Energy Minister Kevin Ramnarine says he is pleased with the announcement earlier this week by energy giant bpTT of its approval of the Juniper project.
Ramnarine noted: “The Juniper project will yield immediate and long term benefits for the people of the country by way of revenue generation and job creation.”
Construction work on the platform is expected to start in the fourth quarter of 2014. Drilling will start in 2015 and natural gas production will start in 2017. This means that BP will move from a two rig programme to a three rig programme. This is consistent with the significant increase in exploration and production activity observed in the last three years, the Energy Ministry said in a statement yesterday.
The approval by BP of the Juniper project was driven by a number of factors which include changes in the fiscal regime that have been introduced in the last four years. The Juniper project will mean an investment of approximately US$2 billion in the period 2014 to 2017. This makes the Juniper project one of the largest upstream investments in the history of the Trinidad and Tobago energy sector, the ministry said.
Ramnarine said: “This is a very important project for the future of Trinidad and Tobago’s economy. The investment is just over US$2 billion. This demonstrates strong investor confidence in the economy. Production will commence in 2017. This is a good signal for the LNG business, the existing downstream business and planned new investments. The approval of this project must be seen against the backdrop of a revitalised upstream energy sector that has responded very positively to the fiscal incentives introduced in successive budgets in the last four years.”