Venezuela suspends energy agreements with Trinidad including gas projects

Venezuela's Oil Ministry will ask the President to suspend an agreement for a broad cooperation with Trinidad and Tobago in the energy sector, including the joint gas projects that are currently being negotiated, said the South American nation's Minister of Oil.

The previous Trinidad government planned numerous joint gas projects, including the 4.2 trillion cubic feet Dragon field, which will be developed by Shell, the National Gas Company of Trinidad and for which they received a U.S. licence earlier this month.

The new government of Prime Minister Kamla persad bisssar is not seen by Venezuelan president Nicolas Maduro as an ally.

Since her government took office in April, it has maintained a close relationship to the U.S. administration of President Donald Trump. Meanwhile, tensions have increased between Washington and Caracas.

In a broadcast, oil minister Delcy Rodriquez said that the current relationship between Trinidad, Venezuela and Venezuela is "hostile". The two countries could be able to complement each other in terms of energy.

She added that she expected President Maduro to receive the request for suspension soon.

Venezuelan officials criticized Trinidad's authorization from the U.S. for the flagship Dragon Project with Venezuela sanctioned by the U.S., and stated that Trinidad would be responsible for any gas supply.

Since Washington imposed sanctions against Venezuela in 2019, the Dragon project, located in Venezuelan waters has been delayed for a long time. This is due to frequent U.S. changes in policy.

Trinidad's government and Shell, NGC, and BP are not responding to comments immediately. They are all involved in projects that include Venezuela.

Shell is developing separately the Manatee Gas Project, which crosses over the maritime border to Venezuela. The Maduro Government had given permission for the project to be developed independently on the Trinidad-side. It was unclear if the Trinidad side of that project might also be in danger. (Reporting and writing by Marianna Pararaga and Curtis Williams, in Houston and Caracas; editing by Jan Harvey).

(source: Reuters)