Deep-water exploration
Minister of Energy Stuart Young says due to strong interest in deep-water exploration, the Energy ministry, in identifying potential prospects, developed a package for a 2025 Deep Water Bid Round. The Competitive Bid Round opened on January 27 and will close on July 2 at noon. Successful bids will be announcd three months after conclusion of the bid round.
Officially launched at the Energy Chamber’s 2025 Energy Conference, the Bid Round covers 26 blocks situated off the eastern and northern shores of Trinidad and Tobago.
Young said there continues to be a strong interest in the “undeveloped acreage in the deep-water as the prolific Guyana-Suriname Basin is a south-east extension of our eastern deep and ultra-deep marine areas. In light of the strong interest in the deep-water, the Ministry identified potential prospects and developed a package for a 2025 Deep Water Competitive Bidding Round which was launched on January 27, 2025.”
The exploration programme is aimed at ensuring the sustainability of T&T’s energy industry. “It is as a consequence of such initiatives that new projects such as bpTT Cypre Project and the Mento project, a Joint-Venture between bpTT and EOG have been realised. Mento will be a 12-slot, manned facility located in acreage jointly licensed by bpTT and EOG off Trinidad’s southeast coast. First gas is expected in 2025.”
It should be highlighted that “our direct intervention and concerted efforts secured the fabrication of the Mento platform and jacket by TOFC in La Brea…as soon as the platform and topside sailed from TOFCO’s yard the work on Manatee began. There was no fabrication work at TOFCO between 2009 to 2017. It was this Government, when we came in, in September 2015, that repeatedly advocated to the boardrooms in London, the Hague and Houston to use our local fabrication yard and fortunately due to the strong relationships we built the work restarted in 2017 with Juniper.”
Aggressive government interventions in the energy sector led to back-to-back bid rounds under his tenure, successfully negotiating and awarding new contracts despite T&T being a mature hydrocarbon province.
“We pushed our upstream gas producers to work with us spurring a resurgence of real investment in Trinidad and Tobago. We also receive better returns on our natural gas for our citizens as a direct result of work we began in 2018 securing prices for our gas that averaged 15- 55% higher than the traditional Henry Hub and other outdated indices. We respectfully negotiated and obtained that basket of indices that now includes Asian, European and liquid’s pricing as the new and accepted formula for our gas.”
Young said in its June 2024 publication the International Energy Forum maintained that more investment in new oil and gas supply was needed to meet growing demand and maintain energy market stability. Based on the global energy outlook it estimated that a cumulative $4.3 trillion in new investments will be needed between 2025 and 2030 to ensure adequate supplies due to growing demand and cost inflation.
“This augurs well for Trinidad and Tobago as the global energy industry has seen a turnaround by oil majors who have cut back on their renewable plans and shifted their focus to their oil and gas segments. As a consequence, there remains a strong interest by energy companies in proven hydrocarbon provinces. In the global scenario Trinidad and Tobago as at December 2024 ranked within the top 25 of global gas producing countries. In the last gas reserves audit conducted by independent petroleum consultant DeGolyer and McNaughton the countries P1 and C1 technically gas reserves stood at 11 tcf but could rise to a potential of 20 tcf with the conversion of other technically recoverable quantities. Exploration resources stand at 58.84 tcf and offer much promise for the exploration to be undertaken by successful companies in the recent bid rounds.”
Young stated that, in line with the Government’s strategy to maximize the exploitation of hydrocarbon resources, they launched a series of bid rounds encompassing deep-water, onshore and shallow-water blocks.
“All of our recent bid rounds have resulted in the grant of production sharing contracts or exploration and production licences to the successful bidders. The outcome of the grants and licences will result in an upsurge in level of domestic upstream activity over the next five years. Activity is already rising and taking place in particular over the past 12 months, in all of which the Government had significant roles to play.“
In 2023, Production Sharing Contracts were issued to a Consortium of BP Exploration Operating Company Limited and BG International Limited (Shell) for Blocks 25(a), 25(b) and 27.
“In the first phase of the exploration which ends in 2025 the Consortium will conduct among other surveys a total of 1,990 square kilometres of 3D seismic across the three deep-water blocks. Subject to the results of the survey the Consortium has committed to a well programme in a second phase with a combined investment of US$128,370,000 over a three-year period. Preliminary estimates indicate a potential of 2.04 tcf of natural gas within these blocks and over 400 million barrels of liquid hydrocarbons,” he said.
The issue of acreage for exploration continued with the Onshore Bid Round for which bids were received for eight of the 11 blocks on offer. Following an evaluation process licences were issued to the successful bidders for the Aripero, Buenos Ayres, Charuma, Cipero and St Mary’s Blocks in June 2024 .
In 2023, bids were also invited for 13 shallow water blocks. Three (3) Bidders, namely EOG Resources Trinidad Ltd, BP Exploration Operating Company Limited and BG International Ltd (Shell) submitted six (6) bid proposals for four (4) of the blocks on offer. Following an evaluation process Production Sharing Contracts were granted to EOG Resources Trinidad Limited for Blocks NCMA 4(a) and Lower Reverse L, to BP Exploration Operating Company Ltd for Block NCMA2, and to BG International Limited for Block U(c).
BP Juniper and TOFCO: correcting the record
Kevin Ramnarine, former energy minister
Feb 19, 2025
The Minister of Energy’s recent statement at the Energy Conference (February 10, 2025), claiming that no fabrication work took place at TOFCO between 2009 and 2017, is factually incorrect. He said as follows:
“There was absolutely no fabrication work taking place at TOFCO between 2009 to 2017. None. From 2009 to 2017 there was no fabrication work taking place at the TOFCO yard.
“It was this Government when we came in in September 2015 that repeatedly advocated to the Board Rooms in London, the Hague and Houston to use our local fabrication yard and fortunately due to the strong relationship that we built work restarted at TOFCO in 2017 with the Juniper platform.”
That statement caused some people in attendance to send me text messages asking if I had heard what was being said. Many persons have since asked that I set the record straight. The facts as they relate to TOFCO and Juniper are as follows:
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- 1. The Juniper project was approved by BP in August 2014 (Reference: BP media release, August 13, 2014).
- 2. Construction on the platform’s topside commenced in 2015 at the TOFCO yard in La Brea.
- 3. The Ministry of Energy toured the TOFCO yard on June 30, 2015, to look at the construction. This was reported in the Guardian on July 1, 2015.
- 4. A decision was taken in 2015 to fabricate the platform’s jacket in the US to keep on target with the 2017 first gas date.
- 5. The bulk of Juniper’s construction/fabrication happened in 2015 and 2016.
- 6. In January 2016 the project was impacted by protests.
- 7. On December 7, 2016, the Energy Chamber reported “TOFCO on final stretch with Juniper platform”.
- 8. The Juniper topside was loaded out in January 2017 (Reference: BP media release, January 20, 2017).
- 9. According to TOFCO’s website, the Juniper topside was completed in January 2017 and the project took 26 months to complete.
- 10. First gas was achieved in August 2017 (Reference: BP media release, August 14, 2017).
My records also reflect that in 2014, I was keeping the Prime Minister and the Minister of Finance apprised of the progress of this very important project. In his budget speech of September 8, 2014, Minister Larry Howai told the Parliament:
“Included in these investments is the recently announced US$2.1 billion Juniper Project, the main component of which will be the fabrication of the Juniper Platform in the LABIDCO Industrial Estate with the creation of 300 jobs thereby initiating the revitalisation of economic activity in the south-west peninsula.”
Juniper’s natural gas production (590 million cubic feet per day) was significant. By way of reference, 590 million cubic feet of natural gas per day represents 24% of what is being produced nationally today. Without it, we would have been in a worse position. It was the largest natural gas development (in terms of production volumes) executed in T&T since the BP Amherstia project was brought online in 2000.
In addition, at 5,200 tonnes, the Juniper topside remains the largest structure ever fabricated in Trinidad and Tobago. It created work for contractors and suppliers, and at its peak had 750 persons working on it. It was a tremendous achievement for a local company owned and operated by citizens of this country.
However, that 5,200 tonnes of fabricated steel and electrical works didn’t simply materialise in January 2017. Therefore, from the facts and timeline presented above, to say there was no fabrication work at TOFCO from 2009 to 2017 is wrong.
Moreover, to say “the work restarted in 2017 with Juniper” is also patently incorrect.
The irony of all this is that far from having “absolutely no fabrication work”, (as the minister claimed), in the years 2015 to 2017, TOFCO was busy executing its largest-ever project. Moreover, the “sailing away ceremony” for the Juniper topside was held on January 14, 2017, and was attended by then-acting prime minister Colm Imbert.
The acting prime minister was even presented with a painting of said topside. If, as the Minister of Energy says, “work restarted at TOFCO in 2017 with the Juniper platform”, that would mean the topside was built in a miraculous 14 days.
How did the minister get this recent chronology so wrong? It is not as though these events happened in the 1960s. This is a relatively recent project. Hundreds of people in the energy sector who participated in the project can corroborate the timeline.
Incorrect statements made to an international audience and streamed all over the world must be corrected.
Was there any effort by members of the Energy Chamber board to clarify or correct the minister’s statement?
Energy Ministry opens bidding on 26 deep-water blocks
11 February 2025
The Ministry of Energy launched the deepwater bid round on February 10, the first day of the three-day Energy Conference of the Energy Chamber. Permanent secretary Penelope Bradshaw-Niles said 26 blocks were up for bid in deepwater regions off the northern and eastern coast of TT.
The legal notice opening the bidding was dated January 24. Bids are now invited for production-sharing contracts for exploration and production in the assigned region.
Deadline for posting the bids is July 2 at noon. Senior geologist and team lead for the bid round, Kimberly London said the acreage lies at a depth of 1,000-2,500 metres.
“The potential exists to extract a great amount of resources from the area, once we commit to doing the work required. We have to continually invest in the exploration of these areas to get the development going.”
TT had been exploring the deepwater regions for at least 30 years. The competitive bidding process is separated into
- a pre-bid round, in which bidders would have to pay a US$25,000 fee;
- a bid fee:bidders will have to pay US$40,000 per block;
- a pitching round, in which bidders will provide the ministry with a technical presentation on each of the blocks on which oil and gas companies bid.
- An internal evaluation will follow to award blocks to the preferred bidder.
Bidders will receive a data package which would contain everything needed for proper evaluations of the blocks. They will get data on all of the areas up for bid as well as the necessary documents needed for the bidding round.
Bids must contain a technical and commercial evaluation of the areas as well as a signed declaration that the company has viewed the model production-sharing contract and has agreed to the terms.
Bidders will also have to comply with local-content policies and oil-spill contingency plans.
In his keynote , Energy Minister Stuart Young expressed confidence in the energy sector as he highlighted its achievements.
In January, Young signed the award to EOG of two production-sharing contracts for two blocks of shallow-water acreage, offered in the shallow-water competitive bid round from October 2, 2023-May 27, 2024.
On February 10, Young noted the restructuring of ALNG, securing licences for production of the Dragon gas field, along with other milestones.
“The path forward requires not just vision, but concrete investment and a belief in our destiny. What we have done to propel and secure TT’s future in the energy sector has been indicative of our confidence in our country and reflective of unparalleled competence.”
Work was in progress on the Dragon Gas Field, to which TT secured a 30-year licence for the development and a final investment decision is being finalised with a view to seeing first gas by 2027.
BpTT and the National Gas Company of TT (NGCTT) conducted seismic evaluation scans of the cross-border Manakin-Cocuina field, for which TT received an OFAC licence for exploitation and development along with Venezuela. Evaluations were expected to be complete by the third quarter of 2025 and would determine the number of development wells to be drilled.
Quoting from independent energy research and business intelligence company Rystad Energy’s 2025 energy outlook, Young said investments in deep-water projects were forecast to increase by three per cent. Global demand for liquids is also projected to increase by about a million barrels a day, with NGL and other liquids expected to contribute additional growth of over 300,000 barrels per day by 2026.
“The global movement to clean energy has resulted in the government taking steps to diversify and strengthen our energy sector. However, this has not been at the expense of oil and gas, which are the mainstay of our economy. Our strategy has been to accelerate the exploitation of our oil and gas resources, which is in keeping with industry trends and the market requirements.”
