Andrew Gioannetti
CABINET has agreed to a shortlist of three bidders for the takeover of the passe Petrotrin refinery in Pointe-a-Pierre, Finance Minister Colm Imbert announced in his 2024/2025 finances presentation.
The bidders are CRO Consortium (a TT-essentially based consortium, comprising DR Commodities Ltd, Chemie-Tech and Ocala), US-essentially based iNca Energy LLC and Nigeria-essentially based Dando PLC, selected by Scotia Capital (USA) and an evaluate committee, from an inventory of ten eager parties.
Scotia Capital used to be hired to adjust the authorities’s third procurement direction of for the takeover.
“A formal selective quiz for proposals direction of will now be initiated to settle on the winner of these companies,” Imbert announced.
He acknowledged an evaluate committee, “comprising an authority and skilled folks” had been selected from the public and non-public sectors, “to recollect a complex transaction of this nature.”
Imbert acknowledged Scotia Capital required potential bidders to tackle particular requirements in its expressions of ardour, including proof of qualification to comprise and operate the refinery property, abilities in working a refinery and proof of the aptitude offer of financing, among several others.
Imbert well-known that the authorities tried to promote or lease the refinery twice since its closure nevertheless used to be unsuccessful for the explanation that most smartly-liked bidders “may more than likely perchance not train any tangible proof of their skill to steal the specified capital to originate and operate the refinery.”
Patriotic Energies and Applied sciences Co Ltd, a firm owned by the Oilfields Crew’ Trade Union (OWTU) submitted a disclose in 2019 and used to be within the initiating given the nod to form the refinery.
Their disclose confronted challenges, owing to financing issues, and negotiations at final fell by.
In July, Jindal Steel and Energy Ltd (JSPL), an Indian multinational firm expressed an ardour in taking on the refinery nevertheless withdrew in early August.
The PM blamed the Opposition for interesting in non-public assaults against the house owners, chasing JSPL far flung from the disclose.
Imbert acknowledged, “In pursuit of the overarching way to attract non-public sector funding for the reopening of the refinery, Trinidad Petroleum Company – the firm maintaining property for the defunct Petrotrin – commenced a third procurement direction of in 2024, with the solicitation of expressions of ardour from original potential bidders, and the parties who participated within the previous two attempts.”
He acknowledged the passe refinery used to be unprofitable because it used to be overstaffed, working with as a lot as 5 times the different of workers required for efficiency and “would never were successful beneath its previous configuration.
“However, the authorities believes that if the refinery is also reopened with none burden on the treasury, this may possibly more than likely perchance moreover provide a different of advantages when it involves employment, elevated economic job, availability of locally-produced gas and reinvigoration of fenceline communities.”
He acknowledged taxpayers shall be exact.
“It must aloof be pressured out that in this direction of, the authorities has no way of disclosing taxpayers to the recurring billion-dollar losses that passed off beforehand within the operation of the refinery…The success of this project is predicated on the realizing that it be at no designate to the taxpayer.”
