Energy Ministry: T&T not affected by US sanctions on Venezuela oil

The Ministry of Energy and Energy Industries said the issuing of sanctions against Venezuela's oil and gas operations will not affect Trinidad and Tobago's energy interests, specifically the country's Dragon gas deal with Venezuela. 

In a statement dated April 17, the Ministry said the amendment of the OFAC General Licence 44 "does not affect the Specific Amended OFAC licence that was issued to the Government of the Republic of Trinidad and Tobago on October 17, 2023, which authorized the Government of Trinidad and Tobago, the National Gas Company of Trinidad and Tobago Limited (NGC), Shell PLC and their affiliates to conduct business with the Government of Venezuela and Petroleos de Venezuela (PDVSA) with respect to the Dragon Gas Field in Venezuela".

"The Office of Foreign Assets Control (OFAC), Department of Treasury of the United States Government today (April 17) issued General Licence 44A which governs sanctions related to the Bolivarian Republic of Venezuela and deals with Authorizing the Wind Down of Transactions Related to Oil or Gas Sector Operations in Venezuela.

"The Ministry of Energy and Energy Industries wishes to advise that this amendment to the OFAC General Licence 44 does not affect the Specific Amended OFAC licence that was issued to the Government of the Republic of Trinidad and Tobago on October 17, 2023, which authorized the Government of Trinidad and Tobago, the National Gas Company of Trinidad and Tobago Limited (NGC), Shell PLC and their affiliates to conduct business with the Government of Venezuela and Petroleos de Venezuela (PDVSA) with respect to the Dragon Gas Field in Venezuela.

"The specific Amended OFAC Licence issued to Trinidad and Tobago on October 17, 2023 is valid until October 31, 2025 and permits Shell, NGC and contractors to continue the works being undertaken to explore, produce and export natural gas from the Venezuelan Dragon Gas Field.

"Additionally, the Minister of Energy and Energy Industries and Minister in the Office of the Prime Minister, The Honourable Stuart R. Young, M.P. reminds the public that Trinidad and Tobago secured a 30 year Exploration and Producution Licence from the Government of Venezuela on December 21, 2023 for the Dragon Gas Field and advises that the work to explore, produce and export the natural gas from this field to Trinidad and Tobago is continuing."

The US government indicated that Venezuela's government "have not fully met the commitments made under the electoral roadmap agreement" as per the Barbados Agreement, following the barring of Venezuela's Opposition Leader María Corina Machado from the upcoming Venezuelan presidential election. 

The US Department of State said:

"After a careful review of the current situation in Venezuela, the United States determined Nicolas Maduro and his representatives have not fully met the commitments made under the electoral roadmap agreement, which was signed by Maduro representatives and the opposition in Barbados in October 2023.  Therefore, General License 44, which authorizes transactions related to oil or gas sector operations in Venezuela, will expire at 12:01 AM on April 18. 

"Despite delivering on some of the commitments made under the Barbados electoral roadmap, we are concerned that Maduro and his representatives prevented the democratic opposition from registering the candidate of their choice, harassed and intimidated political opponents, and unjustly detained numerous political actors and members of civil society.  We again call on Maduro to allow all candidates and parties to participate in the electoral process and release all political prisoners without restrictions or delay.  

"In order to implement an orderly process following the expiration of General License 44, the United States will issue a 45-day wind-down license.  Treasury’s Office of Foreign Assets Control also will consider requests for specific licenses to continue activities beyond the end of the wind-down period on a case-by-case basis. 

"We will continue to support Venezuelans’ aspirations for a more democratic, stable, and prosperous Venezuela.  We and our partners in the international community urge Maduro to uphold all the commitments made under the electoral roadmap established by the signatories of the Barbados Agreement."