The National Gas Company of Trinidad and Tobago Limited (NGC) has announced that effective 2nd April, gas supply to Caribbean Nitrogen Company (CNC) has been resumed.
This comes on the heels of the signing of a new Gas Sales Agreement on April 1, 2018, between the two companies.
This Gas Sales Agreement followed several months of complex and intense negotiations by CNC and the NGC management team, who continued to work assiduously and professionally to secure a mutually acceptable agreement, resolving all outstanding issues between the parties.
NGC’s Chairman Gerry C Brooks stated that “consistent with the reset of the new architecture NGC will continue to operate in the best interest of Trinidad and Tobago. The completion of these negotiations signals a landmark achievement that is consistent with a new business framework for the downstream industry. The terms and conditions of the revised agreement will enable both parties to successfully continue operating in Trinidad & Tobago.”
He congratulated the teams who worked on the negotiation of this agreement and thanked them for their commitment and hard work which culminated in the signing of the agreement over the Easter period.
Brooks also thanked the Minister of Energy and Energy Industries, Senator Franklin Khan and the Minister in the Office of the Prime Minister, Stuart Young for their invaluable contribution during this process.
NGC’s President Mark Loquan was high in praise for his legal and commercial teams who spared no effort in seeking the best possible commercial solution for both companies.
He said the new reality of higher gas acquisition costs, and the need for improved efficiencies across the value chain meant an extended period of intense and complex negotiations before agreement on terms beneficial to both parties was achieved.
He reiterated that “as gas aggregator, NGC will continue to seek new supply and effectively manage the network to ensure continuity at a difficult time in the industry and thanked the Board of NGC and teams involved for their professionalism during the negotiation process.”