Young quoted from the International Energy Forum June 2024, which said more investment in new oil and gas supply was needed to meet growing energy demand. Based on the global energy outlook, a cumulative $4.3 trillion in new investments will be needed over the next five years.
“This augurs well for TT as the global energy industry has seen a turnaround by oil majors, who cut back on renewable plans and shifted their focus to their oil and gas segments.”
TT deep-water provinces held the greatest promise for major oil and gas discoveries. 8 of the 14 wells explored by Woodside Energy resulted in discoveries of about 10.8 trillion cubic feet (tcf) of natural gas, with an estimated 7.2 tcf being potentially recoverable.
“The ministry is in discussion with Woodside on plans to develop 3.5 tcf of reserves in gas fields within its Calypso Project”.
He mentioned clean-energy projects such as Project Lara, the solar project being built in Brechin Castle.
“Although oil and gas remain dominant energy sources, clean energy such as solar, wind energy and green hydrogen are emerging as significant contributors to the domestic energy landscape. This is a positive development both environmentally and commercially, as the gas saving can be redirected where there are shortfalls.”
T&T continues to bet on energy sector
2025. 02/11
Amid challenging and uncertain global headwinds, T&T will attempt to leverage its current energy sector as a means to achieve the required energy transition and diversification needed in the future. This stance was reiterated by Energy Minister Stuart Young in his keynote address at the Trinidad and Tobago Energy Conference. He acknowledged geopolitical issues which impacted the sector and may yet affect it in the future. However, the energy sector remained the key driver of the economy.
“Our energy sector is at a point of regeneration with renewables becoming a part of the domestic energy mix. However, oil and gas are critical to our energy transformation by providing secure and affordable energy during the transition. We, therefore, are committed to the optimum exploitation of our hydrocarbon resources despite calls in some quarters for the cessation of exploration in the industry.
This has been vindicated by the decision of many of advanced petroleum economies who continue to offer blocks for exploration as well as the decision of energy companies to refocus their efforts on oil and gas. Trinidad and Tobago, as a small oil and gas producer. will be impacted by these global trends. The global movement to clean energy resulted in Government taking steps to diversify and strengthen our energy sector.
However, this has not been at the expense of oil and gas, which are the mainstay of our economy and will remain so for the foreseeable future. Our strategy has been to accelerate the exploitation of our oil and gas resources, which is in keeping with industry trends and the market requirements.”
The government would continue to shop hydrocarbon resources via the bid round process, with details concerning the upcoming deep water bid-round unveiled moments after he concluded his speech . The Government is very much invested in the transition from hydrocarbons but the transition is a costly process.
“Investment in clean energy is not insignificant. The Caribbean Development Bank noted that regional energy security will need scales of investment of minimum US$1.2 billion annually to achieve the region’s goal of 47 per cent contribution from renewables by 2030. As Small Island Developing States we are saddled with financial decisions to address our energy security and resilience needs within our own unique contexts. Investments in these sectors require strategic international partnerships with the public and private sector to unlock opportunities for clean, green, energy. Given that transitional risks arising from carbon pricing will materialise, it is important the domestic energy undertake or partner with Government to reduce substantially their greenhouse gas emissions.”
In addition to the Brechin Castle Solar Plant, Project Lara, wind is another renewable energy source being targeted.
“Through technical support of the European Union and in collaboration with our state agency National Energy, the Ministry of Energy is currently engaged in the conduct of an onshore Wind Resource Assessment Programme, aimed at producing bankable data to inform future onshore wind auctions. “
Shell: It’s going to be a difficult couple of years

Kellyanne Lochan Country Manager for Woodside Energy, Kellyanne Lochan.
Senior vice president and Country Chair for Shell Trinidad and Tobago, Adam Lowmass, stated that while the energy sector’s activity will be promising over the next two to three years, the immediate future will present challenges due to the critical role of gas in T&T’s economy.
In a panel discussion at the T&T Energy Conference at the Hyatt Regency, Port of Spain, on February 10, Lowmass emphasised the importance of working collaboratively to accelerate progress.
“I think it’s going to be a difficult couple of years, because of the importance of gas in the T&T economy, but equally for the rest of the world. It puts a sort of sense of urgency into us solving the new challenges here, but it also creates great opportunities. The way that we work together with people in this room and on this panel, with government, regulators, etc. to be able to speed that process up is going to be very, very important as we compete for capital across the rest of the world,” he explained.
Lowmass also posed a key question: “So how can we continue to develop the industry here to make sure that the system that we work in attracts disproportionately capital from other parts of the world to underpin the economy here and the region?”
Kellyanne Lochan, Country Manager for Woodside Energy, stressed the need for cost-effective and innovative methods to improve production and extend the life of oil and gas fields, given that T&T’s energy infrastructure is ageing.
“One of the biggest challenges that we see in the upstream is that we have mature oil and gas fields and ageing infrastructure. This is not unique towards Woodside Energy T&T. The key to overcoming this challenge lies in finding cost-effective innovative ways to enhance production and extend field life while at the same time incentivising investment in small pool exploration,” she highlighted.
Lochan shared that Woodside Energy has implemented low-cost production optimisation projects and leveraged global expertise and new technologies to improve integrity management, enhancing both safety and efficiency.
“One of the biggest opportunities in T&T is the potential that deep water gas can unlock and the Woodside Calypso discovery really opened up deep water for T&T. So, attracting investments in this area requires streamlined development frameworks and processes and transparent policies really because it is important to quickly bring reserves on to production. As we all know there is a step out in not only distance but risk and technology associated with deep water developments,” she said.
Lochan noted that these deepwater developments align with the 2025 deepwater bid round, recently announced.
She also highlighted the need to consider the global energy transition, stating that T&T has the potential to be a regional leader in this space.
“Let’s say carbon capture and storage (CCS), for example, with the existing infrastructure, T&T has a unique opportunity to drive forward CCS initiatives, so how do we incentivise further investment and research in that space?” she questioned.
She further emphasised that while growing and diversifying the sector, investment must continue in talent development, technology, and innovation.
Executive director of Proman’s group operations Ricardo Mohammed acknowledged the challenges posed by gas supply issues and reduced utilisation rates but reaffirmed the company’s commitment to investing in its plants.
“There are other challenges, for example, on the ESG (environmental, social and governance) side of things, CBAM (carbon border adjustment mechanism) will come into effect in 2028 and then we must consider how competitive T&T’s nitrogenous products will be against the newer clean ammonia that is being built in the US that is built at capacity.”
Market barriers and imposed duties further impact competitiveness. Potential opportunities await in optimising electricity production, system efficiencies and gas usage.
“In terms of opportunity, there are marginal opportunities for example in electricity production the gas that is used has moved from 7% to 11% in the last six or seven years and certainly we are doing work with the Government to improve that situation. Additionally, there may be opportunities in terms of optimising the entire system and the pressures.“
He highlighted the opportunity of methanol fuel blending and bunkering and said it is time these plans are brought to fruition.
Acting president and vice president of legal and corporate affairs at the National Gas Company of T&T Ltd., Edmund Subryan said T&T is still open for business regardless of being a mature hydrocarbon province.
“We see a lot of positive prospects for gas, if you look at the latest annual natural gas reserves report, you see there are ten trillion cubic feet (tcf) of proven reserves, another ten tcf of possible resources and another 58 tcf of exploration potential. So, there is gas, it’s just going to be a bit more difficult to bring that gas to market.”
Despite this, the country still needs an environmental structure, focus on energy efficiency and conservation and improvement in power generation capacity. Fiscal incentives should also be considered.
“Hydrogen is going to be a key factor in decarbonisation. A pilot project sanctioned by the Government which National Energy has executed now, is in its development stage. But hydrogen is also linked to renewable energy and hydrogen, particularly wind is going to play a huge part in this. We have the roadmap to a green hydrogen economy in T&T. The National Energy project is highlighting one and the potential for wind is huge.”
The National Energy/Inter-American Development Bank (IDB) study indicates that Trinidad and Tobago has the potential to generate 56 gigawatts of wind energy, both offshore and onshore. This potential levels out to approximately 26 gigawatts, which could produce 4 million tonnes of hydrogen —more than double the requirements of the Point Lisas Estate in Couva.
As for the aspects that need to be changed within the industry, bpTT president David Campbell said continuing its focus on the rocks could help with direct investments.
“This is a business where gaps in reservoirs tend to deplete at around 20% for the year if we do nothing other than produce them. So, we need to keep adding more reserves – drilling rigs, seismic shock and work on this. I’m really pleased that this year together with our partner EOG, we’ll be bringing on Mento.”
He emphasised that both the industry and the government need to accelerate their efforts in exploration and production, as small pockets of resources can be depleted rapidly. He urged businesses to become more competitive to attract investments.
Financial aspect of energy
After claiming that the Energy Conference was the “one place” he would not be asked for USD, the CEO of RBC Financial (Caribbean) Ltd. Darryl White said energy companies large or small must keep an eye on their future.
“If you think about investing in the future, it involves sacrifice because the future is positive and encouraging enough to be able to motivate you for that sacrifice today and that sacrifice also speaks to the reality of having a social partnership.”
White mentioned a prevailing belief that the energy industry is not investing enough capital in T&T.
However, he clarified that capital investment can be seen in the form of renting buildings, employing local workers and investing in infrastructure. This is where the actual investment is being made.
“I think a lot of times people think purely of financial capital. But when you come to the level of financial capital, especially the smaller ones, creative things are being done. You see events where you’ve issued a T&T dollar instrument that’s paid in US dollars.
People like that, because I can actually pull out T&T dollars and get US dollars in return. The other reality is that if you look at the amount of US dollars, you actually have in the banking system – there’s about US$3 billion or so.
These are people’s money, but sitting there and seeking attractive investment opportunities. The other reality is that if you really want great returns on your capital, if you’re going to want a company level of equity, or quasi-equity, meaning, I wonder if you say, I want to be able to take the type of risk.”
White said the question is now whether would they be willing to be listed on the stock exchange so people can invest and make an earning off of it.
Lochan said the 100-metre operations generally have lower development costs and operational costs because there are fixed platforms and while there is usually expensive infrastructure, the reservoirs are unpredictable, well understood and are based in very mature oil and gas fields.
“In contrast, deepwater which is 400 metres or 2,000 metres – ultra-deepwater – has a lot more development and operational costs because of complex drilling, the need for subsea infrastructure and in some cases the need for floating production systems than shallow water. We also carry more subsurface, technical and operability risks.”
BP resets: focus on growth, curbs green ventures
Feb 26, 2025
Energy company bp Trinidad and Tobago’s says its business strategy is aligned with British parent BP’s focus on growing upstream business, after BP confirmed in London that it will slash spending on green ventures and boost oil and gas production.
It is a change in direction BP hopes will bolster its flagging share price but which was met with incredulity from climate action campaigners, the Associated Press reported. In a statement titled “Reset BP”, the company said it will reduce spending on net zero transition businesses by US$5 billion a year to up to US$2 billion. By contrast, it would increase its investments in oil and gas production by about 20% to US$10 billion.
Chief executive Murray Auchincloss said that the company is focusing its spending on BP’s “highest-returning businesses to drive growth” and that it will be “very selective” in its investments in renewables.
“This is a reset BP, with an unwavering focus on growing long-term shareholder value.”
bpTT said in a statement from its Port of Spain office that its business strategy was aligned with BP’s focus on “growing the upstream” as outlined in its strategy reset.
“In the short term we will continue to work towards delivering our strategy by bringing our Cypre project online in 2025 as well as Mento with our joint venture partner EOG.”
It said it would provide updates on longer term activities at a later date and regarding the Lara solar project, “we continue to work with our partners towards start up in 2025.”
Former energy minister Kevin Ramnarine believes the shift in direction will allow BP to further expand its gas operations here, resulting in an uptick for the local economy.
“This is actually good news for T&T, from my perspective, because BP’s main focus for T&T is oil and gas. My understanding is that this is potentially good news for us because it funds more capital for BP’s business in T&T, which is drilling for more gas.
That may result in BP moving from the current drilling programme, which is one rig, to potentially two rigs, which is very good for T&T because we need the gas.”
