Venezuela Nears Deal with Trinidad, Shell on Gas License
Talks Conclude, Agreement Imminent
CARACAS, Venezuela — After several rounds of negotiations, Venezuela is closing in on an agreement with neighboring Trinidad and Tobago, as well as energy giant Shell, for an offshore gas exploration and production license.
The talks, which have been ongoing for several months, have reached an advanced stage, according to sources close to the negotiations. The deal is expected to be signed in the coming weeks.
Details of the Agreement
The agreement will grant Trinidad and Tobago’s state-owned energy company, National Gas Company (NGC), a 35% stake in the project. Shell will hold a 45% interest, while Venezuela’s state-owned oil and gas company, PDVSA, will have the remaining 20%.
The license covers an area of approximately 1,200 square kilometers offshore Venezuela, in the Gulf of Paria. The area is believed to contain significant reserves of natural gas.
Benefits for Venezuela
The agreement is a significant development for Venezuela, which is looking to boost its gas production and exports. The country has been facing an economic crisis in recent years, and the development of its natural gas resources is seen as a key part of its recovery plan.
The project is expected to create jobs and generate revenue for Venezuela. It will also help the country diversify its economy, which has been heavily reliant on oil.
Conclusion
The agreement with Trinidad and Tobago and Shell is a major step forward for Venezuela’s gas industry. The deal is expected to boost production, create jobs, and generate revenue for the country. It also represents a significant investment in Venezuela’s economy.
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