Though committing to having a National Gas Strategy in place by the end of 2023, the Government has missed the deadline, but is forging ahead with its US$2 Billion Gas-to-Energy Project. 

At a press conference today, Vice President, Bharrat Jagdeo, who overlooks the oil and gas sector, offered no clear indication as to when the National Gas Strategy would be completed. 

“We will finalize the Gas Strategy, and we will make that public. We will take into account, the Exxon Gas Utilization Strategy but we are not going to be bound by that strategy,” the Vice President said. 

India is assisting the Government in drafting the National Gas Strategy. However, in October last year, US oil giant, ExxonMobil submitted its draft Gas Utilization Plan to the Government with the hope of securing a buy-in.    

Today, the Vice President said the Government and Exxon may very well have conflicting interests with regards to the utilization of the gas, and as such, he noted that while Exxon’s plan is being considered, the country is not bound by it. 

Mr Jagdeo said the Government intends to fast-track investment in gas development.  

“Our strategy, our goal is clear. We want to advance investment in gas development as early as possible. And so, clearly, that has to be,” he said, while again committing to make public the National Gas Strategy. 

The Vice President added that even in the absence of the strategy, the Government intends to test the market. 

“Even before the completion of the strategy, because we know what the goal is, even before that, to test the market, because we are told that there aren’t many people right now, who may be interested in funding because of the magnitude of the fund. We believe that based on bilateral contacts with us, people making specific proposals, etc, which we don’t want to go through directly, that we just test the market,” the Vice President explained. 

In the past, Mr Jagdeo had stated that even though the National Gas Strategy was not in place, the objective of the Gas-to-Energy Project has been clearly defined. 

Upon completion of the project, ExxonMobil is expected to supply Government’s US$759 million Power Plant and Natural Gas Liquids (NGL) Plant at Wales, with 50 million cubic feet of gas per day.

However, with the US$1 billion pipeline having the capacity to transport approximately 120 million cubic feet of gas per day, the Government is hoping to receive much more. 

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