NGC, EOG sign gas contract for future domestic supplies

NGC, in a statement issued earlier this week, said both companies have “reached an agreement for a continued gas supply to the domestic market from 2019, following the execution of a gas supply contract for new reserves.” The signing took place on June 14 at EOG’s offices on Sweet Briar Road, St Clair, Port-of-Spain.

EOG is a key supplier of domestic gas to the petrochemical sector while NGC is already being a partner with EOG in the South East Coast Consortium (SECC) Offshore Block.

Describing the negotiations as tough yet exceptional, NGC president, Mark Loquan, said having an agreement in place “paves the way for increased collaboration for both companies to stimulate increased gas production to the domestic market...Both companies can now get down to the business of collaborating on the development of smaller fields and creating further benefit along the value chain for Trinidad and Tobago (TT).” Loquan also thanked the commercial and legal teams at EOG and NGC as well as the NGC board “and all involved, for their hard work and professional approach in reaching this major milestone; not only in the context of a good working history, but also for the future of our energy sector.” EOG’s managing director, George Vieira, was quoted as saying “EOG is grateful to NGC for negotiating in good faith as this charts the course for future investment and partnership opportunities.” NGC said while Loquan could not speak to specific details of the contract; in terms of volume and time, he did say this “milestone” illustrated the company’s new strategic direction and its mission of becoming a global player through strategic partnerships locally, regionally and internationally.