Prime Minister Stuart Young is working to ensure the success of cross-border energy deals with Venezuela, focusing on the Dragon gas project. U.S. policy changes pose challenges, but Young is committed to transparency and collaboration with local financial institutions to address foreign exchange concerns.
Prime Minister Stuart Young announced ongoing initiatives to realize cross-border energy agreements with Venezuela during a post-Cabinet press conference on March 20. He underscored the government’s commitment to this dialogue, referencing a previous update on February 27, stating, “We will continue working. Fighting is the language I used for Trinidad and Tobago. That has continued.”
Young hinted at forthcoming developments related to the energy deals, expressing that he had made calls prior to the conference, suggesting he would reveal new information soon, while acknowledging that the situation remained “very, very fluid.” He reassured the public that updates on the efforts regarding the energy lines would be provided in the near future.
The landscape for these negotiations has been influenced by the U.S. government, as indicated by recent statements from U.S. Secretary of State Marco Rubio on social media, claiming that guidance has been issued to terminate existing oil and gas licenses supporting President Maduro of Venezuela. This is set against the backdrop of President Donald Trump rescinding a significant license for Chevron to operate in Venezuela, directly impacting the Trinidad-Tobago-Venezuela Dragon gas deal.
In December 2023, a license was granted to the National Gas Company (NGC) and Shell to develop natural gas from the Dragon gas field, contingent on U.S. approval. Concerns emerged regarding the future of this project following Trump’s presidential election win, as sanctions were imposed on Venezuela, leaving the $1 billion agreement in limbo.
A letter from former Prime Minister Dr. Keith Rowley to President Trump expressed the desire for strengthened collaboration between Trinidad and Tobago and the U.S. Additionally, recent reports suggested discussions regarding the extension of the Dragon project license were anticipated. During the TT Energy Conference in February, Rowley emphasized the significance of the Dragon and Manakin-Cocuina projects for domestic and regional energy security.
The transition in the leadership of Trinidad and Tobago occurred with Young succeeding Rowley on March 16. Young has also prioritized addressing the issue of foreign exchange, announcing a meeting with the Central Bank and local bank CEOs set for March 25 to evaluate forex distribution among the populace, highlighting the pressing need given the reduction in available foreign exchange. Young affirmed, “The fact is we have less forex than we used to. That is a fact of life.”
This meeting will be open to media coverage, ensuring transparency in communicating its outcomes to the public, thus reinvigorating the government’s commitment to addressing economic concerns effectively.
Overall, the collaborative efforts to secure the Dragon gas deal, alongside addressing foreign exchange challenges, underline the Trinidad and Tobago government’s strategic approach toward energy sustainability and economic resilience.
Prime Minister Stuart Young is actively pursuing cross-border energy deals with Venezuela, with an eye on the Dragon gas project. The situation is complex, influenced by U.S. policy changes and ongoing discussions surrounding foreign exchange management within Trinidad and Tobago. Young’s leadership emphasizes the importance of transparency and collaboration in addressing these critical matters for the nation’s energy security and economic stability.
Original Source: newsday.co.tt
