Trinidad and Tobago signs big gas oil exploration deal

Mere hours before Trinidadians and Tobagonians go to the polls to elect a new government, Energy Minister Eric Williams on 4 October signed a multi-million dollar gas and oil exploration deal, insisting that the procedures were above board. Williams signed a production sharing contract and an extension to the South East Coast License that would result in the government being paid more than TT 30 mm ($ 5 mm) in signature bonuses.
"Both these things were taking place since the last government was in power and I had given an undertaking that it would be completed by the end of this term in office and I have kept my word," Williams said at the signing ceremony. The agreements were signed with EOG Resources (Trinidad) and Primera Oil and Gas.

Primera Oil and Gas is a wholly owned subsidiary of the Trinidad-based CL Financial, while EOG is an indirect wholly owned subsidiary of EOG Resources, one of the largest independent oil and gas companies in the United States. EOG and Primera have agreed to a work programme that includes the drilling of a 4,500 metre well over a three-year period.
There is also an option for further drilling over another three-year period depending on initial results.

Williams also announced the signing of the extension of the offshore Southwest Coast Consortium Company license to EOG, National Gas Company and the state owned Petrotrin. Williams said it was important that the contract was renewed two years in advance because of projects which the consortium were involved with.
The 25-year extension follows the recent success the consortium had in drilling of the two Oilbird discoveries.