Ramnarine said while BP has stated its plans to refocus on oil and gas, an element of cost cutting is expected over the next couple of years, until 2027.
“That is something that we need to keep an eye on in T&T because the company divested one of its gas-producing hubs last year to Perenco. So does that mean cost cutting in T&T?
We will have to wait and see, but certainly, today marks a fundamental change in strategy and a U-turn.”
The market response had to be monitored, given that the response so far resulted in a share price decrease.
bp will pivot back to oil and gas, cut renewables spending
Mitchell Ferman, Swetha Gopinath and Dinesh Nair
February 26, 2025, (Bloomberg)
In a highly anticipated presentation, BP Chief Executive Officer Murray Auchincloss reversed a plan to shrink oil and gas production and cut investments in low-carbon energy but also slashed the quarterly share buyback — undermining what has become a key plank of the petroleum industry’s pitch to investors.
The changes announced on Wednesday were significant, representing a major break from five years in which bp was the oil industry’s most ardent pursuer of net zero emissions and the transition to clean energy, which executives acknowledged went too far too fast.
Nevertheless, the cut in share buybacks to between $750 million and $1 billion a quarter, from $1.75 billion previously, dimmed the appeal to investors.
bp has been under intense pressure since Elliott built up a stake worth almost $5 billion.
The next move from the activist investor, renowned for its aggressive tactics and demanding big change including a broader exit from low-carbon energy, will be determined by whether Auchincloss has gone far enough. If Elliott is unsatisfied, it may push for board and management changes. Chairman Helge Lund, a key backer of the company’s now-criticized net zero strategy, could come under particular pressure.
Throughout a day of detailed presentations, Auchincloss voiced his confidence about the plan even as the slide in the company’s stock deepened.
“We’ve put together something that’s very compelling, which is a reset strategy focused on growing the upstream” while cutting spending in other areas to help strengthen bp’s balance sheet. I think in the long run investors will love this.“
bp will increase investment into oil and gas to about $10 billion a year, with the intention of growing production to 2.3 million to 2.5 million barrels of oil equivalent a day (boed) by 2030. Its previous target was for a reduction in output of 25% at the end of the decade, compared with 2019 levels. The company will reduce annual investment into low-carbon energy to $1.5 billion to $2 billion, about $5 billion lower than its previous guidance.
“It does feel like bp has heard the market’s message on the need for a fundamental reset. bp is indeed going back to oil and gas and tightening up investment discipline,” but exceeding the high level of expectations before the presentation “was going to be difficult,” Kim Fustier, HSBC Holdings Plc’s head of European oil and gas research, said .
bp Sustainability Report 2024
BpTT awards shipping contract to Blue Water TT
February 14
BpTT awarded a customs brokerage contract to Blue Water Shipping TT Ltd., founded in Denmark in 1972. Blue Water said the contract is to provide freight forwarding and customs brokerage services for bpTT’s local operations.
“The scope of this contract includes freight forwarding, inclusive of land transportation, and customs brokerage, ensuring seamless and efficient logistics support tailored to bpTT’s operational needs. This contract will support bpTT’s extensive exploration and production activities across offshore platforms and processing facilities. As a leading logistics provider specialising in the oil, gas and energy sector operations, Blue Water Shipping brings a wealth of experience and globally.”
With over 2,500 employees at 80 offices around the world, Blue Water was able to deliver local expertise while leveraging its global capabilities and strong international track record of delivering end-to-end supply-chain solutions.
Blue Water Shipping general manager Ian Seejagat said the company was committed to delivering sustainable energy logistics.
“We are honoured to partner with bpTT and contribute to the advancement of the region’s energy sector with a Best-in-Town approach. Our team of local experts is committed to delivering innovative, reliable and environmentally responsible supply chain solutions that supports critical infrastructure development and drive operational excellence.”
The company intends to be a trusted logistics partner in the Caribbean’s evolving energy landscape.
“We want to be Best in Town – meaning the best, local freight forwarder in the business areas we operate – whether the assignment is local or global.”
BP confirms plans to decommission TRAIN 1
Mar 11, 2025
Shareholders of restructured Atlantic LNG agreed to separate Train 1 from the rest of the Atlantic facility in preparation for its permanent shutdown, according to the bp annual report.
“The Atlantic Train 1 plant has not been operational since 2020. Atlantic shareholders, bp, Shell and the National Gas Company of Trinidad & Tobago, agreed to decouple the Train from the rest of the Atlantic facility with a view to decommissioning it.
The Train has been made safe and decoupling and decommissioning work scopes are being planned.
In 2023 bp, Shell and NGC agreed to and executed the agreements for the restructuring of the ownership and commercial framework of the Atlantic LNG facility. The new ownership and commercial structure have been agreed for Trains 2 and 3 and took effect from 1 October 2024.
Train 4 (T4) contracts expire on 1 May 2027, at which time, T4 will be rolled into the restructured arrangement.
bp’s shareholding averages 43% across the two companies which own the LNG trains comprising the LNG facility.
In its 2024 annual report, released on March 6, BP stated that the restructured ownership and commercial framework of Atlantic LNG allows for “an intensified focus on operational efficiency and reliability and provides the certainty required for sanctioning the next wave of upstream gas projects.”
The total gross capacity of the LNG trains 2, 3 and 4 is approximately 12 million tonnes per annum.
The Four Trains
“Train 1 officially began commercial operations on March 13, 1999, becoming the first LNG facility to operate in the Atlantic Basin and the second in the Western Hemisphere.
The first shipment of LNG left Trinidad and Tobago on May 1, 1999, bound for Boston, Massachusetts. Train 1’s ownership was divided as follows: Shell – 46%, BP – 34%, NGC – 10%, and China Investment Corporation (CIC) – 10%.
Trains 2 and 3 are characterized by an identical design, footprint, and capacity. Trains 2 and 3 supply approximately 12,000 barrels of NGLs to Phoenix Park Gas Processors Limited (PPGPL) under a long-term agreement. Train 2 ownership was split between Shell 57.5% and BP 42.5%.
“At the time it was constructed in 2005 and for the first few years of its operation, Train 4 was the world’s largest LNG train, with a capacity of 5.2 million tonnes of LNG per annum. Train 4 began commercial operations on May 1, 2007 and supplies NGLs to Phoenix Park Gas Processors Limited (PPGPL) under a long-term agreement. Train 4 ownership was as follows: Shell 51.11%, BP 37.78%, and NGC 11.11%.
In 2018, the Government initiated discussions with bpTT and Shell T&T to explore the possibility of restructuring Atlantic LNG.
CIC, which holds an equity interest in Atlantic LNG Train 1, did not actively participate in restructuring negotiations but engaged in discussions with shareholders and the Government.
In March 2019 the shareholders of Atlantic LNG signed a letter of intent to discuss with Government the restructuring of Atlantic LNG. In February 2020 the shareholders submitted a proposal to Government to commence negotiations on a Heads of Agreement which was to be followed by definitive agreements. Train 1 was operational until the fourth quarter of 2020. In October 2021 NGC stated,
“NGC was in a position where there were firm upstream commitments to take the gas, but there was also great uncertainty regarding downstream demand for 2021 due to ongoing negotiations with several large petrochemical consumers.
Closure of negotiations was exacerbated by fears of a second and third wave of COVID impact on industrial demand. Throughout 2020, due to COVID impacts and resulting depressed commodity prices, several downstream plants made the decision to shut down operations, at least temporarily, rather than accept natural gas. This resulted in losses for NGC .
Throughout 2020, plans were already in place for Train 1 to undergo a TAR in Q4 2020 but this was paused given uncertainty in the gas supply situation. Atlantic advised that the only available timing to execute the TAR on Train 1 was January 2021, should it be necessary to keep the train in readiness if gas became available for processing at the plant. If that maintenance did not take place by January 2021, the next available window would be August 2021 given that there was already planned maintenance scheduled for the other trains.”
NGC remitted $224 million to Atlantic for Train 1 2021 expenditure including turnaround (TAR) costs.
“There was a real prospect to earn value through a refurbished Train 1 and a high probability at the time to be able to utilise gas that NGC already paid for by diverting volumes rejected by the downstream as they were seeking contract terms that were uneconomical to the Company,” then NGC chairman Conrad Enill stated.
NGC stated that in consultation with the government the decision was made to cover the entire cost for the maintenance of Train 1 but would be entitled to 100% of the LNG produced to cover the Train 1 costs, which would have given NGC the opportunity to recover all costs and make an upside margin given the uptick in LNG pricing in 2021.
Turnaround at Train 1 was completed but the facility was unable to resume operations. Upon completion of maintenance work, Atlantic informed NGC there was a process safety issue that needed to be resolved before the plant could start production. With other planned turnarounds and COVID restrictions, this delayed the window to start up Train 1.
At that same time, global commodity prices were on the uptick, resulting in the downstream companies seeking to reach agreement with NGC to receive gas volumes for the longer term. NGC remained focused on reaching mutually acceptable economic terms with the downstream companies in 2021.
The new circumstances for the downstream also meant the volumes of gas that could have potentially been diverted to Train 1 were no longer available. NGC said closing Train 1 at a time of complex and sensitive Atlantic unitisation negotiations would have placed the government and NGC’s equity in a disadvantageous position over the long term, given the strategic importance of the Train as a revenue generator for the country.
It would have also meant possibly losing valuable capacity for the future forever, or alternatively all shareholders having to pay hundreds of millions of dollars to either preserve the Train for the long term or decommission the plant permanently.
On December 5, 2023, the government , NGC, bpTT and Shell T&T Ltd, finalised the new unitised commercial structure for Atlantic LNG.
After five years of active negotiation and planning, the threshold was crossed when the shareholders settled on an agreement that will govern the restructure and harmonisation of the commercial terms across Atlantic’s Trains 2/3 and 4. The restructure positions Trinidad and Tobago to profit more from the LNG business, as NGC will have increased equity in the facility.
Under the new commercial structure of Atlantic, NGC—through its shareholder company, NGC Trinidad and Tobago LNG Limited (NGC LNG)—acquired a 5.7% shareholding interest in Trains 2 and 3, effective October 1, 2024. This stake will further increase to 10% in May 2027 when Train 4 is incorporated into the new commercial arrangement.
Shell and BP each hold an equal 45% stake. Last year NGC shipped its first two cargoes of LNG from Atlantic’s Trains 2 and 3 since the commercial restructure of Atlantic in December 2023. The shipments left Atlantic’s facility in Point Fortin on November 26 and December 6 2024, bound for Italy and Egypt respectively.
Touchstone adjusts approach to reserves as gas estimates decline
7 March 2025
Canada-based Touchstone Exploration reserves report marks a notable shift in its assessment of Trinidad operations. Revised estimates show a reduction in natural gas reserves and a stronger focus on crude oil production. An independent evaluation by GLJ Ltd for the year ending December 31, 2024, published on March 6, valued the company’s total proved plus probable (2P) reserves at approximately US$671 million in future net revenue before tax – an eight per cent decline from the previous year. President and CEO Paul Baay attributed the decrease partly to a change in reserve calculation methodology.
“The estimates for this year incorporate a material balance assessment based on the data collected at Cascadura. This approach, compared to the previous volumetric interpretation, aligns reserve estimates with our forecasted production curves.”
The company reported a 14 per cent decline in proved reserves to 29,070 Mboe (thousand barrels of oil equivalent) and a 26 per cent drop in 2P reserves to 50,063 Mboe, owing largely to technical adjustments at Cascadura. Crude oil reserves increased, however, supported by discoveries at Cascadura-3ST1 well and development activities at the WD-4, WD-8 and CO-1 blocks.
Despite the adjustments, Touchstone maintained a producing reserve life index of 8.7 years for 1P reserves and 12.9 years for 2P reserves. The company highlighted new opportunities, particularly in its planned expansion of oil drilling in the Rio Claro block.In 2024, Touchstone completed the Cascadura C pipeline and facility expansion, increasing processing capacity.
The company brought the Cascadura-2ST1 and Cascadura-3ST1 wells into production, contributing to strong fourth-quarter production of 5,287 boe/d (barrels of oil equivalent per day) and an annual average net production of 5,734 boe/d.
