00:00The signing of a new gas supply agreement between EOG Resources and the National Gas Company
00:06is being seen as an accomplishment that will ensure stability.
00:10NGC's Chairman Gerald Ramdean references what he calls noise
00:14over how long some of the agreements are taking to be signed.
00:18We've been criticized about negotiations on the upstream, about negotiations on the downstream.
00:25And today, we signed this gas sales agreement eight months before it's due.
00:33As for the impact of it?
00:35Today, we've guaranteed gas for the next two years, a significant amount of gas
00:40that will allow us to be able to supply our domestic obligations to power,
00:47our domestic obligations to the pet chem sector,
00:50and to supply our allocation into Atlantic.
00:54And as well as to guarantee our supply to our LIC customers.
00:58Acting President of NGC, Edmund Subrayan, says it comes at a time
01:02when the company is facing constrained resources, which it is forced to carefully manage.
01:07We have had to balance competing demands with precision,
01:11ensuring that our downstream industries, which remain vital contributors to employment,
01:16foreign exchange and economic stability, continue to operate.
01:20Subrayan states that the agreement represents a bit of stability in that regard.
01:24But according to Ramdean, it didn't come easy.
01:27The gas that has been secured by this agreement was sought after by other members of the energy sector.
01:35Ramdean is referring to other upstreamers.
01:38It is something he places squally at the feet of the former PNM administration,
01:42saying its policies have eroded NGC's place in the sector.
01:45The restructuring of Atlantic has opened the upstream
01:50and taken away from the NGC the ability to be the sole gas aggregator in this country.
01:57It has allowed everyone out of the upstream to be in competition for the gas that is produced on the
02:04upstream.
02:04And it gives a significant advantage to the shareholders of Atlantic,
02:09who, as a result of the restructuring of Atlantic,
02:13are able now to be in competition with the NGC to purchase gas on the upstream.
02:18According to Ramdean, the agreement signifies that both the interests of the nation
02:23and multinationals can be served through cooperation.
02:26Meanwhile, Minister of Energy Dr. Rudal Munilal is congratulating both entities
02:32for the expediency with which the deal has been brokered.
02:36Time is literally money.
02:38And we are extremely pleased at this outcome.
02:41It is a reflection of the dedication.
02:44It is a reflection of the professionalism that has been demonstrated by both parties.
02:49Alicia Boucher, TV6 News.
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