BP says US support opens path for Venezuela offshore gas project
SEATTLE (Oil Monster): BP says new sanctions relief on Venezuela allows it to proceed on a major offshore natural gas project in the region.
A company spokesperson told Upstream that a new general licence granted to BP by the United States Office of Foreign Assets Control (OFAC) to do business with Venezuela gives it the green light to develop the Manakin-Cocuina gas field. The field straddles the maritime boundary of Venezuela and Trinidad & Tobago.
The Cocuina offshore gas find in Venezuela was first discovered in 1983. Manakin in Trinidad & Tobago was confirmed in 2000. Roughly 66% of the gas resource to be had from the cross-border field is contained in Manakin on the Trinidad & Tobago side, the remainder in Venezuelan territorial waters in Cocuina.
The company first announced its intent to proceed on Manakin-Cocuina in July 2024, when Venezuela's government granted BP and the National Gas Company of Trinidad a licence to develop the field.
The governments of Trinidad & Tobago and Venezuela have agreed to jointly develop the offshore gas discovery.
Though BP holds the operatorship for Trinidad & Tobago's side, the company said at the time that the licence from Venezuela would simplify work there.
“The award of the licence would not have been possible without the significant diplomatic efforts by the government of Trinidad & Tobago and their leadership in driving strong collaboration between BP, the National Gas Company, and the governments of Trinidad & Tobago and Venezuela,” BP president David Campbell said at the time in a release.
The company thought it had a US government waiver from sanctions on Venezuela to develop Manakin-Cocuina until OFAC determined otherwise in 2025.
Now, new general licences announced by OFAC earlier this month give BP and a handful of other exploration and production companies clear permission to conduct business with the Venezuelan government and its state-owned oil company.
Courtesy: www.upstreamonline.com