Energy Minister: Lower oil production hurting revenues

 

This conference is the premier event on the local energy sector calender as it provides the opportunity for ideas and information to be exchanged among industry professionals, the Government and multinational companies. Several hundred delegates were in attendance at the opening yesterday. He said plans are in place to provide relief for the shortage. “About the temporary shortage of natural gas at Point Lisas, there is a shortfall on a daily basis that is affecting the plants and we expect the Toucan platform to be on stream by at least March 2012. That will bring some relief to the situation, but it will not bring total relief to the problem,” he said. Ramnarine said that he will be meeting with stakeholders to address the issue. “I am meeting on Thursday with all the upstream companies and representatives of the Point Lisas Association to look at coming up with a strategy for the remainder of the shortfall. It requires aligning our shortfall plans in the industry.”

 

He said the most worrying part of the energy sector is the decline in oil production. “Oil production has been in decline since 2006. Oil production in 2011 was hampered by planned shutdowns, unplanned shutdowns and maintenance activity. Any gains in Government revenue that could be relied on as a result of increased oil prices are being negate by falling production. This is hurting the national economy,” he said. Ramnarine said the ministry continues to market the country internationally. “At the end of the month, there will be a T&T energy sector road show in Houston. At this event, we expect to receive in two days 200 oil and gas companies who have interest in T&T,” he said. He used bpTT to show the revenues that T&T is getting from multinationals in the country. “In 2012, bpTT is expected to spend  around US$900 million in T&T. In my meetings with BP’s chief executive officer Bob Dudley, he made it clear to me that T&T was BP’s largest asset in terms of volumes,” he said.