No formal request from T&T for Petrotrin investment - Greenidge

No formal request from T&T for Petrotrin investment – Greenidge

Sep 14, 2018 News

Foreign Affairs Minister,
Carl Greenidge

Despite suggestions from Trinidad and Tobago, there has been no formal approach for Guyana to help the cash-strapped Petroleum Company of Trinidad and Tobago Limited (Petrotrin).
Guyana and Trinidad and Tobago are preparing to sign a Memorandum of Understanding (MoU) and a framework agreement surrounding petroleum and other mutually agreed trade matters.
Former Trinidad Prime Minister and current Opposition Leader, Kamla Persad-Bissessar, had suggested that Prime Minister Dr. Keith Rowley look towards pursuing a partnership with Guyana to refine its oil as a means of averting the closure of the Petrotrin’s Pointe-a-Pierre refinery.
Foreign Affairs Minister, Carl Greenidge told reporters that the bilateral agreements are essentially for cooperation between the two Caribbean Community (CARICOM) countries.
He said, “No formal request has come from Trinidad for investment in Petrotrin.”
The state-owned oil company, Petrotrin, is currently US$12 billion in debt and owes the Government more than US$3 billion in taxes and royalties.
The Trinidad Guardian reported that Dr. Rowley has ruled out the importation of Guyanese crude to save Petrotrin’s Pointe-a-Pierre refinery, saying that Guyana has no intention of bringing oil to shore for any refining operations.
According to the reports, Dr. Rowley said when the Government learnt of ExxonMobil’s find, it sought to find out who owned the oil. It was found that while Exxon has a claim to it, the Guyanese government owns one-third.
Subsequent inquiries have revealed the Guyanese would not need any arrangement with the T&T Government and Petrotrin.
Dr. Rowley has explained to Trinidadians that modern technology being used in Guyana allows for crude to be pumped onto specially designed ships, where it is separated from the water.
The product, he shared, then leaves on the ships without having to be brought to shore.
But Rowley said business ties with Guyana have been allowed to lapse. There was a previous agreement for the exchange of goods and services. That expired and was left alone.
Rowley is expected to travel to Guyana next week to sign a new agreement after a year-long negotiation.
President David Granger disclosed on Wednesday that his intention is to make the agreement with Trinidad public.
“It is not a secret document. It is just an agreement to cooperate. It was vetted by the Department of Energy and the Ministry of Foreign Affairs. I will ask for that document to be released,” the President stated.
Dr. Rowley was expected to visit Guyana yesterday to sign the MoU and a separate cooperation framework, but postponed the engagement until possibly next week.
The President’s decision follows several calls from the private sector and the Opposition for the MoU to be made public amidst concerns that the bilateral agreement would lay the groundwork for Trinidadian businesses and workers to overpower local companies in the oil and gas sector.
Some concerns are also being fueled by a lack of a local content policy for the sector.

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