Shell and BP Seek U.S. Sanctions Waivers to Develop Offshore Gas Discoveries in Trinidad and Venezuela

Overview

Trinidad’s energy minister Roodal Moonilal said on Wednesday that two major international energy firms have asked the U.S. Office of Foreign Assets Control (OFAC) for authorizations to tap offshore natural gas resources in the region. Shell has applied for U.S. permission to develop the Loran-Manatee discovery. BP has also lodged an application to obtain a license to advance the Cocuina-Manakin field.

Details from the minister

Speaking at the Indian Energy Week conference, Moonilal provided the specific project details. He said the Loran-Manatee discovery carries an estimated 10 trillion cubic feet of natural gas in total. Of that volume, 7.3 tcf lies on the Venezuelan side of the discovery and the balance, 2.7 tcf, is located in Trinidad's waters. Moonilal further noted that BP's application concerns the Cocuina-Manakin field, and that the Venezuelan portion of that field forms part of the presently inactive Plataforma Deltana offshore gas project, which is reported to hold about 1 tcf of proven gas reserves.

Regulatory step required

Both companies are seeking licenses from OFAC, the U.S. authority responsible for administering and enforcing U.S. economic and trade sanctions. The minister's remarks indicate the firms are pursuing formal U.S. approvals as part of efforts to move forward with development, but Moonilal did not provide further details on application timing or the status of reviews.

Implications highlighted by the announcement

The minister's disclosure confirms active interest by major international oil and gas companies in offshore gas resources that straddle national jurisdictions. The Loran-Manatee and Cocuina-Manakin areas include volumes characterized in public remarks by their combined and apportioned gas estimates. The Plataforma Deltana portion cited by Moonilal is described as currently inactive but associated with proven gas reserves estimated at roughly 1 tcf.

The minister's statements at the conference formed the basis of these details; no additional commentary or timelines for the OFAC process were provided.