Nidco nor the Ministry.

“Nidco has not authorised any employee or agent to issue any cash or cheque payment in contravention of the above.”

“With respect to the Toco Port project and any other such project, the public will be informed by the issuance of a public tender published both on Nidco’s website and in the daily newspapers. We hold ourselves accountable for our obligations and actions to the public we serve and are committed to manage our operations with openness and integrity.”

The proposed Toco Port was a major promise by the PNM in the 2015 general election, to link Trinidad to Tobago. However, plans were delayed by the covid19 pandemic, although reports are that the Valencia to Toco Road upgrade was now 69 per cent complete. The 12-kilometre road was projected to cost $196 million.

These crimes are further proof that the state turned a profit center into a crime centre as fraudsters take advantage of corrupt officials to steal public funds. High-powered state bureaucrats retain their positions, acting dishonourably by not resigning.

 

 

July conference on the future of geoscience

The 7th Geological Conference with the theme – Geoscience of the Future: Adapt, Innovate, Evolve will be held in Trinidad from July 11-13.

Four sub-themes will address the fast-moving developments in the areas of geoscience, the environment, natural resources and energy. Attendees will have the choice to attend one, two or three days virtually.

The first day also has an in-person option at the Hyatt in Port of Spain, which will end with a cocktail and networking reception. After months of uncertainty due to covid, this hybrid approach was felt most appropriate.

The conference days will be preceded and proceeded by field trips and short courses, which span July 7-15. All four courses are virtual and cover:

1. 1. 1. Tectonics of the Southern Caribbean,
      2. Fault Kinematics,
      3. Designing a Petroleum Reservoir Model and
      4. Sustainable Energy in small island states.

Five field trips (some virtual, some in-person) will take participants across Trinidad and Tobago.

1. In Tobago, they will learn about the island’s geology and the impact on its water resources, geohazards and climate change.
2. At the Palo Seco Bay of southern Trinidad, they will learn how our rich oil and gas reservoirs were formed.
3. Another trip will take us across the Southern Basin along a 2D seismic line, through various oilfields and outcrops.
4. There is one exclusively about mud volcanoes in TT, particularly Piparo and the Devil’s Woodyard.
5. The last trip is a core workshop that will focus on samples from the Nariva River, Carli Bay and Erin delta.

The conference includes keynote speakers, parallel technical sessions, panel discussions, student poster sessions and round table discussions. Topics to be covered include: innovation in oil and gas technology, seismology, volcanology, coastal erosion, mining and aggregate resources, biostratigraphy, geophysics, renewable energy, business of petroleum, and geochemistry among others.

The target audience for this conference are geoscience practitioners, students of geoscience, geology, and geography, environmental and marine research institutes, regulatory agencies and stakeholders related to geoscience and the energy sector, which include but are not limited to drillers, reservoir and petroleum engineers.

This conference will also highlight the changing energy mix that has resulted from efforts to reduce carbon emissions. As a result, experts in alternative energy initiatives and climate change specialists will also be featured.

Participants are provided with a forum to publish work either as a full paper or abstract (deadline is June 1), learn about new developments, network with other professionals (and potential future employers) and get noticed.

The four sub-themes of the conference will be tackled through the various panel discussions, technical papers and posters, short courses and field trips.

1. Core geoscience explores the fundamentals of earth science and its impact on daily life in the region. Volcanic eruptions, earthquakes and slope instability, mud volcanoes, quarries, hydrogeology, geotechnical engineering are some of the key topics.

2. The hydrocarbon industry – our biggest revenue earner and the heart of the geoscience operations in TT. Exploration and development updates, the business of petroleum, reservoir modelling, onshore and offshore projects, and mature field production will all be covered.

3. Geoscience and the environment: three areas will be explored – carbon sequestration and storage, geohazards and slope stability and coastal and marine research.

4. The future of geoscience: unconventional and alternate resources, changing the way we use data, pivoting from geoscientists into related careers and advances in geophysical and geological techniques underpin this theme.

The GSTT, founded in 1976, is an NGO whose mission is to build the technical and professional competency of its members and associates. The society’s objectives are to identify and promote the optimal usage of natural resources in a manner that is in accordance with acceptable environmental practices; sensitise the public on common geological phenomena and natural hazards; and collaborate with affiliated organisations on matters of common interest such as energy, natural hazards, and ground water.

The GSTT holds a conference every five years and it is a cornerstone of the society’s mandate to increase the level of geoscience in the region, increase public awareness and provide student guidance. Other society activities include monthly technical talks, field trips, quarterly newsletter and short courses.

The conference committee is composed of over 30 professionals whose global careers span decades in various fields of geoscience in the public and private sectors. Several sponsors are already on board, including NGC, Heritage Petroleum, BP, Shell, EOG Resources, Atlantic, Schlumberger, Repsol, Baker Hughes, DeNovo Energy, CGG, ION Geophysical, Stratum Reservoir, Tucker Energy, Q-eye and Ramps Logistics.

Please join us in a conference that tests our current understanding and explores future opportunities in geoscience. Visit the conference site for a complete overview of all the 3-day sessions, field trips and courses and how to register, upload papers, posters and presentations.

