BP Confirms it is Applying for OFAC Approval to Develop Venezuela–Trinidad Cross-Border Gas Field

BP has confirmed that it is pursuing a license from the U.S. government’s Office of Foreign Assets Control (OFAC) to move ahead with development of the Manakin-Cocuina gas field, which straddles the maritime border between Trinidad and Tobago and Venezuela, according to a media report. The cross-border field represents a significant opportunity for both countries, particularly as Trinidad seeks to secure additional natural gas supplies to sustain its liquefied natural gas (LNG) and petrochemical industries.

The renewed push for regulatory approval comes amid shifting geopolitical dynamics in Venezuela. Since the capture by the U.S. of Venezuela's former President Nicolas Maduro, several international energy companies have been looking to advance previously stalled projects in the South American nation. Among them are Shell (SHEL.L), which is progressing work on its Dragon and Manatee gas projects, and BP, which is focused on unlocking the potential of Manakin-Cocuina. The field is considered strategically important because of its sizeable reserves and its proximity to Trinidad’s established gas processing and LNG export infrastructure.

BP aims to develop the Manakin-Cocuina field to transport more than 1 trillion cubic feet (tcf) of natural gas to Trinidad. Once delivered, the gas would be processed and converted into LNG for export to global markets. This would not only strengthen Trinidad’s position as a key LNG exporter in the Atlantic Basin but also enhance BP’s global gas portfolio. BP holds a 45% stake in Trinidad’s flagship Atlantic LNG facilities. According to data from financial firm LSEG, production from Atlantic LNG accounted for approximately 15% of BP’s total LNG output in 2025, underlining the strategic weight of the Trinidad assets within the company’s broader operations.

However, BP cannot proceed without securing authorization from U.S. authorities. The requirement stems from ongoing U.S. sanctions against Venezuela’s state-owned oil and gas company, PDVSA, which operates the portion of the Manakin-Cocuina field located on the Venezuelan side of the border. Any development involving PDVSA necessitates an OFAC license to ensure compliance with U.S. sanctions regulations.

BP had previously obtained both an OFAC license from the United States and a development license from Venezuela to move forward with the project. However, that U.S. authorization was revoked by the Trump administration in 2025, halting progress. The company is now seeking a fresh license to revive the initiative and enable cross-border cooperation.

For Trinidad and Tobago, the stakes are high. The country has been grappling with a persistent shortage of natural gas, which has constrained feedstock supply to its LNG plants and broader petrochemical sector. This shortfall has affected production levels and export revenues. Developing cross-border gas fields with Venezuela is viewed as a crucial solution. Collectively, these shared fields are estimated to contain around 11 tcf of proven reserves, offering substantial long-term supply potential.

If approved, BP’s project could help alleviate Trinidad’s domestic gas deficit while unlocking value from Venezuelan reserves that have remained underdeveloped due to sanctions and political uncertainty. The outcome of BP’s OFAC license application will therefore be closely watched by industry stakeholders and regional policymakers alike.