Trinidad Signs Pact with BP, Shell
The government of Trinidad and Tobago (T&T) has entered into an agreement with energy giantsShell and BP over gas pricing and LNG activities.
According to local media reports, the agreement involves new pricing arrangements, the extension of the Atlantic LNG Train 1 by a further five years, and the ability of the National Gas Company (NGC) to export liquified natural gas (LNG) on behalf of T&T.
The government sources quoted minister in the Office of the Prime Minister Stuart Young said the agreement will lead to “significant” financial benefits to the twin island republic.
The gas pricing formula agreed to by Shell, BP and the National Gas Company, he said.
According to Young, the deal was achieved this week after months of what was described as intense but progressive discussions. The discussions started in April when Prime Minister Dr Keith Rowley led a delegation to the Commonwealth Heads of Government Meeting (CHOGM) in London.
However, details of the pricing agreement were not revealed. Minister Young said the development is expected to bring several benefits including a level of job security in the industry.