Conference website: https://7thgsttconference.vfairs.com/en/

 

 

National Investment Fund

The National Investment Fund (NIF) posted a profit of $51,967,000 for the three-month period ending March 31, in its interim financial statements.

NIF garnered a total income from interest income, government subvention and net fair-value gains on financial assets of $109,497,000 for the first three months of the year but spent $57.5 million on operating expenses and finance costs.

For the same period in 2021, net fair-value gains on financial assets went up to $409,782,000. Its total income was $411,646,000 and net profit for the period was $354,197,000.

 

 

Critical challenges

JAI LELADHARSINGH

THE CARIBBEAN Development Bank publication, titled “A Policy Blueprint for Caribbean Economies,” presented a vision for regional economic transformation. The effectiveness of these strategies depends on recognition of the importance of building resilience in all aspects of development. The foundations of the proposed strategic pillars are:

•  Macroeconomic: promoting economic growth and diversification, building a strong and resilient financial sector, and practising prudent fiscal management.
•  Productivity and competitiveness: supporting private-sector-led growth, opening new trade markets, promoting regional payments facilities (and the digitalisation of the economy more broadly), and building first-class and cost-saving infrastructure.
• Human Development: providing quality education for all and relevant workforce skills training; improving citizen security; and targeting conditional cash transfer programmes to the most vulnerable; linking the educational development policies to future economic development spheres.
• Environmental: improving building codes enforcement, insurance coverage, and financial and physical disaster and climate change preparedness.

The advent of the covid19 global pandemic did not assist the Caricom nations, particularly Trinidad and Tobago, in realising economic recovery and businesses were reeling under unprecedented lockdowns, severe loss of business and jobs. However, we are saddled with the realities of economic strategies that have failed to provide the levels of sustained growth necessary to build a competitive business ecosystem and a resilient and diversified economy.

Hence, TT and perhaps the wider Caribbean are saddled with the following challenges in the context of the above strategic pillars. Referencing the CDB’s publication, the existing challenges are:

Macroeconomic

Low economic growth; high debt, low savings and declining reserves; declining trade flows; poor sovereign debt ratings; financial sector vulnerabilities and stability risks.

Productivity and competitiveness

Low rankings in the World Bank Ease of Doing Business Index; large infrastructure gaps and a poorly designed road network; weak governance; inefficient transport links; increasing energy costs.

Human development

High poverty and unemployment; very high youth employment and poor education outcomes; high crime and citizen insecurity; limited data available for designing and measuring effective strategies.

Environmental

High disaster costs; low insurance payouts; insufficient building codes; poor climate change adaption tools.

According to the CDB economist, Justin Ram, the development challenges highlighted above are interlinked. For example, poor human development outcomes have significant impacts on the macroeconomic frameworks via government spending on blanket social programmes.

Low productivity and lack of competitive environments for the private sector to thrive have limited employment opportunities. Furthermore, micro, small and medium-sized enterprises (MSMEs) that would normally employ many workers struggle within a costly environment for doing business.

Low employment levels lead to lower tax revenues, thus reducing governments’ ability to meet obligations towards wages and salaries or social programmes, which are oversubscribed because of unemployment.

These are the stark realities that are staring at us for some time and actions are immediately needed to resolve these existential challenges, which are taking TT towards a declining future. They must begin with a conversation between government, private sector, trade unions, civil society and academia to collectively devise a strategic roadmap for the country.

Building resilience

The CDB suggests that in order to build resilience, there must be specific policy priorities outlined for the policymakers in partnership with relevant stakeholders to bring about long-term growth.

Macroeconomic

Prudent fiscal management; strong resilient financial sector; economic growth and diversification.

Productivity and competitiveness

Private sector-led growth; opening new trade markets; improving the ease of doing business; first class and cost-effective infrastructure.

Human development

Good quality education for all; workforce skills training based on employer’s needs; strategies geared towards significant crime reduction; sustainable programmes to support the poor and vulnerable.

Environmental preparedness

Robust environmental tools; climate change adaption tools; strict building code compliance; credit for recovery lending.

In many ways the policy direction for TT’s economy is a virtuous bottom-up approach to building resilience at the economy and societal levels. It needs to be supported by strong public policy that manages public finances so that savings become a priority. Government should also facilitate private sector-led growth by implementing doing business environment reforms and by ensuring that adequate infrastructure is in place.

At the social level there needs to be social investment, targeted at the most vulnerable so that all residents have opportunities to share the benefits of the new economy.

As the economy improves, households, government and society should be better prepared to deal with environmental or economic shocks that are certain to come in the future.

Jai Leladharsingh is the co-ordinator of the Confederation of Regional Business Chambers

 

 

Wet Season

The Trinidad and Tobago Meteorological Service (TTMS) is officially declaring the start of the 2022 Wet Season for Trinidad and Tobago.

The official start to the wet season is triggered by measurable rainfall produced by a Tropical Wave or the Intertropical Convergence Zone (ITCZ). Climatologically, Trinidad and Tobago’s Wet Season can extend into December before completely transitioning into the Dry Season in January.

