The National Gas Company of Trinidad and Tobago Limited (NGC) has signed a Memorandum of Understanding (MOU) with a consortium comprising Globus Energy Group Trinidad Limited (Globus Energy), Corban Energy Group (Corban Energy) and Chester LNG LLC (Chester LNG), to identify and screen technologies for micro and small-scale LNG development projects in the Caribbean. This MOU signing signals the commitment of all the companies involved to explore viable solutions to effectively manage energy security and low-carbon energy transition, and potentially expand the use of LNG across the region.
There is a pragmatic case for incorporating LNG as part of the energy transition in the Caribbean. While sustainable energy has well-defined financial, social, environmental and economic benefits, the region faces significant challenges in making a transition to renewables. Small Caribbean islands cannot adopt wholesale, a standardised model of transition to renewables, as they all have different geographical characteristics and economic circumstances.
As the world transitions towards low-carbon energy, harnessing natural gas – the cleanest burning fossil fuel – provides an opportunity to reduce carbon output during the energy transition. As such, micro and small-scale LNG projects can positively contribute to creating a cleaner energy mix for the region, as well as support climate change action within the Caribbean. The MOU provides an opportunity to explore the feasibility of small-scale LNG projects as well as the possibility of sourcing the LNG supply from gas reserves locally and across the region, to deepen and expand the value chain.
