Dolphin development spurred by $2 billion gas deal

June 15, 2007
In a move that will underpin commercialization of up to 1.2 tcf of currently underdeveloped gas in the ECMA off Trinidad, BG T&T and Chevron inked a $2 billion, 15-year deal to sell 220 MMscfd of gas to NGC.

Peter Howard Wertheim
OGJ Correspondent

RIO DE JANIERO, June 15 -- In a move that will underpin commercialization of up to 1.2 tcf of currently underdeveloped gas in the East Coast Marine Area off Trinidad and Tobago, BG Trinidad & Tobago and Chevron Trinidad & Tobago Resources signed a $2 billion agreement to sell 220 MMscfd of natural gas to National Gas Co. of Trinidad & Tobago Ltd. (NGC) for 15 years.

Chevron said the gas will be sourced from Dolphin field, 52 miles off eastern Trinidad in the East Coast Marine Area. Dolphin, a 50:50 Chevron and BG joint venture, started producing in March 1996 (OGJ Online, July 19, 2006).

"This project will involve drilling and completion of four new wells along with topside modifications from the Dolphin platform," said Martin Huston, BGTT executive vice-president and regional manager North America, Caribbean, and Global LNG.

Gas supplies will begin Jan. 1, 2009, said Frank Look Kin, NGC president. He said the tranche of gas will be important in achieving the government's goal of attracting new gas-based industries to the country.