Energy sector outlook 2019

Energy sector outlook 2019

Trinidad & Tobago’s energy sector is predicted to make a modest recovery in 2019, on the back of increased natural gas production and hence increased LNG and petrochemical exports.  However, this recovery is fragile and could be threatened by continued low oil prices, especially if gas and petrochemical prices also decline.  While gas production is predicted to increase, the future of oil production largely relies upon the successful transformation of the legacy Petrotrin upstream assets into the new Heritage Petroleum company and the ability of the new company to attract capital and successfully drill new wells, improve the integrity of its existing assets and improve operational efficiency.

Thanks 2018. Welcome 2019.

Thanks 2018. Welcome 2019.

In a few years from now, we may look back at events in 2018 as the beginning of a turning point in industrial relations in Trinidad and Tobago.

Perenco Advisory Notice

Perenco Advisory Notice

Perenco T&T Limited advises all mariners that on or around 28th December 2018 the company will be conducting a Geophysical Survey within the TSP Block, to collect data on the seafloor structure.

Heritage responds to oil sightings located offshore

Heritage responds to oil sightings located offshore

At approximately 11.25 a.m. yesterday (Thursday December 20, 2018), Heritage Petroleum’s HSE department received reports of oil having been sighted in the vicinity between RP1 and Platform 9, Soldado Main Field. The Company’s Oil Spill Contingency Plan was immediately activated and the relevant personnel were dispatched to the scene.

'Values' for your money

'Values' for your money

Trinidad and Tobago’s economy continues to be closely pegged to energy sector production levels and global pricing, which in the past has allowed us to prosper significantly, albeit at the expense of competitiveness in other sectors. In recent years, the volatility of both price and production has crystallised in the collective narrative, the need for diversification and improvement in other facets of our economy in order to remain competitive. To understand the issue of competitiveness better, we can look at our rankings in the World Economic Forum’s (WEF) Global Competitiveness Report.

Sustainability reporting — a new benchmark of accountability

Sustainability reporting — a new benchmark of accountability

Sustainable development refers to a process of thoughtful growth that enables societies to meet their needs today without jeopardising the viability of future generations. The global compact to grow by this principle is elaborated in 17 sustainable development goals (SDGs) that have been set and agreed by members of the United Nations General Assembly. These SDGs are targets for nations to meet by 2030 that tackle a broad range of development issues, such as poverty, hunger, health, education, climate change, gender equality, water, sanitation, energy, urban growth and social justice. 

Pitching for the future

Pitching for the future

The contract itself may not set the pulse racing: La Brea’s Tofco has been given the go ahead to build the jacket for bpTT’s Cassia C offshore development – a welcome but much smaller contract than the Juniper project a few years ago, when both the jacket and the topside were built in T&T.

Guyana Safety Forum Opening Remarks

Guyana Safety Forum Opening Remarks

As I am sure that all of us in this room are all too aware, one of the major barriers facing small contractors and service companies wanting to do business with international oil and gas companies is meeting the high safety, health and environmental standards that they demand from all their suppliers. 

Jamaica’s oil and gas transformation update

Jamaica’s oil and gas transformation update

Jamaica, often regarded for its sun sand and sea, has been undergoing a major shift in Jamaica’s oil and gas exploration since 2006 with the signing of contracts to acquire in the vicinity of 15,000 line kilometres of 2D seismic offshore Jamaica. Once acquired and processed, this updated seismic data allowed for the transition of play concepts found onshore to be mapped and extended into the offshore environs. This evolution of the Jamaican geology generated interest from various operators that derived clastic and carbonate plays offshore being charged by both Cretaceous and Tertiary source rocks. 

Disappointing results of Pontoenoe-1 in Suriname

Disappointing results of Pontoenoe-1 in Suriname

According to a report in Upstream, U.S. player, Kosmos Energy, has drilled a second duster off Suriname at the Pontoenoe-1 wildcat in Block 42. The well will now be plugged and abandoned, and the well results integrated into the ongoing evaluation of the remaining prospects in Kosmos’ acreage position. 

Exxon spuds Pluma, offshore Guyana

Exxon spuds Pluma, offshore Guyana

The third drillship contracted by Exxon in Guyana, the Noble Tom Madden has spud Pluma. This represents the 12th well drilled in Guyana by Exxon. Thus far, the company has been successful in nine of those wells. 

ProCom JV in Guyana results in Jaguar Oilfield Services and knowledge transfer

ProCom JV in Guyana results in Jaguar Oilfield Services and knowledge transfer

A joint venture among Guyanese companies, Mines Services Ltd, a member of the Farfan & Mendes group of companies, TOTALTEC; and Trinidad and Tobago energy services company, Process Components Limited (ProCom), has led to the development of a new energy services company, Jaguar Oilfield Services Guyana Inc. (Jaguar). 

Petrotrin exports first cargo of crude

Petrotrin exports first cargo of crude

The first export of crude oil from Petrotrin was loaded onto the tanker, Hellespont Progress, on October 30th 2018 and was delivered to the Caribbean Sea terminal of the trans-Panama pipeline. This suggests the crude was destined for an Asian or US West Coast Refinery. According to a press release from Petrotrin dated November 1st 2018, the tanker was loaded with approximately 500,000 barrels of crude oil which was purchased by Trafigura Oil Traders, one of the world’s major commodity traders. The crude went to Panama, to the port at the Caribbean side of the Trans-Panama Pipeline. The Trans-Panama pipeline links the Caribbean with the Pacific so the crude was probably eventually going to either a West Coast USA refinery or Asia. 

T&T bid rounds to move forward

T&T bid rounds to move forward

In October, the Trinidad and Tobago Cabinet gave the go-ahead for an eight-block bid round which is set to move forward in early November. Six blocks are shallow-water offshore blocks and two are onshore. 

PM addresses Gas Exporting Countries Forum

PM addresses Gas Exporting Countries Forum

The 20th Ministerial Meeting of Gas Exporting Countries was held in Trinidad and Tobago in mid- November and the Ministry of Energy hosted a T&T Gas Symposium which featured a keynote address by the Prime Minister, Dr. the Honourable Keith Rowley. 

Technology, automation and change management

Technology, automation and change management

Technology is changing every sector of the economy, including the energy sector. The examples are endless: new seismic imaging technology is unlocking new reserves and improving recovery, drone technology is revolutionising pipeline and platform inspections, RFID technology is transforming inventory management, and everywhere information technology is fundamentally altering how people work and communicate. All of these technologically driven changes have implications for how people work, the jobs people do and the skills and knowledge companies need. Individuals, companies and countries who manage the changes brought about by new technology will succeed, while those who fail to adapt will be left behind. 

Gas production — moving in the right direction

Gas production — moving in the right direction

Trinidad and Tobago’s gas production is set to record its second year of growth in 2018, after years of falling production post the 2010 peak and hitting a low point of just 3.33 billion cubic feet per day (bcf/d) in 2016. Speaking in Trinidad and Tobago’s Parliament in the debate on the 2018-2019 national budget, Minister of Energy and Energy Industries, Senator the Honourable Franklin Khan, outlined the projected gas production through 2022.