00:00Energy giant Shell PLC is in advanced talks with Venezuela to develop multiple offshore gas fields near Trinidad and Tobago
00:10in what can be a significant breakthrough for the country's energy sector.
00:15According to an exclusive report by Reuters, the company is negotiating access to four major gas areas, including the long
00:24-delayed Dragon Field, estimated at more than 4 trillion cubic feet of gas.
00:30Sources tell Reuters Shell is also targeting additional fields within the massive Mariscal Sucre project along the cross-border Loren
00:39Field, bringing potential reserves to around 20 trillion cubic feet.
00:44The plan is to bring that gas to Trinidad for processing.
00:48Shell intends to pipe Venezuelan gas to the country's Atlantic LNG facility, where it holds a 45% stake, but
00:57which has been operating below capacity due to ongoing gas shortages.
01:01According to Reuters, the plant's capacity has already been reduced from 15.5 million to 12 million tons per year
01:10and shipped less than 9 million tons last year due to limited supply.
01:15One source familiar with the negotiations explained the cross-border development could work by drilling subsea wells on the Loren
01:24side and tie them back to the manatee platform in Trinidad.
01:29Shell is already developing the manatee field on Trinidad's side, while the Venezuelan portion of Loren could soon become available
01:37as Chevron Corporation moves to exit those assets.
01:41The push for more gas comes as Trinidad continues to face declining domestic production and increasing pressure to secure new
01:50supplies.
01:50Shell CEO Wales Savan recently indicated the company is ready to move forward if conditions are right, but challenges remain.
01:59Parts of the targeted fields are currently tied up in agreements involving Russian interests, which sources say could complicate negotiations,
02:08though there is confidence a solution can be found.
02:12Meanwhile, Reuters reports that Venezuela's oil ministry, state-run PDVSA, Trinidad and Tobago's Ministry of Energy and Chevron did not
02:21respond to requests for comment.
02:23Arvishita Wari Rupnarain, TV6 News.
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