T&T could earn as much as $10 billion over the next nine years following the signing of a deal between Government and Royal Dutch Shell.
The announcement was made by Energy Minister Franklin Khan who gave details to the Parliament on Monday following more a year of negotiations. He revealed that Shell agreed to pay government $2.5 billion by the end of 2019, the money to be paid in US to the sum of US $397 million.
Prime Minister Dr Keith Rowley has walked away from his two-week long trip to the US, Netherlands and the UK with favourable terms for the country’s energy sector.
This is according to a release from his office.
He met with Shell in The Hague, Netherlands, BP in London and EOG Resources and BHP in Houston, United States.
Prime Minister Dr Keith Rowley on Tuesday met with Chairman and CEO of EOG Resources William Thomas at EOG Resources Heritage Plaza in Houston, Texas.
A statement by the Office of the Prime Minister said that EOG updated Dr Rowley and his delegation on their exploration and production initiatives since the prime minister’s last meeting with EOG in Houston in 2017.
The energy company is executing an aggressive drilling programme which will continue with the drilling of a number of wells over the next year and beyond.
The government has signed a new energy agreement between with Shell at the energy company’s headquarters in The Hague, Netherlands.
The new agreement is being labeled "a significant milestone for the people of Trinidad and Tobago" as it features an enhanced revenue package for the sale of LNG.
"The energy deal is the result of months of positive and relationship-building discussions between Shell and the Government," a statement by the Office of the Prime Minister said.
Prime Minister Dr Keith Rowley will leave the country this Sunday for a series of meetings with energy companies that operate in Trinidad and Tobago.
The prime minister told today's post-Cabinet news conference that he will lead a government delegation for meetings that will take him out of the country for 10 days.
He will first go to Holland where he will meet with officials of Shell.
From Holland, the PM and team will journey to London for meetings with Bp officials.
He will also meet with nationals of Trinidad and Tobago in London.
BPTT and Royal Dutch Shell are the only two bidders for three of the six shallow water blocks that were offered in T&T competitive bid round.
The joint bids were made for blocks 4 (c), U (c ) and lower reverse L.
All three are off the east coast of Trinidad where BPTT and Shell operate several other blocks.
No bids were made for blocks NCMA 2 and 3 that are west of Tobago and no bid for block 1 (c).
We will have a further update later.
- Curtis Williams