(NGC, 13.Nov.2019) — The National Gas Company of Trinidad and Tobago Limited (NGC) notes the decision taken by Yara Trinidad Limited to cease operations of its ammonia plant located at the Point Lisas Industrial Estate, Trinidad. The Yara plant production represents circa 5% of total ammonia production in Trinidad. This is one of Yara’s smallest plants. Combined with low efficiency and reduced commodity prices, the operations of the company will be impacted.
Yara Trinidad Limited is a long-standing customer of NGC and one of the earliest occupiers of the Point Lisas Industrial Estate starting with commercial operations from 1966. Like Yara Trinidad Limited, NGC has also felt the effects of the volatile and challenging environment currently facing both the local and global energy sector. NGC has used its best efforts to mitigate the effects of these challenges on its valued customers on the Point Lisas Industrial Estate.
Such efforts have included securing gas from the upstream for the future; improving stability and reliability of supply; buffering downstream from upstream disturbances; focusing on energy efficiency initiatives; playing an active and visible role in finding solutions to the challenges in various forums, including PLEA (with all midstream and downstream CEOs); active participation at local and international Energy Conferences, shaping discussions on marginal fields and ensuring greater collaboration with the GORTT and all stakeholders in the gas value chain; while reducing claims through commercial resolution amongst others.
These initiatives have been successful in improving the supply of gas to the domestic petrochemical industry and enabled NGC in recent times to execute renewal agreements with Caribbean Nitrogen Company Limited, Nitrogen (2000) Unlimited and Nutrien in respect of their ammonia plants on the Point Lisas Industrial Estate.
At present NGC is in advanced stages of negotiations for renewal agreements with other customers on the Point Lisas Industrial Estate including two affiliate ammonia plants of Yara Trinidad Limited. As the aggregator to the domestic petrochemical Industry NGC shall continue to work assiduously and balance its existing gas supply in accordance with its contractual obligations and in the best interest of its customers, the sector and the people of Trinidad and Tobago.