Trinidad and Tobago has reportedly chosen oil and gas company Shell as the preferred bidder for a shallow water block.
Reuters is reporting that the company was chosen out of firms including BP and EOG Resources.
Trinidad and Tobago has in recent years struggled to feed its liquefied natural gas and petrochemical plants, as its natural gas production declines.
The government has organized bidding rounds while pressing producers to deliver first output from offshore projects.
Shell and BP are the two largest shareholders in Trinidad's flagship 15.3 million tons per annum Atlantic LNG project.
They have been trying to boost output to secure feedgas for the liquefaction trains.
The report says Shell is in negotiations with the government on terms for working on the Modified U (c) block, the most contested of 13 areas offered by the Caribbean country's government in a shallow water auction last year.
The 13 areas collectively hold estimated resources of some 13 trillion cubic feet of gas.
_logo.png){kind=logo}
All feeds
