Trinidad and Tobago  and Venezuela have completed the final step towards monetising cross border gas by signing  licences for the exploration of hydrocarbons in Venezuela’s Loran Phase 2 development and the Plataforma Deltana area.

While the main players are Shell and bp, the deal introduces both Qatar and United Arab Emirates into the western hemisphere oil and gas business.

The islands’ Prime Minister Kamla Persad-Bissessar, said her country will be in a  “strategic position” to monetise potentially more than 12 trillion cubic feet (TCF) of natural gas from several cross-border and regional fields using the country’s existing energy infrastructure.

At the same time, she congratulated both the Interim President of Venezuela, Delcy Rodríguez and  bpTT, which has been granted a joint interest and operatorship of the strategic assets.

It also marks the entry of XRG, an international lower-carbon energy and chemicals investment company launched by the Abu Dhabi National Oil Company (ADNOC) into the region as it seeks to advance its global gas portfolio in the Western Hemisphere.

XRG will hold a joint interest in the licence together with UCC Oil and Gas which is part of Qatar’s Power International Holding (PIH), and acts as a leading global EPC (Engineering, Procurement, and Construction) contractor expanding heavily into major cross-border oil, gas, and power ventures.

The Loran field forms part of the Loran-Manatee cross-border gas field, which holds an estimated 10 TCF of natural gas. On the Trinidad and Tobago side, Manatee is being developed by Shell, with first gas expected in the second quarter of 2027.

The National Gas Company of Trinidad and Tobago (NGC) also recently signed an agreement with bpTT for the joint exploration and development of the Manakin-Cocuina field. 

In a press statement on Friday afternoon, Prime Minister Persad-Bissessar said this represents an unprecedented opportunity for Trinidad and Tobago and Venezuela to work together with international energy partners to advance the economic interests of both countries.

The exploration and development of these resources also have the potential to significantly strengthen energy security for Trinidad and Tobago, Venezuela, the Caribbean region, and the wider international community.

How it Works

Natural gas extracted from Loran Phase 1 & Phase 2 (operated by Shell and bp respectively) will tie directly into the main infrastructure being built on the Trinidad side of the cross-border reservoir. The gas will travel through a massive 110 km (approx. 68-mile) subsea pipeline. Initially designed as a 24-inch pipeline, Shell upgraded this to a 32-inch pipeline capable of moving up to 1 billion cubic feet of gas per day. 

The pipeline travels northwest from the Columbus Basin to make landfall at the Beachfield Gas Processing Facility in Guayaguayare, on the southeastern coast of Trinidad.

From Beachfield, the gas enters the National Gas Company of T&T (NGC) pipeline grid.

The final export route loops around to the west coast, feeding directly into the Atlantic LNG facility in Point Fortin.

Here, the gas is liquefied and loaded onto tankers for global markets. 

The Manatee infrastructure is actively under construction and scheduled to go live by mid-2027, while the newly licensed Loran Phase 2 development is targeted to come online in parallel phases shortly thereafter. 

The field will achieve peak production by late 2027.