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The Energy Chamber says oil and natural gas producing countries in the Caribbean like Trinidad and Tobago and Guyana stand to benefit from the recent surge in global oil and gas prices due to the ongoing war in the Middle East.

However, the Energy Chamber also says there are can also be increased costs that go alongside any potential increase in revenue.

Juhel Browne reports.
Transcript
00:00The price of Brent crude averaged at around U.S. $100 per barrel, while the price of West Texas Intermediate
00:07oil averaged at close to U.S. $94 per barrel on Monday as a result of the ongoing war in
00:14the Middle East.
00:15The global average price of natural gas was around U.S. $3 per mm BTU. The Energy Chamber of Trinidad
00:22and Tobago said in a statement on Monday that for the Caribbean, the surge in oil prices represents a mixed
00:28outlook, as it also noted that energy producers such as Trinidad and Tobago and Guyana could benefit from stronger hydrocarbon
00:37prices, which may improve revenues for oil and gas producers and support margins in petrochemical and LNG markets.
00:45The Energy Chamber further said that higher global prices often translate into improved export revenues for energy-producing economies in
00:54the region.
00:55The government has said while Trinidad and Tobago stands to earn more money from higher crude oil and gas prices,
01:01it is working on meeting the challenge where the present supply of natural gas in particular is concerned.
01:07The Energy Chamber noted, however, that higher fuel prices also increased costs for electricity generation, shipping, and transportation across the
01:16Caribbean, particularly for oil-importing islands that rely heavily on imported fuels.
01:22In Trinidad and Tobago, there continues to be a fuel subsidy while electricity is produced via a local supply of
01:30natural gas.
01:31Monday marked the 17th day since the U.S. and Israel conducted military strikes on Iran, which has resulted in
01:38Iran's retaliatory strikes against its oil and gas-producing neighbors such as Saudi Arabia and Qatar.
01:45The Energy Chamber said that as the conflict unfolds, global energy markets are likely to remain volatile.
01:52The Energy Chamber pointed out that much will depend on whether shipping through the Strait of Hormuz can resume safely
01:59and whether diplomatic efforts can prevent further disruptions to one of the world's most vital energy corridors.
02:07Jules Brown, TV6 News.
02:10Jules Brown, TV6 News.
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