Touchstone continued its crude oil development activities, including drilling the CO-374 and CO-375 wells in the CO-1 block.Cascadura-3ST1 was shut down for 13 days in January as a drilling rig was relocated. Drilling at Cascadura-4 was suspended due to a mud pump failure. A replacement pump is expected to arrive in Trinidad by mid-March, after which drilling will resume.
Revised reserve figures identify production and technical adjustments.The company’s 1P net present value discounted at ten per cent (NPV10) fell by five per cent to $354.4 million, while the 2P NPV10 declined by eight per cent to $671 million.
The year-end reserves report does not yet account for Touchstone’s acquisition of Shell Trinidad Central Block Ltd, which provides access to the liquefied natural gas market. A separate reserves evaluation is expected once the deal is finalised.
Despite declines in gas reserves, the company maintained its development plans, supported by a total forecasted capital expenditure of approximately $124 million for 1P reserves and $203 million for 2P reserves over the coming years.
Future investments will focus on optimising production, expanding infrastructure and developing additional oil drilling locations in key blocks.
Proved developed producing (PDP) reserves were reported at 6,836 Mboe, while developed non-producing (DNP) reserves stood at 1,232 Mboe.
Baay said with current infrastructure, the company remains positioned for efficient and cost-effective future development. Ongoing development of Cascadura and related fields will continue to support the transition from an exploration-driven company to one focused on stable production growth.
Realised after-tax 1P NPV10 of $178.8 million represented a seven per cent decline from the prior year, while the after-tax 2P NPV10 fell by ten per cent to $308.5 million.
Future drilling, optimisation efforts and infrastructure investments aim to expand crude oil production and enhance operational efficiency. With an extensive pipeline network, Touchstone is well-positioned to pursue more oil and natural gas opportunities. The upcoming reserves evaluation of its Shell Trinidad Central Block Ltd acquisition is expected to provide further clarity on its long-term production potential.
TTEITI: Energy industry at a crossroads

An aerial view of bpTT’s Galeota Expansion Project. -Photo courtesy bpTT
In its State of the Extractive Sectors report 2024, TT Extractive Industries Transparency Initiative (TTEITI) says the energy industry is at a crossroads, with a 15 per cent decline in oil revenue projected for 2025 to $14.174 billion from the $16.709 billion generated in 2024. Projections are based on a decreased oil price assumption with the price per barrel sinking to US$77.80 from the 2024 price of US$85.
The report also noted a 33 per cent decline in royalties from gas taxation.
“Royalties declined by 20.92 per cent, from TT$3.8 billion in 2022 to approximately TT$3 billion in 2023. For fiscal year 2024, the government received around TT$2 billion in royalties, with the three largest contributors being bpTT, Heritage and Perenco, paying approximately TT$1 billion, TT$712 million and TT$128 million respectively. In quarter one of fiscal 2025, the government received TT $555 million in royalties with bpTT and Heritage, paying approximately TT$315 million and TT$165.5 million respectively.”
Production-sharing contracts (PSCS) share of profit, which outline the various fees, levies and contributions that operators must pay to the government declined by 50 per cent.
“From 2014-2024, the government collected TT$44.29 billion in PSC profit shares and paid TT$29 billion in taxes from these profits on behalf of PSC partners to the Board of Inland Revenue (BIR). Between fiscal year 2022 and fiscal year 2023, PSC profit shares declined by 12.5 per cent from TT$9.6 billion in 2022 to TT$8.4 billion in 2023. For fiscal year 2024, the profit share received was TT$4.4 billion, with Shell and NGC being the largest contributors paying TT$2.2 billion and TT$866.7 million respectively. In Q1 of fiscal 2025, the Government received TT $896 million in PSC share of profit with Shell, EOG Resources and NGC, paying approximately TT$471 million, TT$236 million and TT$177 million respectively.”
The effects of these declines are far-reaching, affecting key components of the economy, especially foreign exchange. UWI economist Dr Vaalmikki Arjoon explained this impact at the private-sector session on forex matters at the TT Chamber of Industry and Commerce on February 17.
“Exports are what primarily bring foreign exchange into the country and the bulk of our exports primarily come from the energy sector.
Unfortunately, within the last decade, oil and gas production dropped by about 38 per cent and LNG (liquefied natural gas) production would have dropped by about 50 per cent.
Naturally, that caused our current account to shrink. Our energy revenues would have fallen within that time by about 53 per cent and our current account would have taken a drastic hit.”
As explained by the Central Bank, the current account shows flows of goods, services, primary income and secondary income between residents and non-residents.
“Between 2011 and 2015 the annual average of the current account surplus was about US$4 billion and that’s since dropped. The annual average between 2016 to 2023 has been about US$1.6 billion…We are lucky that the current account still maintains a surplus. There are inflows of US dollars coming into the country but that has since dwindled substantially. So on the US side, our inflows have fallen but demand still continues to be very high and continues to grow.”
Arjoon said despite TT’s being an import-intensive economy that relies heavily on foreign exchange, especially in the manufacturing and retail sector, that is not the only cause of increased demand.
“Since covid, international prices have gone up quite substantially in many instances. ..periodically, shipping costs tend to go up as well and we have to pay it in US dollars. And now with the looming trade wars, prices are going to go up yet again. So things are going to be more expensive to import. And , given the necessity of imports , we’re going to end up paying a higher price. So that demand for foreign exchange is likely to rise even further in the short term.”
Arjoon said to mitigate the effects of these decreases, the government has been supplementing foreign exchange reserves by borrowing on the international market and withdrawing from the Heritage and Stabilisation Fund (HSF). TTEITI report says the HSF serves as a cushion to keep the country steady in economic crisis and as a savings fund for future generations. The fund’s total assets value declined from US$5.89 billion to US$5.76 billion in the second quarter of 2024. During this time the government withdrew US$209.5 million.
“Assessing the fund’s performance necessitates a look at both global trends in inflation, interest rate adjustments and how these impact market confidence and the trajectory of oil and gas prices. In 2022 and 2023, buoyed by a surge in prices due to the Ukraine War, the Government made its first deposits into the fund since 2013. Based on the data available this calls for a deeper look at historical budget assumptions and actual prices as well as the rules for both deposits and withdrawals.”
Another issue is how the fund incorporates revenues from different sectors of the energy value chain.
“TT has an integrated gas value chain with upstream companies exploring for and producing oil and gas, midstream companies processing, transporting and marketing gas and downstream companies using gas as a fuel and feedstock for petrochemical production.
“Based on data from the Gas Master Plan, between 2009 and 2014, these midstream and downstream companies contributed TT$31.2 billion in corporation taxes. Taking the contribution of these companies into account, there is an opportunity to buttress the fund, especially when petrochemical prices are high. This may require restructuring the existing formula or developing an entirely new formula, with the petrochemical sector in mind.”
This also applies to foreign exchange, as tax remittances from energy companies play a major role in the foreign-exchange supply. While upstream companies pay remittances in US currency, midstream and downstream companies do not. This provides an opportunity for the government to re-evaluate the foreign currency inflows of the energy industry.
“Addressing the forex issue requires a well-defined strategy to optimise the sector’s US-dollar inflows.”
Revenues fall, oil spills rise
Feb 11, 2025
The Trinidad and Tobago Extractive Industries Transparency Initiative (TTEITI) reported that government revenues declined year over year between 2023 and 2024, as royalties fell by 33% and the production sharing contract (PSC) share of profit dropped by 50%. 52 oil and gas firms, including 7 State-owned enterprises (SOEs), participated in the reconciliation exercise, contributing a reconciled total of $31,063,135,040 in payments to the Government for 2022. The Independent Administrator (IA) identified a variance of $7.7 million between the payments reported by oil and gas companies and the actual receipts by the Government. The report attributed this discrepancy to foreign exchange (forex) fluctuations.
Amid ongoing foreign exchange shortage, major oil and gas companies paid a total of US $7.4 billion to the Government between 2015 and 2022.
BPTT achieved a substantial spike in payments in 2015 and 2022, contributing to a total surpassing US$2.5 billion that year, with declining contributions in subsequent years.
Shell displayed sharp increases in 2019 and 2022, significantly impacting the total for that year, which again exceeds US$1.5 billion. Other companies, such as EOG and NGC, maintain relatively consistent but smaller contributions across the years, with a total of US$1.3 billion and US$1.5 billion respectively. BHP/ Woodside’s payments range from US$4.2 million to US$154 million over the period. The total payments trend highlights a fluctuating pattern driven by significant surges in specific years, heavily influenced by BP and Shell contributions.
While midstream and downstream companies currently do not remit their taxes in US currency, the Minister of Finance, in the budget, signalled an intent to amend existing legislation to mandate these companies to pay tax obligations in US dollars.
Based on data from the Gas Master Plan, between 2009-2014, midstream and downstream companies contributed $31.2 billion in corporation taxes. By ensuring these companies pay in US$, the Government will be adding to the forex pool.
Between 2016 and October 2024, 1,592 oil spills occurred , with 74% on land. The most affected onshore areas included
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- Forest Reserve,
- Fyzabad;
- Los Bajos,
- Palo Seco;
- Santa Flora;
- Grand Ravine;
- Guapo; Point Fortin;
- Cedros; and
- Icacos.
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Between 2022 and 2023, a general uptick in the total number of spills was reported , with 189 on land and 113 at sea, marking a 5.96% rise from 2022 to 2023. The Ministry of Energy sets the volume threshold for reporting a spill at one gallon, equivalent to one barrel of oil (42 gallons).
Over the 2016-2024 period, 91,758.84 barrels were spilled, with 83,514.63 barrels recovered. This translates to 3.8 million gallons spilled and 3.5 million gallons recovered. The monetary value of oil spilt during this period amounted to $3.5 million (net, after deducting recovered barrels) and $32.5 million (gross, without deduction of recovered barrels).
The Ministry of Energy intends to enhance its spill monitoring capabilities by acquiring early detection radar systems.
During his keynote address on the first day of the Energy Conference, Prime Minister Dr Keith Rowley stated that Trinidad and Tobago’s energy sector is the most transparent in Latin America and the Caribbean and the fourth most transparent globally.
“As a Government we are committed to accountability and transparency in our actions. It is as a result of Government’s commitment to good governance that the TT Extractive Industries Transparency Initiative in its latest publication reported that Trinidad and Tobago Energy Sector is the highest transparent energy sector in Latin America and the Caribbean and the fourth most transparent globally.
“We are very proud of this record and will not easily allow misinformation, whether from local or foreign sources, to tarnish our good work and good name. In 2018, at the “Spotlight on Energy” forum, we informed the national community of the actions that we planned to take to revitalise the energy industry, and we delivered. Now I can leave you in the good hands of our industry and our government.”
Both Government and the Energy Industry have a role to play in combating climate change.
“The integration of adaptation planning and implementation of strategies aimed at the mitigation of greenhouse gas emissions will reduce the industry’s exposure to carbon transitional risks. It is, therefore, important for the Government and Industry to collaborate on greenhouse mitigation measures to ensure that the financial benefits derived from upstream and downstream sectors are not eroded by carbon pricing mechanisms.”
Rowley highlighted the Government’s commitment to accountability and transparency in its actions.
“It is as a result of the Government’s commitment to good governance that the TT Extractive Industries Transparency Initiative in its latest publication reported that T&T Energy Sector is the highest transparent energy sector in Latin America and the Caribbean and the fourth most transparent globally. We are very proud of this record and will not easily allow misinformation, whether from local or foreign sources, to tarnish our good work and good name.”
The domestic energy industry is experiencing a resurgence fuelled by a new wave of exploration and development activity. Ongoing activities in the upstream sector, encompassing onshore, shallow water and deep-water regions in T&T, as well as the cross-border marine area in Venezuela, are unparalleled and augurs well for the future of the industry.
“It speaks volumes to this Government’s unwavering commitment to place the energy sector on a sound footing and as well as the confidence that stakeholders have had in measures taken by Government to turn around the industry. Therefore, as I depart from the office, I feel a sense of achievement in having my team address the challenges we encountered upon my arrival in 2015, and I am optimistic about the future of the energy sector, which is in good hands.”
