Caption: Minister of Energy Dr Roodal Moonilal. AZP News/Prior Beharry
THE Trinidad and Tobago government says it remains optimistic that several cross border energy arrangements it has with Venezuela remain on the front burner, even though the deposed Venezuelan leader Nicolas Maduro had indicated that they had been cancelled.
Maduro, was replaced as head of state in the South American country last weekend after the United States invaded the country, despite earlier giving assurances that its military build-up in waters near Caracas, was not intended to lead to a regime change.
Maduro and his wife have since appeared in a Federal Court in New York and President Donald Trump has said that Washington will be “running” the country.
Speaking at the news conference following Thursday’s Cabinet meeting Energy Minister, Dr Roodal Moonilal, told reporters that the government remains optimistic that several energy arrangements, including the Dragon gas project, are on the table and that Maduro’s announced suspension of the agreements had never been officially communicated to the government of Prime Minister Kamla Persad-Bissessar, who had openly supported the United States position on drug trafficking in the region.
Moonilal told reporters that the government relies only on formal communication and existing agreements.
“We do not operate on what we hear, read, or what social media is saying. Agreements have been in place in this country with Venezuela for some years now, and to our knowledge, we have not received anything that suggests that any arrangement has changed officially.
“We have never received any cancellations, any official communication vis-à-vis those matters that suggest a change in anything,” he said, adding that the United States Office of Foreign Assets Control (OFAC) licence granted last October for the Dragon gas field remains valid.
“That remains in place, and to my knowledge, that licence is in effect, and work has continued pursuant to the conditions of that licence; there has been no change in that,” Moonilal said, telling reporters that work has continued on the Dragon gas field and other cross-border projects, expressing confidence in the country’s position.
“We are very confident that Trinidad and Tobago’s interest will be served in terms of the cross-border projects,” he said, adding that there has been no change in policy direction arising from developments between the United States and Venezuela.
“We have had no change of course, and that primarily involves the Dragon Field project, but it also involves Cocuina-Manakin and Loran-Manatee. We expect that in the coming months that we will advance along with the stakeholders on those matters,” he said.
Moonilal also sought to clarify that Trinidad and Tobago does not currently have a commercial energy relationship with Venezuela, saying “with all the developments, we have not lost a dollar nor have we gained a dollar.
“We simply do not have commercial relationships on that issue. What we have had is some agreements to advance, particularly on gas fields, and that continues,” Moonilal said adding that energy stakeholders remain in contact with the relevant authorities in Venezuela.
Last October, Attorney General, John Jeremie said that the United States Treasury Department had granted a six-month window under a newly OFAC licence, allowing the Kamla Persad government and the National Gas Company (NGC) to formally engage in negotiations with Venezuela on the development of the Dragon Gas project.
Jeremie told reporters that the new OFAC licence was “issued under certain executive orders and it authorises US persons, including employees, affiliates, contractors and service providers employed by or acting on behalf of or for the direct or indirect benefit of the Government of the Republic of Trinidad and Tobago, the NGC, Shell, PLC, Futura Clara Limited, and their subsidiaries and their affiliates and contractors to engage in transactions ordinarily incident and necessary to negotiations with the government of Venezuela and Petroleos, the Venezuela executives in connection with the Dragon gas project.”
Last April, the United States government revoked the OFAC licence granted to Trinidad and Tobago to allow Shell, the NGC, and contractors to explore, produce, and export natural gas from the Venezuelan Dragon Gas Field.
The licence was valid until October 31, 2025, and enabled Trinidad and Tobago to pay for gas in various currencies and through humanitarian measures. On December 21, 2023, Trinidad and Tobago also secured a 30-year exploration and production license from the government of Venezuela for the Dragon gas field.
Washington had also revoked the Cocuina-Manakin license granted to Port of Spain on May 31, 2024.
Port of Spain had been planning to request an extension from Washington for a licence granted to Shell and the NGC to develop the Dragon gas project in Venezuela.
The license, issued in early 2023, allows the companies to plan the project. The project aims to supply gas to Trinidad by 2027. The Dragon Field is located in Venezuelan waters near the maritime border with Trinidad.
Persad Bissessar, when in opposition had been critical of the then People’s National Movement (PNM) decision to pursue the Dragon gas deal and soon after coming to office in April, declared the project was “dead”.
Moonilal told the news conference that the government is continuing its agenda of holding talks with regional oil and and gas producers, notably Guyana and Grenada.
He said discussions have been held with the Guyana Minister of Natural Resources, Vickram Bharrat, as well as having a “good engagement with the government of Grenada, and we are advancing a collaboration in the energy sector as part of our vision of becoming the energy hub of the Caribbean”.
But he said also that the government is also looking beyond the Caribbean.
“We are now looking at partnerships outside the region, particularly South America, Europe and Asia and so on, to see how we can deepen our collaboration in the energy sector. Those discussions have been taking place, and much more will be done this year.” (CMC)