The Met Office said the Tropical Wave that triggered the start of the 2022 Wet Season moved across the country on Sunday, May 15th, 2022, into Monday, May 16th, 2022, and produced rainfall over several areas. While this was the fourth Tropical Wave the TTMS tracked that moved off the west coast of Africa and traversed the Tropical Atlantic, it is the first one to affect Trinidad and Tobago.

As of 8 AM on Monday, May yielded rainfall totals of 28.5 millimeters which amounted to 23 percent of May’s average total rainfall of 124 millimeters. The TTMS says the remainder of May is likely to continue with below-average rain across most areas.

While the Wet Season has begun, the Met Office says, “At this time, there are no Tropical Waves over the Tropical Atlantic, so no wave activity is expected for at least the next week or so. Currently, the ITCZ remains south of latitude 5˚N, but is expected to gradually migrate northward as the month progresses.”

The TTMS advises, “With the current La Niña phase, this means favorable conditions for increased cloudiness and rainfall. However, the ongoing La Niña has influenced the local climate in an unusual way, but there is likely to be a slow build-up to the wet season rainfall.”

High Wind Alert Discontinued

With the passage of this first Tropical Wave, a surge of winds was expected to follow overnight Sunday into Monday, prompting the Met Office to issue a High Wind Alert for both islands. Strong winds in excess of 55 KM/H were possible, but the highest wind gust recorded was 45 KM/H at Piarco at 3:00 PM, before the High Wind Alert period. The highest sustained winds at Piarco was 34.5 KM/H, while at Crown Point, it was 33.7 KM/H.

On Monday at 10:00 AM, the High Wind Alert was discontinued. According to the TTMS, “The threat of wind gusts in excess of 55 KM/H has diminished. Few showers and occasional breezy periods can still be expected today. Sea conditions remain moderate, with waves in open waters up to 2.5 metres and less than 1.0 metre in sheltered areas. Spring tides are also in effect.“

 

Tucker Energy Services Limited:

Zephaniah laid to rest

May 17 2022

The family of Zephaniah Harripaul shared memories of him during the funeral service held at Faith Assembly International church in Arouca.

Two months after his body was found the family of abducted victim Zephaniah Harripaul was able to pay their last respects and bid farewell .

Harripaul’s funeral service was well attended by scores of mourners, family, close friends and co-workers. During the lengthy service that was filled with worship and music – as Harripaul was a worshipper and head musician at the church – Harripaul’s father Minister Selwyn Harripaul admitted that he was disappointed but said he wanted no revenge for his son’s death.

“My family and I will only demonstrate the love of God, the Power of God, the mighty works of God. That is what we were chosen for. Are we disappointed? Yes. I am disappointed but this has in no way shaken us. It has in no way moved us. Our trust is in God and God alone.”

“Zephaniah’s message was about the approach in judgement of God but I know the God that we serve, the God of Abraham, the God of Moses. He doesn’t only announce judgement but He also has mercy in his judgment so we don’t want any revenge we want justice.
“God is taking care of business for me. The justice system of this country, God is going to intervene and He’s going to see that He performs His word. Men could lie but God cannot lie so I can challenge you, I am offering this, you can give yourself up, you can come to know God and you can save yourself. My family is in the saving business and the demonstration of the love of God. We are not destroying lives. We will not destroy lives.”

Harripaul’s mother,  Sita described her son as filled with love for her. She even shared the contents he wrote to her in a Mother’s Day card 15 years ago.

“Very early he was offered to the Lord and raised in church. Growing up Zephan was a very obedient and such a diligent child. Everything he did was ambitious. He was the child that never lingered after school but would come home as soon as school would over. He was brilliant in his academics. He began to learn to play the keyboard at a tender age of seven. God gifted him in this area. And it is with this gift that he began his singing ministry from his childhood. He played keyboard at the church there and became head musician. He loved to help people and he shared his gifts with others teaching them to play keyboard. There was almost nothing that Zephan wouldn’t do for me. He loved me and showed me how much he really cared,” she added.

Harripaul’s body was found 400 feet down a precipice in Maracas on March 17, one month after he was abducted from his work as shift supervisor at Tucker Energy Services Limited in Chaguaramas .

According to the official police report, at about 6 pm on February 16 Harripaul arrived at his workplace at 1st Avenue Chaguaramas. At about 9:30 pm a vehicle entered the compound and the driver whose name and description is unknown, indicated that he was on route to collect something from someone.

The report stated that Harripaul was last seen at 2:05 am on February 17 when he told a co-worker that he was going to collect a flashlight.
About ten minutes after, a vehicle was seen exiting the compound in convoy with Harripaul’s vehicle, a silver-grey Tucson when a security officer motioned both vehicles to stop. An unknown man was then seen exiting Harripaul’s vehicle and entering into the suspects’ vehicle which sped away from the compound.

No ransom was made.

Harripaul’s employer on March 21 said that the company hoped for swift justice. Investigations revealed the identity of the owner of the vehicle used in Harripaul’s abduction but to date no arrests have been made..

 

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