Major oil companies paid US$7.4B between 2015 and 2022
Mar 11, 2025

Oil, natural gas and petrochemicals, historically accounted for about 80% of export revenues. While these payments significantly contribute to government revenue, a portion is paid in foreign currency. Between 2015 and 2017, the global decline in oil prices led to reduced revenues. The government acknowledged the need for diversification to mitigate dependency on energy exports. This prompted initiatives to encourage investment in non-energy sectors, aiming to create a more resilient economy and reduce vulnerability to fluctuating energy prices.
The government launched Vision 2030 in 2016 as part of its long-term plan to transition towards a more diversified economy. It emphasised development of manufacturing, tourism, agriculture, and information technology to reduce dependence on oil and gas revenues. The vision aimed to create sustainable economic growth, generate new employment opportunities and improve overall economic resilience amid global energy market fluctuations.
Two years later, oil and gas prices stabilised, resulting in a moderate recovery of forex earnings. Initiatives were also introduced to enhance production efficiency and attract foreign investment in the energy sector. These efforts aimed to bolster energy production while ensuring that Trinidad and Tobago remained competitive in the global market.
Between 2021 and 2022, as the world recovered from Covid-19-related delays, global energy demand surged, bolstering forex reserves.In late 2023, T&T renegotiated contracts related to its flagship project, Atlantic LNG, increasing government revenue from liquefied natural gas (LNG) exports.
The new terms allowed LNG cargoes to be sold at 15% to 55% above the Henry Hub benchmark, ensuring greater returns compared to previous agreements. This revamp allowed T&T to maximise returns from its natural gas resources when global LNG demand remains strong.
The government also launched an auction for deepwater oil and gas exploration to ensure sustained energy output. Projects like Shell’s Manatee and BP’s Cypre are anticipated to enhance gas supply by 2028, further strengthening forex earnings.
TTEITI reported that bpTT had a substantial spike in payments in 2015 and 2022, contributing to a total surpassing US$2.5 billion that year, while subsequent years saw a decline in its contribution.
“Shell displays sharp increases in 2019 and 2022, significantly impacting the total for that year, which again exceeds US$1.5 billion. Other companies, such as EOG Resources and the National Gas Company (NGC), made relatively consistent but smaller contributions, totalling US$1.3 billion and US$1.5 billion, respectively. BHP/Woodside’s payments range from US$4.2 million to US$154 million over the period.”
The total payments trend highlights a fluctuating pattern driven by significant surges in specific years, heavily influenced by BP and Shell contributions.
“Over the eight-year period reviewed, 2022 and in some cases 2015, coincided with the highest USD payments received for the companies. This is attributed to higher commodity prices in 2022 despite lower production levels, compared to 2015, which saw increased production but lower prices.”
Energy companies contribute to forex availability because T&T has an integrated gas value chain with upstream companies exploring for and producing oil and gas, midstream companies processing, transporting and marketing gas and downstream companies using gas as a fuel and feedstock for petrochemical production.
“Midstream and downstream companies currently do not remit their taxes in USD. In the budget, the Minister of Finance signalled an intent to amend existing legislation to mandate these companies to pay their tax obligations in US dollars. Based on data from the Gas Master Plan, between 2009-2014, these midstream and downstream companies contributed US$31.2 billion in corporation taxes. By ensuring these companies pay in US dollars, the government will be adding to the forex pool.”
TT Energy Conference 2025
February 10
Energy industry can lead fight on climate change
To many the energy industry is the biggest villain in the ongoing climate crisis. As representatives from global oil and gas companies convened at the TT Energy Conference 2025, on February 10, discussion centred around how the industry could aid climate action through decarbonisation. In 2022 the International Energy Agency reported over 36.8 gigatonnes of carbon dioxide being emitted by the energy industry alone. Decarbonisation would see a significant reduction in this number by replacing traditional methods of production with low-carbon alternatives.
“The main message I want to leave with you is that we see the oil and gas industry as part of the solution rather than the problem,” said Rodrigo Vaz, director of upstream research at S&P Global Commodity Insights.
His presentation outlined how oil and gas companies can contribute to the global shift towards low-carbon energy while advancing the energy industry.
In assessing how they can achieve low-carbon goals, Vaz says one of the first steps companies can take is improving operational efficiency. Replacing equipment powered by fossil fuels with electric alternatives and effectively monitoring on-site issues such as methane leaks can catalyse major changes in operations. Pollutive practices such as flaring and venting, which involve burning or direct release of unused natural gas into the atmosphere can be curbed through more effective capturing, use and conversion of the resource.
BP reported a reduction of methane emissions from flaring and venting by using nitrogen to displace hazardous gasses. Heritage Petroleum began measuring venting and recommissioned a flare system which reduced emissions by 22 per cent. Perenco expects to reduce emissions from 70kg of carbon dioxide per barrel of oil to 25kg by 2026 with its energy-efficiency project.

Carbon capture and storage infographic
Vaz says even declining producers can help facilitate low-carbon solutions. He gave the example of North Sea oil rigs located in Norway. Although production in those rigs is declining, their infrastructure can be used to support offshore wind farms and store and transport hydrogen. The vast network of pipelines is also ideal for carbon capture and storage (CCS) which removes carbon dioxide produced by industrial processes from the atmosphere storing it deep underground.
Vaz emphasised the need for investment. Research into innovative low-carbon solutions requires funding from companies and stakeholders and in some companies, these initiatives are already underway.
Nutrien, a Canadian energy company with a base at the Point Lisas Industrial Estate, has been engaged in developing its CCS initiatives for more than a decade. Over two million tonnes of carbon dioxide have been captured and stored at its Redwater operation in Alberta and Geismar operation in Louisiana since 2018. Nutrien’s process involves enhanced oil recovery (EOR), a method which injects carbon dioxide into oil fields to increase oil production. The carbon dioxide then becomes trapped, significantly reducing emissions.
Although accessible, Nutrien petrochemical engineer Berkeley Downey says CCS projects require vast collaboration among suppliers and transporters as well as funding from the private sector and government.
“Projects like these need to be economic for each of the partners involved. So that’s the fabricators, the operators, the end users of the carbon dioxide, the mainstreamers who are transporting that carbon dioxide. And economically, the market for decarbonisation often requires support in the forms of incentives and incremental value for carbon dioxide and other low-carbon products.”
Downey says while no method of decarbonisation can apply to the entire industry there are still many innovative ways for projects to be successful even without the support of regulations.
“There are many opportunities for symbiotic relationships between the carbon generators and carbon users and I think it really shows that you don’t have to decide between sustainable development and investment in petrochemical projects. There are opportunities for both of those things to work really synergistically.”
The government has been drafting a policy on CCS and EOR to manage the implementation of a large-scale EOR project. The policy aims to increase oil revenue and address reduction of carbon emissions. The steering committee, chaired by the permanent secretary of the Energy Ministry, Penelope Bradshaw-Niles, has been reviewing the policy since 2021.
The committee of government representatives from the finance, energy, health and planning and development ministries partnered with local and international energy companies including Atlantic and Heritage Petroleum and included UWI and UTT in refining the policy details.
The policy, which advanced through three drafts and was reviewed by around 70 stakeholders, considers the financial, commercial and legal aspects of CCS and EOR projects. Aspects of the policy include creating a commercial business model for CCS projects, government support and funding and developing carbon pricing and carbon trading policy for both off-shore and on-shore operations. The policy review also involved visits to international CCS facilities to ensure the policy is up-to-date with modern technology and industry standards. The policy will be submitted to Cabinet by the end of the first quarter of 2025 with a CCS pilot project set to come on-stream upon the policy’s approval.
“Together we have been steering the efforts of the smaller work groups and we are hoping they all come together eventually to create the right environment for sustainable projects in TT.”
Echoing these sentiments was Minister in the Finance Ministry, Brian Manning, who reaffirmed the government’s commitment to progressing sustainability. At the Caribbean Green Infrastructure Conference (CGIC) 2025 on January 23, he expressed confidence in the use of similar strategies to address financial and climate issues.
Due to dependence on the energy sector, TT has not traditionally considered the use of low-carbon mechanisms for financing. That conference focused on the importance of carbon credits and green bonds which work to fund climate action.
Carbon credits are certificates that represent verified reductions in carbon emissions to which a monetary value is attached. These credits can then be traded to fund environmental projects. Green bonds work similarly; when issued by governments or corporations to raise money they fund environmental action that involves reducing carbon emissions, improving and protecting biodiversity and supporting sustainable agriculture.
“These two instruments align financial incentives with sustainability goals and bring climate action to the forefront of national and global agendas. A green future not only offers exciting opportunities for job creation, diversification, technology innovation, sustainable economic growth and prosperity.
It has become an absolute imperative if TT is not to be left behind as the world embarks on the clean energy and clean technology transition. Green bonds and carbon credits offer an innovative financial instrument to realise a green future, designed to raise funds for projects that have positive environmental impacts such as renewable energy, sustainable infrastructure, reforestation and energy efficiency.”
For these methods to make a significant impact governments and corporations must lead the way in financing projects and collaboration. Strengthened regulations and a system which classifies economic activities based on their sustainability are key components in the effective execution of climate financing. His ministry remains committed to addressing climate change, sovereign-debt issues and achieving climate policy and sustainable development objectives.
Optimism for survival of energy industry
February 12
Energy Chamber CEO Dr Thackwray “Dax” Driver was pleased at the end of the second day of TT Energy Conference 2025, the major part of the conference from February 10-12, telling energy professionals and stakeholders his thoughts on the overarching theme of the conference. He usually meditates on statements which describe the conference in a nutshell. This year he took a comment from one member during the conference.
“It starts with the quote: ‘Reports of my death are gravely exaggerated.’ It’s a quote from Mark Twain. I think that perhaps sums up my view on this conference. That the reports of the death of TT’s energy sector are gravely exaggerated.”
From the Prime Minister, to the Minister of Energy, Stuart Young and panellists, almost every energy stakeholder noted how well-developed the industry is.
Based on comments and conversations it was clear that despite criticism from different areas, those in the energy sector believe it not only has life but is poised to flourish in a few years. A confident Young, in his keynote on February 10, said TT’s activities in the exploration and production of crude oil and condensate are anticipated to see growth.
He shared statistics saying as of 2024 TT produces an average of 50,357 barrels of oil per day but expects a leap to 81,773 barrels a day in the next three years.
“The increase in production will be driven substantially by the increase in condensate, primarily from bpTT’s Cypre and Ginger gas fields.
bpTT’s joint venture with EOG in the Mento and Coconut gas fields will add to condensate production.

Energy Chamber CEO Thackwray Driver & bpTT president David Campbell
Natural-gas condensate or natural-gas liquids (NGL), is a low-density mixture of hydrocarbons present in the raw natural gas produced in many fields. Oil production will increase owing to Heritage’s new drilling projects and workovers (replacing hardware to extend the life of oil wells), with a four-well drilling campaign for the Soldado East field, offshore the southwest coast of Trinidad. Oil was first discovered there in 1953 and first production began in 1957.
Perenco is expected to increase production with its new 37 km, 10-inch pipeline from the Teak Alpha, a platform in the Teak field off Trinidad’s southeast coast.
“We have also been putting pressure on Heritage to partner with those companies in the industry that have the ability, experience, equipment, wherewithal and appetite to drill and produce oil.”
An outlook by energy research and business intelligence company Rystad Energy indicated that investment in deep-water projects was expected to increase by three per cent, with Guyana, Suriname, Mexico and Turkey propelling the growth in investments. Global demand for liquids is expected to increase to one million barrels a day.
NGL and other liquids are expected to contribute an additional growth of over 300,000 barrels per day next year. This demand will be influenced by significant technological and fundamental global trends expected to affect the international energy markets in the upcoming year.
Dr Rowley, in his keynote speech on February 10, highlighted that the oil and gas industry remains a cornerstone of the global energy supply, with US-based consulting and strategy firm Mc Kinsey and Company projecting oil, natural gas and coal to continue to play a significant role in the world’s energy system up to the year 2050. Investment and capital into fossil fuels would be needed for at least the next decade to ensure that the global energy system keeps up with growing demands.
Offshore drilling in particular is projected to play a significant role in global energy supply. Next-generation drilling platforms will offer faster set-up and fewer emissions.
