Clik here to view.
Energy Minister Nicole Olivierre describes her first year in government as “a mixture of challenges and exciting new developments with far reaching implications for the local industry.”
“My biggest challenge has been meeting the expectations of my constituents,” said Olivierre, the MP for La Brea.
In the past few months constituents have protested over lack of jobs and poor infrastructure. Olivierre admitted the constituency “has been neglected for so many years and there was a level of expectation where jobs and services are concerned.”
She also admitted that taking over the Energy Minister at a time of declining oil and gas production has been difficult because of the requirement to manage the gas supply to industries to ensure an equitable distribution of available volumes.
“There is the added concern about the integrity of the aging infrastructure and the significant investment that will be required to replace old assets,” she said
However, Olivierre is confident about the energy sector because of what she see as a major positive—continuation of exploration activity by BP and BHP.
She said, “Globally, oil companies are reducing exploration expenditure. However the continuation of activity shows the confidence of the multi-nationals in our energy sector.”
In January, T&T’s natural gas production was less than the required 4.2 billion cubic feet per day, while production last year averaged 3.8 billion cubic feet per day. The expection is that the Juniper project, scheduled to come on stream in 2017, will bring production capacity up to a maximum of 590 million cubic feet per day.
Another major development is the Loran-Manatee cross-border field. For more than a decade, T&T and Venezuela have been in discussions on field which has an estimated 10.25 trillion cubic feet of natural gas. More than 70 per cent belongs to Venezuela and the remaining 26 per cent to T&T.
A unitization and unit operating agreement for the development and production of the Loran Manatee cross-border natural gas fields was signed in 2007, but it was only in May that a memorandum was signed which allows the two countries to direct operating companies on cross-border initiatives. Under the agreement, a consortium company has been established to operate the fields.
Oliviere said she is the two countries are moving closer to finalisation of agreements required for the fields to be produced.
“The operating companies have committed to submitting a unitisation and unit operating agreement by the end of September, which would be followed by a conceptual development plan by the end of November.”
Achievements in first year
Minister Olivierre said there were several achievements in the first year in office.
• MOU signed with Ghana for co-operation in energy.
• Commenced discussions with Guyana “towards execution of a MOU for co-operation in the development of their energy sector.”
• Issuance of the first retail marketing licence in more than five years.
• Completed drilling of the first deep water well.
• Start of construction of the CGCL methanol plant jointly owned by the Mitsuibishi Corporation and Neal and Massy in La Brea following the re-negotiation of key agreements.
• Completed phase five of the Melejo Forest survey for mineral reserves.
• Completed the national facilities audit of oil and gas infrastructure.