Local player ships first cargoes after upping stake in Trinidad’s LNG terminal

The National Gas Company of Trinidad and Tobago (NGC) has shipped its first two liquefied natural gas (LNG) cargoes from two trains forming part of the country’s Atlantic LNG export terminal following its commercial restructuring.

The cargoes departed trains 2 and 3 at the LNG plant in Point Fortin on November 26 and December 6, 2024, heading to Italy and Egypt respectively. NGC hosted an event on that day to mark the occasion.

Atlantic LNG, a joint venture between BP, Shell, and NGC, is the operator of a 15 million tonnes per annum (mtpa) four-train liquefaction facility located on the southwest coast of Trinidad, said to be one of the largest exporters of LNG in the world. The facility currently operates trains 2, 3, and 4, while Train 1 is out of commission.

Each train previously operated under a different shareholder structure and commercial arrangements, with Shell and BP holding varying interests in all four trains, while NGC had stakes in trains 1 and 4. The facility underwent a commercial restructuring process in December 2023. The changes will take effect in a phased approach, starting this year and ending in mid-2027.

Under the unified new commercial structure, NGC’s affiliate NGC Trinidad and Tobago LNG (NGC LNG) acquired a 5.7% interest in trains 2 and 3 with effect from October 1, 2024. This is set to increase to 10% in May 2027 when Train 4 is included in the new arrangement. On completion, Shell is expected to have a 45% share in Atlantic LNG, the same as BP.

Since NGC is now entitled to its pro-rata share of trains 2 and 3 processing capacity, it believes this could lead to around six additional LNG cargoes per contract year. These shipments are anticipated to boost the company’s energy marketing and trading portfolio and provide additional revenue.

NGC Chairman, Dr. Joseph Ishmael Khan, said: “When Trinidad and Tobago shipped its first LNG cargo back in 1999, it was a historic prelude to a new era in local energy. Today, we are commemorating what we see as a similarly historic moment for our company and country. The additional cargo entitlements from Trains 2 and 3 mean additional income for us, and additional value for the people of Trinidad and Tobago.”

Shell recently reached a final investment decision (FID) for the Manatee undeveloped gas field in the East Coast Marine Area (ECMA) in Trinidad and Tobago, which is expected to provide gas for Atlantic LNG. Afterward, KBR was selected to work on the onshore portion of the gas field project.

Meanwhile, BP won the NCMA 2 block as part of the Shallow Water 2023/24 bid round that closed in May 2024. The block is located approximately 30 miles off Trinidad’s north coast, in an area where the UK giant has not undertaken any hydrocarbon exploration activities.