Global investment in offshore drilling is projected to increase from US$43 billion in 2025 to US$ 64 billion by 2030.
“One notable trend in the ongoing offshore revolution is a large increase in deep-water and ultra-deep-water drilling.”
TT is pouncing on this opportunity, officially launching its deep-water bid round on the first day of the conference. Permanent secretary in the Ministry of Energy, Penelope Bradshaw-Niles, in a presentation said there were 26 blocks for bid in deep-water regions off the northern and eastern coasts of TT. Rowley said,
“As it stands TT’s deep-water province is largely unexplored, but coming into view. We stand to gain from the increase in exploration in deep water, globally.”
Country manager of Woodside Energy Kellyann Lochan indicated new challenges as TT embarks on deep-water exploration. Higher risks may require higher gas prices and longer contracts to justify investments.
“In shallow water, about 30 metres to a few hundred metres water depth, there are lower development costs and lower operating costs. This is because in shallow water you are benefiting from fixed platforms and usually extensive pipeline infrastructure.
These reservoirs are predictable, well understood and usually mature oil and gas fields. In contrast in deep water, which is 400 metres and ultra-deep water which is upwards of 2,000 metres depth, there will be a lot more capex, a lot more development costs and a lot more operating costs.
This is generally because of complex drilling, the need for sub-sea infrastructure in some cases and the need for floating production systems – much more expensive than fixed facilities. Generally these developments overall have more complex sub-surface risks and operability risks.”
The ease of doing business in TT’s energy sector is quite high, according to senior vice president and country chair of Shell TT Adam Lowmass.
“From a regulatory environment and ease of doing business perspective, TT is up there with some of the best places I’ve ever had the opportunity to work in. Over the last couple of years, being able to partner with members of this community as well as the government regulators, I think the ease of doing business is quite high in comparison to other places.”
While there may be a need to address challenges in meeting costs of doing business, TT cannot stay still as it continues to think about investing in the future of the industry and the country.
“We have heard a number of people talk about the change in the energy mix, the change of the type, size and location of reservoirs, so the need to change and evolve the regulatory and the different ways of doing business are paramount.”
He lauded the government and supporting agencies such as the Environmental Management Authority (EMA) for having a sense of continuous improvement.
“There really is a desire to learn, evolve and transform the way that they enable us to do our work. That is going to be important as we go through changes in the way business is being done.”
David Campbell, the bpTT president, in a panel discussion on investing in the energy sector, said TT should have more confidence in its capabilities because it has a lot going for it. TT needs to accelerate its pace of development to become more competitive.
“We are competing with other potential investments around the world, but would have a lot more confidence in TT.
“We have 50-60 years of experience working offshore, a very good track record, some of the greatest geology and we have great people at bp and other service companies and other producing companies. That should give us the confidence to go forward. We really need to move quicker.”
Admitting that the oil and gas giant is as much at fault for the pace of production as other stakeholders, he noted that the balancing act between accelerating growth and mitigating risk is something that bpTT continually works on.
“One of the things we work on within our company is to make sure the rules and checks that we have are equal to the risks.”
He said investments into deep water exploration and production will be higher and so too will be the risks, but for smaller pockets in the nearshore and onshore faster action has to be taken. He lauded the government’s efforts in shortening the timeframe for approvals for production sharing contracts and downstream companies for innovation and the development of technology in the sector. Foreign investment must see aggressive progress.
“You need to see drilling rigs, you need to see work going on.”
Decline in production is normal and gas reservoirs can deplete at a rate of about 20 per cent a year if all a company does is produce from that field. Adding reserves and continual exploration is needed to offset the decline.
RBC Financial CEO Darryl White noted that local investment is high but some people may only consider financial capital as capital investment.
“One of the myths we have to bust is that there isn’t a lot of capital in the TT energy industry but there actually is quite a lot. Once it was just people renting houses to expats. When energy companies, the large ones for instance, rent buildings, employ people, there is so much going on that has capital being invested.”
Rowley was one of the first to express this confidence in the energy industry, even as he reminded the audience of his impending exit from politics. He said TT’s energy sector is seeing a resurgence through the new wave of exploration and development activity.
“The ongoing activities in the upstream sector, encompassing onshore, shallow water and deep-water regions in TT, as well as the cross-border marine area in Venezuela, are unparalleled and augurs well for the future of the industry. It speaks volumes to this government’s unwavering commitment to place the energy sector on a sound footing as well as the confidence that stakeholders have had in measures taken by the government to turn around the industry.
Therefore, as I depart from office I feel a sense of achievement in having my team address the challenges we encountered upon my arrival in 2015 and I am optimistic about the future of the energy sector.”
Heritage to maximise mature fields
2025, 02/12
Heritage Petroleum CEO Erik Keskula told a panel at the T&T Energy Conference, asset improvement is needed for the company to get the most out of its mature fields. Innovation and technology can be used to access such improvement.
“Utilising things like wireless and remote monitoring to reduce the mean time to respond when a well goes down or a facility goes down, but working closely with the members of the community, partnerships with our service companies to do that and these assets, actually have some advantages.”
When working in these mature areas there are two advantages. One, Keskula identified is being a bridge to big projects as the existing infrastructure is already in place.
“So I can be faster to get my oil online in those mature areas.
Secondly, the capital has already been spent for that infrastructure so they tend to be less capital intensive, meaning the economics can look a little bit better and be delivered faster.”
As work continues to improve, recovery factors with technology and modernisation, there remains real opportunity to leverage those mature fields to be “the bridge for the big projects on the horizon.”
Also on the panel was Touchstone’s President and Chief Executive Officer, Paul Baay, who said taxes remain a huge burden for energy companies wanting to do business in T&T.
“When you think about 12 and a half per cent royalty on oil and there is SPT (Supplemental Petroleum Tax) and that is another 18 and half per cent royalty when oil gets over US$75 a barrel.
We got a Green Fund Levy of about five per cent (0.3 per cent of gross income) and then a corporate tax rate that can be up to 55 per cent after all of that. You pile all of that on top of each other it gets to a very very big number.”
Baay added that a mature basin means there ought to be a different incentive.
Mala Baliraj, chair of the Energy Chamber of T&T, noted that the industry is rapidly changing and the skills needed in the sector are being transformed through digitisation, automation and artificial intelligence.
She advised there must be greater focus on programmes that invest heavily in training new young people entering the industry, as well as retraining the existing workforce. The issue of improving the ease of doing business is also crucial to create the climate for investment in production, decarbonisation and people.
Engaging US on energy projects
February 10
In the keynote address at the TT Energy Conference 2025, the Prime Minister said the government intends to engage the Donald Trump US administration on the importance of several energy projects, including the Dragon and the Manakin-Cocuina Projects, not only to TT, but also to regional energy security, a major issue for the majority of countries, with oil and gas accounting for 60 per cent of the energy needs of the region.
There is an opportunity for the petroleum-producing countries in the region to pool resources and optimise monetisation using existing infrastructure to the benefit of the resource owner and wider community.
As a region susceptible to the effects of climate change, pooling of resources could help reduce the region’s carbon footprint.
“It is this principle that governs economic co-operation between TT and Venezuela and which we have extended to Guyana, Grenada, Suriname and Barbados, Caricom partners with whom we have signed a MoU (memorandum of understanding) to facilitate future cooperation and collaboration in energy matters.
Our energy assets, comprising LNG assets, ten ammonia plants and eight methanol plants, are not all operating at full capacity due to gas constraints.”
It had been confirmed for decades that Venezuela and TT had shared gas fields on the border. According to standard procedures, the initial approach was to try to facilitate joint exploitation of those reserves.
For 15 years, TT pursued that exercise, but it did not bring the country closer to getting gas to shore. Government had to act, considering declining TT reserves became more critical.
The government approached the Government of Venezuela with a proposal to have both countries abandon the unitisation approach to exploiting cross-border fields. By obtaining early agreement on this idea, it opened the door for swift access to the Loran-Manatee field followed by other similarly placed deposits.
The government, with the support of Caricom and the Dominican Republic, also simultaneously requested a review by the US Government on the sanctions on the Dragon gas Project. After discussions and negotiations with US government officials, the US Office of Foreign Assets Control (OFAC) approved a request by TT to waive ongoing sanctions against Venezuela to allow for the development of the neighbouring Dragon gas field.
This was followed by a 30-year licence between Venezuela and TT that grants selected operators, Shell and NGC, the right to produce and export gas to TT. In May 2024, the government received an OFAC licence to pursue, with Venezuela, the exploitation and development of hydrocarbon reservoirs of the Manakin-Cocuina Field.
The exploration and production companies have been undertaking preparatory work to bring Manakin-Cocuina and Dragon Projects, which cumulatively possess 5.2 trillion tcf gas, on stream in the shortest interval.
TT and Venezuelan governments and their energy stakeholders have made great strides in advancing the development of both the Dragon Project and the Manakin-Cocuina Project.
The Russian-Ukraine conflict caused changes in oil and gas prices.
“Geopolitics can work for you or against you. In 2022 due to the Russian- Ukraine conflict Henry Hub gas price averaged US$6.45 per mmbtu as compared to US$3.83 per mmbtu in 2021 and the WTI oil price averaged US$94.53 per barrel as compared to US$68.17 per barrel in 2021.
This positively impacted our energy revenue. The sanctioning of the Loran-Manatee and Dragon projects was not in our best interests. The 2018 US decision denied TT access to the Dragon gas field, which was projected to come on stream in 2020 and sterilised Loran- Manatee project.”
He was referring to the joint venture project – the Loran-Manatee and the Venezuelan Dragon Gas field – that was sanctioned for development and monetisation in TT.
In 2018, a term sheet was finalised for gas to be supplied from the Dragon field and a development plan for the Loran- Manatee field was being prepared by the exploration and production companies.
However, both initiatives were curtailed owing to sanctions imposed by the US Government, which blocked US companies from doing business with Venezuelan state energy company, PDVSA.
Refinery negotiations
February 10
In his keynote at the TT Energy Conference, the Prime Minister announced that by the end of the month, negotiations for bids for the Petrotrin refinery are expected to be completed and shortly after, an announcement will be made of the selected company.
Initial bids were unsatisfactory and aborted. After reviewing its criteria, expressions of interest were re-invited for the sale or lease of the refinery and its ancillary assets.
“The expressions of interest were evaluated by an evaluation committee of industry professionals from whose recommendation three companies were shortlisted. The next phase of the process comprises submission by the companies of firm proposals and negotiations with the evaluation committee for the selection of the most suitable company. It is anticipated that the negotiations will be completed before the end of February 2025.”
After closure of the refinery in November 2018, Patriotic Energies, owned by the Oilfield Workers’ Trade Union and unnamed international investors were among those interested in acquiring or operating the refinery. Explaining why the refinery was closed and Petrotrin restructured, he charged that production levels in its mature fields were plummeting.
“It was overburdened by huge, accumulated debt and the most favourable forecasts were for ongoing billion-dollar losses, in an environment where the national treasury could not assist further without great peril to the whole economy.
Based on advice of the then board of directors and a government-appointed technical committee, the company was restructured into separate business units and the refinery was put up for sale or lease as the Government continued to keep and service upwards of US$450 million of Petrotrin debt.”
He cited performance of operating companies Heritage Petroleum Company Ltd and Paria Fuel Trading Company.
“From its inception, Heritage has been profitable, with annual net profits in excess of $1 billion for most of its short history. Its success enabled the company to contribute $ 7.75 billion towards debt service of the TPHL Group over the period 2019-June 30, 2024. Additionally, from inception to date, Heritage paid $13.33 billion in taxes and other payments to Government. Simply by changing the business model from importing and refining crude to one of producing and selling unrefined oil, we moved our bottom line from dangerous chronic losses to solid profitability.”
Paria had maintained profitability through effective cost-management measures, operational efficiencies, favourable market prices and expanding bunkering business.
“The government has been the recipient of corporation tax and green fund levy of $1.2 billion, from Paria, since the start-up of operations on December 1, 2018, up to September 30, 2024.”
Beyond the refinery, the government focused on revitalising other elements of the domestic energy sector, particularly the upstream sector. Although confidence had been restored in the industry, inertia still existed.
