On July 29, 2025, the government of Trinidad and Tobago, under the leadership of Prime Minister Kamla Persad-Bissessar, announced the termination of its natural gas agreement with Venezuela.[i] This agreement, concluded with Venezuela’s state-owned oil company (PDVSA), was a long-term arrangement covering the import of natural gas from the Dragon and Cocuina-Manakin fields. While this step signals a significant shift in Trinidad and Tobago’s energy policies, it also reflects major transformations in the region’s geopolitical relations.
For many years, Trinidad and Tobago had imported natural gas from Venezuela. However, the government has taken the definitive decision to terminate this agreement. In her statement, Prime Minister Kamla Persad-Bissessar declared that relations with PDVSA had come to an end. Meanwhile, Energy Minister Roodal Moonilal criticized the foreign policies of the previous administration, noting that he rejected the negotiations with the United States’ Office of Foreign Assets Control (OFAC) regarding the continuation of the agreement with Venezuela. Moonilal further emphasized that their aim was to eliminate Trinidad and Tobago’s dependency on Venezuela in terms of energy resources.[ii] This step can be interpreted as an effort by Trinidad and Tobago to seek more secure and diversified sources in order to meet its growing energy demand.
The shift in the country’s energy policies aims to strengthen energy cooperation with other states in the Caribbean region. In particular, Trinidad and Tobago seeks to deepen its energy relations with countries such as Guyana, Suriname, and Grenada. Guyana has drawn considerable attention in recent years with the discovery of large oil reserves. The estimated 11 billion barrels of oil discovered in the Stabroek Block by ExxonMobil and its partners Hess and CNOOC has enabled Guyana to rapidly emerge as a growing energy hub. ExxonMobil’s plan to produce around 900,000 barrels per day of light crude oil by the end of 2025 presents a significant opportunity for Trinidad and Tobago. Suriname, which possesses offshore oil reserves, has been expanding with the investments of major energy companies such as TotalEnergies and Apache.
The energy sector in Suriname represents another crucial area for new partnerships and energy projects for Trinidad and Tobago. Moreover, although Grenada possesses fewer energy resources, it holds the potential to cooperate with Trinidad and Tobago in renewable energy and regional energy integration.
The termination of Trinidad and Tobago’s gas agreement with Venezuela may also influence its policies regarding the regional dispute over the Essequibo territory. Essequibo is a contested border region between Venezuela and Guyana and has long been a source of conflict between the two countries. The area is rich in natural resources, particularly oil and gas reserves, which has made the struggle for sovereignty over the region a significant issue in international relations.
The International Court of Justice (ICJ) has ruled that Essequibo belongs to Guyana.[iii] Trinidad and Tobago has declared its support for this decision and expressed its alignment with Guyana.[iv] This situation may lead to heightened tensions in Trinidad and Tobago’s relations with Venezuela. The termination of the gas agreement with PDVSA could further complicate the country’s diplomatic ties with Venezuela. At the same time, Trinidad and Tobago’s position may have been assessed in a way that strengthens its strategic ties with other major powers in the region, particularly the United States.
ExxonMobil has initiated negotiations to carry out new explorations in the deepwater areas off the eastern coast of Trinidad and Tobago in order to deepen energy cooperation with the country. Although ExxonMobil had previously withdrawn from certain deepwater areas in Trinidad and Tobago, it has now decided to return to these regions. These deepwater zones, located to the north of Venezuela and Guyana’s Stabroek Block, represent a new area of exploration for ExxonMobil.
ExxonMobil’s return to deepwater exploration areas in Trinidad and Tobago could make a substantial contribution to the country’s energy sector. Following ExxonMobil’s successes in Guyana, similar outcomes are anticipated in the deepwater zones of Trinidad and Tobago. These discoveries have the potential to increase the country’s energy production and position Trinidad and Tobago as a more competitive player in the regional energy market.
Moonilal’s announcement that negotiations are also being conducted with other major energy players indicates Trinidad and Tobago’s ambition to expand its global influence in the energy sector. These new investments are expected to enhance the country’s energy production capacity and reinforce its energy security.
Trinidad and Tobago’s decision to terminate its energy relations with Venezuela and align itself with Guyana may have been shaped by the United States’ consideration of its strategic interests in the region. The U.S. seeks to harness Guyana’s energy potential while limiting Venezuela’s regional influence. In this context, Trinidad and Tobago’s efforts to establish stronger ties with the United States and to align its policies in the Caribbean with Washington may constitute one of the factors influencing its decision.
By terminating its gas agreement with Venezuela and shifting its focus toward energy cooperation with regional countries such as Guyana, Suriname, and Grenada, Trinidad and Tobago has reached a significant turning point in its energy policy. This shift demonstrates the country’s intention to enhance its energy security and to pursue more secure and diversified sources of energy.
This strategic shift may weaken Trinidad and Tobago’s relations with Venezuela and lead the country to side with Guyana in regional disputes such as the Essequibo territory. ExxonMobil’s return to deepwater exploration in Trinidad and Tobago could boost the country’s energy production and transform it into a significant energy hub in the Caribbean.
Trinidad and Tobago’s energy policy will be shaped by how the country adapts to changes in regional and global energy markets. Through new energy partnerships, the country may diversify its energy supply and thereby sustain its economic growth. However, these strategic shifts will also carry significant diplomatic and geopolitical implications.
[i] Ruiz, Luis Alejandro, “Trinidad and Tobago Breaks Ties with Venezuelan Gas and Looks to Guyana, Suriname, and Grenada for Its Energy Future”, Guacamaya, https://guacamayave.com/en/trinidad-and-tobago-breaks-ties-with-venezuelan-gas-and-looks-to-guyana-suriname-and-grenada-for-its-energy-future/, (Date Accessed: 03.08.2025).
[ii] Ibid.
[iii] International Court of Justice, “International Court of Justice Orders Venezuela to Refrain from Elections in Guyana’s Territory Pending Final Judgment”, International Court of Justice, https://dpi.gov.gy/international-court-of-justice-orders-venezuela-to-refrain-from-elections-in-guyanas-territory-pending-final-judgment/, (Date Accessed: 03.08.2025).
[iv] “Trinidad and Tobago Maintains Support for Guyana in Border Controversy”, Guyana Chronicle, https://guyanachronicle.com/2023/12/05/trinidad-and-tobago-maintains-support-for-guyana-in-border-controversy/, (Date Accessed: 03.08.2025).
