Oando Plc has emerged as the preferred bidder for the lease of the Guaracara Refinery in Trinidad and Tobago, defeating both the CRO Consortium and INCA Energy, a U.S.-based company.
The decision was officially announced by the country’s Minister of Energy, Stuart Young, who praised Oando’s strong financial standing as a key factor in the selection process. Notably, Oando’s $1.5 billion acquisition of ConocoPhillips’ assets in Nigeria in 2014 was highlighted as a significant indicator of the company’s financial stability and capability.
At a media briefing on Thursday, Young shared that the Cabinet had thoroughly discussed the decision before making a final call. He also expressed concerns over the decline of Petrotrin, the state-run energy firm, particularly following the government’s 2015 assumption of office. At that time, Petrotrin was facing severe financial distress, with losses ballooning from $361.5 million in 2014 to a staggering $1.2 billion by 2016.
Additionally, Young noted the sharp drop in domestic oil production, which plummeted from 144,000 barrels per day in 2005 to just 78,000 barrels per day by 2015, underscoring the challenges faced by the sector.