On March 14, 2018, at the Spotlight on Energy forum, the government outlined strategies to address gas-related issues and put the industry on a sustainable path, which included engaging major energy stakeholders.
“Through such engagement, there has been a renewed commitment by companies to deepen their investment in the domestic energy sector. Investment, which slowed due to the covid pandemic, is projected at a healthy US$10.2 billion over the period 2024 to 2027 compared to approximately US$6.0 billion for the preceding four years.”
The industry regained momentum with a suite of exploration and development activities onshore, in shallow water and in deep water, taking place concurrently. It is anticipated that the increase in upstream activity will arrest the decline and significantly improve oil and gas production.
Oando – refinery lease as ‘strategic bridge’ to Africa
March 11, 2025
Nigerian Energy Group, Oando Plc, says its selection as the preferred bidder for the Guaracara refinery will serve as a “strategic bridge” between Africa and the region.
On February 27 Energy Minister Stuart Young, acting as Prime Minister in Dr Keith Rowley’s absence, told media that Oando Plc had been selected for the lease of the refinery.
Oando confirmed that it had been formally advised in writing of its selection as the preferred bidder for the lease of the Guaracara Refining Company Limited (GRC)’s refinery assets from Trinidad Petroleum Holdings Ltd (TPHL).
“This award underscores Oando’s track record of reliability, innovation, infrastructure development and aligns with its Corporate Strategic Vision of expanding across the Caribbean region.
This partnership represents a strategic bridge as involvement in the Refinery will serve as a catalyst for deeper collaboration in the energy sector, paving the way for increased trade, investment and knowledge exchange. This initiative underscores Africa’s growing influence in the global energy landscape and highlights the role of indigenous African companies in fostering economic transformation. “
Group chief executive officer, Wale Tinubu, said,
“We are honoured by the confidence the Trinidadian government placed in us with this award. This strategic investment aligns with our long-term vision of expanding into high-potential regions and growing our operational footprint, leveraging our vast technical expertise and global partnerships to finance projects. We recognise the significance of this opportunity and look forward to working with all stakeholders to deliver maximum value for all parties involved.”
Oando said with a capacity of 175,000 barrels per day and a Nelson Complexity Index of 8.0, the Guaracara refinery is “well-suited” for processing regional crude oils and supplying both domestic and regional markets with refined products.
“The next steps in the process involve detailed discussions with the government and regulatory authorities to finalise the lease agreement and operational framework. As this process progresses, Oando PLC will continue to provide timely updates to stakeholders and the public.”
The companies whose proposals were evaluated were locally based CRO Consortium; INCA Energy LLC, based in USA, and Oando PLC, based in Nigeria.
T&T must adapt to global energy trends for long-term success
Feb 11, 2025
Prime Minister Dr Keith Rowley stressed that “geopolitics can work for you or against you” at the Trinidad and Tobago Energy Conference . T&T, as a price taker in the energy industry, has no influence on commodity markets and he highlighted the challenges in securing gas deals with Venezuela.
“Geopolitics can work for you or against you. In 2022 due to the Russia-Ukraine conflict Henry Hub gas price averaged US$6.45 per MMBtu (metric million British thermal units) as compared to US$3.83 per MMBtu in 2021 and the WTI (West Texas Intermediate) oil price averaged US$94.53 per barrel as compared to US$68.17 per barrel in 2021.
This impacted positively on our energy revenue. The sanctioning of the Loran-Manatee and Dragon projects was not in our best interests. The 2018 US decision denied T&T access to the Dragon gas field which was projected to come on stream in 2020 and sterilised the Loran-Manatee project,” he said.
Rowley said in 2019, the T&T Government received an agreement from the Venezuelan Government to delink the Venezuelan Loran field from the Manatee field. Following the delinking of the gas fields and the agreement between the Government and Shell on contractual arrangements for the Manatee field final investment decision was taken.
“The project is underway with production due to come on stream in 2027 at 600 million standard cubic feet (mmscf) per day. The development of the Manatee field provides a pathway for the monetisation of the Loran field with its reserves of 7.2 trillion cubic feet (tcf) of gas in the future,” he said.
While lacking control over global energy prices, T&T must enter into the most favourable pricing arrangements for the hydrocarbon resources.
“It is to this end, that in 2018 we initiated discussions with the major stakeholders, Shell and bpTT on gas-related issues. The outcome of these discussions was a commitment to continued investment in the upstream sector, the financial benefit to the State in the sum of US$1.48 billion and the restructuring of Atlantic LNG,” he shared.
Rowley said a key feature of the Atlantic LNG Agreement is the adoption of market-related pricing for gas sold as LNG. The new pricing for Train 2 and Train 3 came into full effect on October 1, 2024, and from May 2, 2027, for Train 4.
“Based on the new pricing arrangements revenue accruing to Government from the marketing of LNG is projected to increase twofold. There is also for first-time access to third-party gas. The lack of access to the LNG Trains has been an impediment in attracting new upstream operators to T&T. With this removed we anticipate a greater interest in deep-water which, due to the high cost of exploration and development requires the pricing that LNG typically provides.”
The majority of countries in the region have major issues with energy security, with oil and gas accounting for 60% of the energy needs of the region.
“There is an opportunity for the petroleum-producing countries in the region to pool their resources and optimise their monetisation using existing infrastructure to the benefit of the resource owner and wider community. As a region susceptible to the effects of climate change, pooling of resources will contribute to reducing the carbon footprint of the region.
It is this principle that governs economic cooperation between T&T and Venezuela and which we have extended to Guyana, Grenada, Suriname and Barbados, Caricom partners with whom we have signed Memoranda of Understanding to facilitate future cooperation and collaboration in energy matters.”
T&T’s energy assets comprising LNG , ten ammonia plants and eight methanol plants, are not all operating at full capacity due to gas constraints.
“We also have a mothballed and preserved oil refinery, for which bids are currently being evaluated to a conclusion. These existing international-grade investment structures are available to our Caribbean neighbours and other participants to monetise their hydrocarbon resources. Given the careful detailed work that has been concluded on our efforts to restart refinery operations, it is the expectation that Cabinet could soon be in a position to receive and sign off on the recommendations from the Technical Evaluation Committee which has been hard at work for the last few months.”
Government has always been at the forefront of change and is taking steps to ensure Trinidad and Tobago remains part of the green revolution.
“Solar energy has been identified as the leading contender for utility-sized developments.
The Solar PV project of Lightsource Renewable Global Development Limited, Shell, and BP Alternative Energy Trinidad and Tobago Ltd is scheduled to be commissioned this year with a capacity of 92.2 MW. The ministry will also be issuing RFPs (requests for proposals) for the development of designated non-utilised State lands for Solar PV Utility Projects with the potential of up to 300MW (megawatts).
As regards Hydrogen, the Ministry of Energy and Energy Industries and National Energy are developing a hydrogen pilot project which is due to come onstream in 2026,” shared Rowley.
As T&T diversifies its energy mix, there must be a cadre of energy professionals to service the industry. The University of the West Indies and the University of T&T (UTT) are taking steps to ensure that energy professionals are at the forefront of development in the transition to clean energy.
“In particular, UTT is working with the Energy Chamber and other companies on artificial intelligence-related projects under the ‘Shaping the Future of Innovation’ grant, an initiative which is a collaboration between the Government, the EU and the IDB, with CARIRI as the executing agency,” he said.
Rowley highlighted that with the acceleration of climate change, there is an urgent need for the implementation of measures to reduce carbon dioxide emissions.
“Carbon capture, utilisation, and storage technologies have emerged as critical components in the effort to reduce CO2 emissions. The Ministry of Energy and Energy Industries, in collaboration with UTT, UWI, bpTT and Shell, has undertaken a project to map and quantify the capacity of depleted hydrocarbon reservoirs and saline aquifers for the storage of CO2 or enhanced oil recovery.
In parallel with this sequestration initiative, a Cabinet Appointed Work Group is currently updating the Draft Policy on Carbon Capture and Storage for consideration and subsequent adoption in law as the Government’s policy.”
Renewable energy is central to the Government’s objective of reducing greenhouse gas emissions, however, our foreseeable future remains in the oil and gas market, as long as a market continues to exist as projected by all international experts.
“Nevertheless, it is possible to envision oil and gas production that leverages clean power to decrease costs and maximise production while reducing environmental impacts.
In the current climate, sustainability is now central to the industry’s agenda. The future will be defined by the industry’s ability to adapt to renewable energy trends while addressing its environmental challenges.
The technologies are there to enable the industry to become more efficient, and safer and to optimise resource management.
AI and the Internet of Things can reduce emissions by providing real-time monitoring of equipment and pipelines, optimising energy usage efficiency and designing effective carbon capture and storage systems.”
Expanding maritime territory for exploitation
February 10
In the keynote address on the opening day at the Energy Chamber of T&T’s 2025 Energy Conference, Prime Minister Dr Keith Rowley said Trinidad and Tobago will expand its maritime territory beyond the standard 200-nautical-mile Exclusive Economic Zone (EEZ) to exploit additional natural resources.
“Our marine area, in particular the South East Coast, has been a prolific producer of oil and gas. We are optimistic that the current exploration programmes and especially the deep-water exploration will have a similar success.
“Trinidad and Tobago, as a coastal state signatory to the UN Convention on the Law of the Sea has had the opportunity to submit a claim to enlarge its jurisdiction in the maritime sector.
We are currently seeking to delineate the outer limits of the country’s continental shelf, beyond two hundred nautical miles from which the breadth of the territorial sea is measured.”
If successful, Trinidad and Tobago will be in a position to exploit natural resources on the extended portion of its continental shelf.
Ramps Logistics: Have faith in our country
February 11
At a seminar of the TT Chamber of Industry and Commerce seminar, Shaun Rampersad of Ramps Logistics Ltd urged small and medium enterprise (SME) owners to believe that TT has a bright future, economically.
He said the tone at the opening of the Energy Conference the previous day had been optimism.
“I will say that very strongly to all of you: Even as you struggle today, better times are coming. Production in the (crude oil and natural gas) upstream sector is going to increase significantly from 2026, 2027, because of policies and the work being done by Government. A lot more will come in. Things are going to get better.”
Noting a US$35 million loan by the Development Bank of Latin America and the Caribbean (CAF) to TT to support SME development, he expected it to be repaid by anticipated future earnings from oil and gas.
“The situation will get better. Don’t give up. Keep investing in your business. And if you find an asset today that is worth a dollar and somebody is selling it for 60 cents, buy it! You will be able to make money on that. Trinidad and Tobago has a bright future ahead of us. Things will get better. So keep investing and keep you heads up.”
He said TT has incredible people and incredible industries and hailed efforts at running TT’s economy.
“The minister has done well to get us through this very difficult time.”
While more could be done about crime, people should celebrate the things that TT does well. Rampersad shared insights including hearing his father typing documents at 2 am , buying wholesale goods in Port of Spain and selling them to retailers on his long drive home. “I wonder how they did it all?” he mused.
Many SMEs in tough times at present often wonder why they were not seeing the kind of success they had expected. Rampersad said ultimate success would depend on their ability to be resilient.
“Every single large business started off small somewhere.”
Being an entrepreneur was a guarantee of facing tough times.
“I have had a support system I have been lucky to build on.”
Rampersad offering advice for entrepreneurs.
“Never do business with people whose principles you do not agree with. If we do not like you, we would not work with you.”Saying that to run a business consumes one’s life, he urged entrepreneurs to go the extra mile to find people they would want to work with.
He urged more effort for innovation, such as by companies improving processes and hiring the best staff to do more research and development. He urged business people not to get so caught up in their businesses that they forget they did businesses to maintain their families.
Defining success as a measure of whether one’s grown children want to spend time with their parents, he said business people should not just view success in terms of the performance of their business. Advocating for mentorship of SMEs, he said, “Those of us who have done well, we owe it to help others.”
NEL operating profit down 16.93%
2025, 02/25
Majority state-owned National Enterprises Ltd (NEL) recorded an operating profit of $45.5 million for its first quarter ended December 31, 2024, a decline of 16.93 per cent compared to $54.8 million for the corresponding period in the previous year.
