Trinidad plans phased restart of refinery

The Trinidad and Tobago Government plans to restart operations at the Guaracara Refinery at Pointe-a-Pierre, according to Finance Minister Davendranath Tancoo.

The refinery — the country’s only petroleum refinery — was shut down in November 2018, primarily due to mounting debt, operational losses and aging infrastructure.

Tancoo said the Kamla Persad-Bissessar-led government intends to restart operations in a phased manner, and delivered a firm commitment in his budget address.

“We will restart the refinery. We are advancing the phased restart of the Guaracara Refinery at Pointe-a-Pierre. Following receipt of the Comprehensive Report of the Refinery Restart Committee, the Government is evaluating proposals from a shortlist of serious local and international investors,” he said.

He added: “Let me be clear, we will approach the restart of this national asset with fiscal discipline. Our objective is to secure a credible, commercially viable and fully financed arrangement that protects the national interest while creating the conditions for renewed economic activity.”

Tancoo made the announcement as he presented the TT$63.3 billion national budget for 2027. Further details on the refinery venture, he said, will be provided by the Ministers of Energy and Energy Industries.

The Finance Minister also pointed out that Trinidad and Tobago relies heavily on energy — more than 70% of the country’s foreign exchange earnings come from energy exports. In other words, oil and gas sales bring in the US dollars that help pay for everything else in the economy.

Trinidad has long pitched its refinery as an option for Guyana’s crude. However, Guyana says it wants its own refinery and since then, several investors have shown interest in building one here. The government is still reviewing proposals.

Beyond the interest in partnering with Guyana, for Trinidad and Tobago, several new gas projects are expected to start producing in 2027, and on the oil front, ExxonMobil is exploring in ultra-deepwater blocks, backed by a potential investment of US$21 billion.