BP to Sell 20% Manakin Gas Stake to Trinidad’s NGC

BP has agreed to sell a 20% stake in the Manakin portion of the cross-border Cocuina-Manakin natural gas field to Trinidad and Tobago’s state-owned National Gas Company (NGC), according to several media reports.

BP and NGC signed the agreement for the stake in the Manakin section of the gas field on Monday, marking a move that will increase NGC’s participation in gas resources located on the Trinidad side of the maritime boundary.

The Cocuina-Manakin field contains about 1 trillion cubic feet of natural gas reserves and extends across the maritime boundary between Trinidad and Tobago and Venezuela. The Cocuina section forms part of Venezuela’s undeveloped Deltana Platform gas project, while the Manakin portion is located on the Trinidad side.

NGC already owns a 20% interest in the Cocuina portion on the Venezuelan side. The latest transaction gives the company a corresponding stake in the Trinidad-side development, creating a more balanced position across the cross-border gas field.

The agreement comes less than four months after Venezuela granted BP a license to develop the Cocuina field. NGC sought participation on the Trinidad side because about 66% of the Cocuina-Manakin field is located on the Trinidad side of the border. The company did not want to maintain a 20% interest in the Venezuelan portion without a corresponding position in Trinidad.

BP and NGC have also agreed to market 70% of the project’s gas to Atlantic LNG, which operates Latin America’s largest liquefied natural gas export facility, NGC said.

The arrangement could provide additional feedstock for Trinidad’s LNG infrastructure at a time when the country’s domestic natural gas supplies have faced constraints. Atlantic LNG has struggled in recent years because of lower domestic gas availability, which has reduced production and forced the closure of one of its four processing trains.

BP is already a major stakeholder in Atlantic LNG, holding a 45% interest in the facility. Shell also owns a 45% stake, while NGC holds the remaining 10%.

The Manakin transaction could strengthen coordination between BP and NGC across Trinidad’s natural gas value chain, from upstream production to LNG marketing. It also supports efforts to improve gas availability for Atlantic LNG and potentially increase utilization of existing export infrastructure.

For Trinidad and Tobago, greater participation in the Manakin development could improve access to domestic gas resources and support the country’s position as a regional LNG supplier. For BP, the transaction allows the company to monetize part of its upstream interest while retaining exposure to the project and its potential gas production.

Product Impact: The transaction is likely to have a positive medium- to long-term impact on Trinidad’s natural gas supply outlook. Greater NGC participation and the planned marketing of 70% of the project’s gas to Atlantic LNG could improve feedstock availability and support higher utilization of LNG infrastructure. However, the immediate impact should remain limited because production development will take time.

Chemical Commodity Price Impact: Increased gas availability could place mild downward pressure on natural gas-linked chemical feedstocks and products in the region by improving supply security. Potentially affected commodities tracked by ChemAnalyst include methanol, ammonia, urea, hydrogen and other gas-based petrochemical products. Globally, the price impact is expected to remain limited.