Condensed financial statements for the three-month ended December 31, 2024 show performance was primarily driven by dividend income of $42.8 million, which accounted for 95 per cent of total dividend receipts, reflecting the continued contribution of the investment holding company’s strategic investments.
While total income declined relative to the same period last year, this was largely attributable to lower dividend income from both strategic and non-strategic portfolios.
Reduction of investment income of 10.57 per cent to $3.77 million from $4.22 million was due primarily to adjustments in the valuation of the short-term portfolio, structured to provide liquidity and support potential shareholder distributions.
Notwithstanding these shifts, chair Ingrid Lashley said total assets increased by $45 million (1.6 per cent) over the year-end balance as at September 30, 2024, reflecting the resilience of the investment portfolio and a return to profitability.
“Our strategic portfolio companies continue to demonstrate disciplined execution and operational resilience and we remain focused on navigating the evolving economic landscape to uphold sustainable profitability and shareholder value appreciation.”
Total assets amounted to $2.74 billion as at December 31, 2024, down by 17.66 per cent from the $3.33 billion reported for the period ended December 31, 2023.
Net cash position improved significantly to $75 million, representing an increase of 156 per cent from the prior period.
“This strong liquidity position underscores our prudent financial management and positions us well to pursue new strategic diversification opportunities that align with our long-term growth objectives.
We remain committed to delivering consistent value to our shareholders, ensuring timely distributions while safeguarding the integrity and performance of our investment portfolio.
On behalf of the Board, I extend my appreciation to our stakeholders for their continued trust and confidence as we execute our strategic vision with discipline and foresight.”
National Enterprises Ltd (NEL) is an investment holding company incorporated on August 27 1999 by the Government of T&T in a re-organisation exercise. NEL owns 51 per cent of the shares of Telecommunications Services of Trinidad and Tobago (TSTT), Trinidad Nitrogen Company (Tringen) and National Flour Mills (NFM).
NEL owns 20 per cent of the shares of NGC NGL Company (NGC NGL), 37.84 per cent in NGC Trinidad and Tobago LNG (NGC LNG), 33.3 per cent of Pan West Engineers and Constructors LLC and its wholly owned subsidiary, NEL Power Holdings.
The Government, via Corporation Sole, is the largest shareholder with 66.05 per cent, with National Gas Company of T&T owning 16.67 per cent.
MSJ wants clarity from Paria
2025, 02/10
Movement for Social Justice political leader David Abdulah told media the Government must provide more clarity concerning the Petrojam deal with Paria Fuel Trading Company, the state-owned fuel importer.
Abdulah criticised the Prime Minister’s response to energy expert Tony Paul’s comments on the deal, stating the geologist had a personal grudge questioning operating capacity and potential of the Petrojam refinery .
Abdulah felt the comments by the expert, which were also raised during the MSJ’s Tuesday Talks programme, deserved to be addressed properly.
“That is what we are calling upon Paria to state, we want precise information and that is what Dr Rowley should have provided. Not a personal attack.”
He listed questions,
- “How much is the actual throughput of the Petrojam refinery?
- What percentage of that is fuel oil?
- Of that fuel oil that it produces, how much of that is used within the Jamaican domestic market?
- And therefore what is available, if any, to be able to sell to Paria?
- And how much of that is very low sulphur fuel oil?”
The MSJ leader also questioned the decision to use the Petrojam refinery, noting that while the local refinery was older it had been upgraded significantly and had become a more versatile and efficient operation.
“There were constant upgrades, some of those upgrades had to do with modernising the whole control systems so instead of manual controls we had electronic controls, consolidating control rooms so operators didn’t’ have to go out on the plant and adjust valves and so on. They could do that sitting down in the control room electronically.
They did other kinds of major upgrade works to the plants including the cat cracker and others to make them more efficient,” said Abdulah, “(The Petrotrin refinery) was producing less fuel oil because it used to produce 50/55 per cent fuel oil which was the lowest value product similar to Petrojam’s refinery.”
“But the Pointe-a-Pierre refinery ended up towards the end producing 30 per cent fuel oil, 70 per cent higher value products and gasoline, kerosene and other aviation fuel and other products like that.”
He also countered Energy Minister Stuart Young reasoning for the deal, arguing that these upgrades would make the process easier.
“The upgrades were very significant and therefore would have made it a more efficient refinery than the Petrojam refinery.
Contrary to what Mr Young said that Petrojam would have been a simpler operation.
Because it is smaller does not necessarily make it easier to run. It may be easier in that the throughput is less but if the value of products is better coming out of Pointe-a-Pierre,” said Abdulah.
T&T gas thrust not only Dragon
2025, 03/15
In his exit interview, the Prime Minister claimed that the economy is on solid footing with energy plans not confined to the Dragon gas deal.
“We didn’t put all our eggs in one basket. We got the unitisation process cancelled and through diplomacy got Venezuela to agree to extract our portions from fields which we share and made arrangements that if we do bring gas to market our earnings will change the formula.”
Former Energy Minister Kevin Ramnarine said the prime minister’s energy plans may be too little too late.
“A reasonable observer would agree that the policy of securing natural gas from Venezuela was a central pillar of his administration’s 2015 to 2025 legacy.
He cited that his government was pursuing the development of our resources within our borders, in the shallow water and the deep water and that is all fine. But in my respectful view, it’s too little too late.”
Ramnarine said more emphasis should have been placed on developing deepwater resources in the last ten years with a clear goal of realising deepwater natural gas production by 2025.
Regarding talks with Guyana and Suriname to secure hydrocarbon resources, he said such initiatives will take years to materialise and apart from bi-lateral discussions and MoUs, he is unaware of any plan or project premised on logistics, engineering and commerciality.
Amcham T&T’s chief executive officer Nirad Tewarie, at the Women in Leadership Conference, said it is impossible to say what would be the outcome, but he remains hopeful that meaningful talks take place from the government level.
“There are some projects within our borders, new bid rounds are being opened, there are some discoveries that have been announced but not yet in production. So if we could find the right mix of policies, incentives, tax structures that would allow for gas that we know is there to be brought into production, that would be good.”
Tewarie said efforts need to be continued to diversify the economy, make it easier to do business in T&T to ramp up revenue and employment in other sectors besides oil and gas.
After Opposition shadow energy minister David Lee urged transparency on the deal between the two countries. Rowley rebuked the United National Congress (UNC) and incited the population to turn their attention on Opposition members bent on the downfall of the Dragon gas deal.
“I’m asking you to send your telepathic power to overcome this negative nonsense about the failure of the Dragon deal,” he said at the practical opening of the Port-of-Spain General Hospital Central Block, underscoring the significance of the gas project.
NiQuan sale
Mar 11
A unused FT Max Catalyst-T 2811, weighing 231,000 pounds, and a hydrocracker catalyst weighing 14,062 pounds are among assets for sale, after the seventh anniversary of the grand opening of NiQuan Energy Trinidad Ltd’s GTL plant.
Varune Mungal, the Receiver Manager of NiQuan Energy Trinidad Ltd (in receivership) is offering the following assets for sale as a complete package or on an individual basis:-
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- One Air Compressor – New Kaishan KRSP2
- Eight ISO Tanks 20 feet
- One Three-tonne CAT Diesel forklift
- One 2.5-tonne CAT Electrical forklift
- Four 40ft Officer Containers
- Three 40ft Storage Containers
- One Plotter (HP Design Jet T3500 Production MFP)
- Office Equipment and Furniture
- Amine (KS-2040) (18 Tote)
- FT Max Catalyst (Unused) T2811 (231,000 lbs)
- Hydrocracker Catalyst (Spent) TK 928, TK 711, TK 551 (14,062 lbs)
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On October 10, Mungal was appointed as the receiver for NiQuan Energy Trinidad Ltd amid ongoing winding-up proceedings. Mungal, the managing director of Business Recovery and Advisory Services Limited (BRASL), was appointed as the receiver under a series of mortgage debentures dating back to 2018.
His appointment was pursuant to the following:
- • A mortgage debenture dated July 6, 2018;
- • An amended mortgage debenture July 30, 2019;
- • An amended and restated mortgage debenture February 6, 2020; and
- An amended and restated mortgage debenture dated July 18, 2023.
NiQuan’s former vice-president, David Small, was awarded $18.8 million for breach of a written mutual separation agreement dated November 2, 2021, along with exemplary damages, on September 29 last year.
However, after complaining about not being paid, Small, a former independent senator, filed a petition in the High Court on February 1, seeking the winding-up of NiQuan to recover money owed to him.
On March 15, M Hamel-Smith & Co, the attorney representing Republic Bank Ltd, wrote the Registrar of the Supreme Court.
“Our client is, among other things, the Collateral Agent under a Short-Term Note Instrument issued by NiQuan to approximately 20 noteholders from various countries.
As Collateral Agent, our client is contractually obliged to represent the interest of the Noteholders with respect to the STNI and accompanying registered security granted in relation to the STNI in favour of the Noteholders which includes all tangible and intangible assets of NiQuan secured under a charge of shares (as amended from time to time) and a mortgage debenture (as amended from time to time).
As at the date of this letter, the STNI covers debt owed by NiQuan to the Noteholders in the amount of US$175,000,000.”
Since the matter was brought before the High Court, the Junior Sammy Group, JMMB and at least five other companies claimed they are owed money.
At the end of April, approximately 80 employees at NiQuan Energy Trinidad Ltd were sacked after founder, Ainsley Gill, informed staff that funding had not materialised, forcing the mothballing of the gas-to-liquids plant.
“During these last few months, the Company has been preserving the Plant in a wet layup in anticipation of an amicable solution and the return of gas.
However, following the disproportionate curtailment of gas supply suffered by the Company, followed by the wrongful termination of the Gas Supply Contract (GSC), it is with disappointment and frustration that the Company has no other alternative but to now place the plant into a dry layup and, mothballed status,” Gill wrote to employees.
“As a direct consequence of those difficulties, it was with “deep regret” that NiQuan’s senior secured mortgage holders have been unable to fund the company as was “reasonably expected. And as a further direct consequence, the company is now unable to continue to preserve the GTL Plant.
Further, it is likely that a winding up order will be made by the High Court pursuant to a winding up petition brought against the company by two unsecured creditors. The next hearing before the Court is scheduled for May 3, 2024.”
As a result of this pending appointment of a liquidator by the court, NiQuan was unable to extend the current extended furlough that staff members were placed on.
“Therefore at 5 p.m. on April 30, 2024, your Contract of Employment will be terminated, and the Company will issue individual formal termination letters. This is a very unfortunate outcome; one the Company did not wish to occur.”
NiQuan’s troubled gas-to-liquids plant was placed in “Asset Preserving Silent Mode” last September due to a lack of natural gas and financial constraints. In August last year, NiQuan lost its bid for an injunction against the Government to compel the State to resume its natural gas supply.
Delivering a decision last August, High Court Judge Kevin Ramcharan dismissed NiQuan’s application for an injunction against the Trinidad and Tobago Upstream Downstream Energy Opera¬tions Company Ltd (TTUDEOCL) and the Office of the Attorney General.
NiQuan owed TTUDEOCL US$21 million for natural gas contractually given to it. Gill established NiQuan Energy LLC, in 2008. Under his leadership, NiQuan Energy achieved a historic milestone by developing the world’s first commercially viable small-scale Gas-to-Liquids (GTL) facility, also the first GTL plant in the Western Hemisphere.
He sees GTL technology as a practical solution for reducing greenhouse gas (GHG) emissions in hard-to-abate industries, positioning NiQuan as a leader in the clean energy transition.
His vision includes expanding NiQuan’s presence worldwide, with multiple GTL facilities providing sustainable energy solutions for the future.
The gas-to-liqudis plant was opened in March 2021 with Prime Minister Dr Keith Rowley delivering the feature address.
“In 2018 when NiQuan acquired the plant, Petrotrin received a cash payment of US$10 million, with the remaining US$25 million to be paid in Preference Shares. To complete the plant, a further capital injection of approximately US$125 million was required.
Additionally, the Government is expected to receive TT$2 billion in taxes and statutory payments over the life of the project. NiQuan’s investment represents the first major private investment in the downstream energy sector in recent times, despite difficulties in the global markets.”