00:00British oil giant Shell has shelved its Aphrodite offshore gas project in Trinidad and Tobago just a year after giving
00:07it a positive final investment decision.
00:10This according to an online Reuters story by senior journalist Curtis Williams.
00:14The company confirmed it has released the drilling rig contractor to drill production wells after negotiations with the state-owned
00:22national gas company broke down over commercial terms.
00:25At stake was the sale of roughly 100 million cubic feet of gas per day, output that would have provided
00:31a modest but welcome boost to the island's supplies.
00:34NGC, which acts as Trinidad's gas aggregator, purchases gas from producers and delivers it to downstream users, including the petrochemical
00:43sector and Atlantic LNG, where Shell itself holds a 45% stake.
00:48But with the talks collapse, Shell says it will continue to evaluate the overall project schedule while keeping negotiations with
00:55NGC ongoing.
00:57The national gas company did not respond to Reuters' requests for comment.
01:01For Trinidad, Latin America's largest exporter of liquefied natural gas, the decision represents a setback in efforts to reverse years
01:08of declining output.
01:09Falling reserves have already curtailed LNG exports and forced closures in the petrochemical sector, with industry insiders pointing to commercial
01:18challenges, especially gas pricing, as a recurring obstacle.
01:22The Aphrodite project was seen as a bridge to help stabilize supplies.
01:27Its shelving now shifts attention to cross-border developments with Venezuela, where Shell and BP have been granted license to
01:34produce gas for transport to Trinidad.
01:36Those projects are viewed as critical to replenishing Atlantic LNG and to sustaining the country's energy sector over the coming
01:44decade.
01:45Mark Basant, TV6 News.
01:48NGC Chairman Gerald Ramdean responded today to the Reuters story.
01:53Ramdean said, quote,
02:14He added that the National Gas Company has strengthened its negotiating framework under the current administration,
02:21aligning with globally accepted standards to ensure Trinidad and Tobago secures a fair balance of risk and reward for all
02:30stakeholders,
02:31ultimately benefiting its citizens.
02:34Ramdean also revealed that while details remain subject to non-disclosure obligations,
02:40NGC confirms that the timeline for first gas from the Aphrodite project stands firm,
02:44with all parties resolute in meeting that date.
02:47He said at the same time, NGC has signaled its readiness to immediately advance the Blackjack project with Shell,
02:55committing to support the company in securing the necessary rig slot despite its earlier release.
03:00The company says it remains steadfast in driving the nation's energy agenda forward.
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