Commanding an asset base of over US$ 6 billion, The National Gas Company of Trinidad and Tobago Limited (NGC) is one of the most reputable and largest companies in the English-speaking Caribbean when measured by assets. The globally-acclaimed Trinidad and Tobago Gas Model of Development can be attributed to the hard work of NGC in facilitating the development of one of the first natural gas-based heavy industrial sectors in the region.
Established by the Government of Trinidad and Tobago in August 1975, NGC purchases, aggregates, sells and transports natural gas, which is used domestically in power generation, petrochemical production, and in the light manufacturing/commercial sector.
So successful has been the NGC model that today the Company is part of a larger group of companies, which includes Phoenix Park Gas Processors Limited (PPGPL), National Energy Corporation of Trinidad and Tobago (National Energy), NGC CNG Company Limited (NGC CNG) Trinidad and Tobago NGL Limited (TTNGL) and La Brea Industrial Development Company Limited (LABIDCO).
NGC has invested in over 1,000 km of pipeline infrastructure, both on land and offshore, with an installed pipeline capacity of 4.4 Billion standard cubic feet of gas per day (Bscf/d). In 2017, NGC transported an average of 1,400 million standard cubic feet of gas per day (MMscf/d) for domestic utilisation.
With the capability, expertise and solid reputation to deliver large-scale capital projects on time and within budget, NGC most notably constructed and operates a 56-inch-diameter Cross Island Pipeline (CIP), the largest diameter pipeline in the Western Hemisphere.
NGC has been profitable since inception
NGC is an investment-graded company which can access funding on both the local and international money markets for major capital projects. NGC has credit ratings of BBB from Standard & Poor’s; Ba1 from Moody’s and AA+ from CariCris rating agencies.
The Company has been profitable since inception and is a significant contributor of taxes and dividends to the Treasury. Its financial success has allowed the Company to self-fund key capital projects or, when necessary, access loans from international funding agencies. Collaborating with its shareholder, the Government of Trinidad and Tobago, NGC is actively engaged in promoting the country as a premier investment location for businesses desirous of expanding into Trinidad and Tobago through its subsidiary companies.
Forging strong linkages in the gas value chain
NGC is strategically placed in the midstream of the local natural gas value chain, allowing it to forge strong linkages both upstream with natural gas producers and downstream with gas consumers.
In the upstream sector, the Company has interests in exploration and production activities through a number of jointly-held investments in offshore blocks. Downstream, through its subsidiaries, NGC is involved in the development and management of port and industrial sites at the Ports of Point Lisas, Brighton and Galeota; the extraction and export of natural gas liquids (NGLs) from Savonetta and the marketing of compressed natural gas (CNG) as an alternative transportation fuel NGC has also invested in a Natural Gas to Petrochemicals Complex.
Valued partner in the global energy business
NGC’s President, Mr. Mark Loquan, said: “NGC’s vision is to be a valued partner in the global energy business. We have accrued a wealth of expertise over more than four decades and are ideally poised to share our knowledge with emerging energy jurisdictions, such as our continental neighbour, Guyana. Our partnership with Guyana will allow us to explore several options to assist that country in monetising its hydrocarbon resources sustainably, and for the benefit of its people.”
Mr. Loquan advised that similar partnerships with Suriname and Cuba were being assessed, and further afield, with Ghana and Mozambique. NGC is also involved in active negotiations to advance a gas supply contractual arrangement with neighbouring Venezuela to commercialise the Dragon marine field.
Investment in community safety and well-being
NGC strives to be a leader and innovator in the field of corporate social responsibility (CSR) and believes in adding value to Trinidad and Tobago in ways that build shareholder value. NGC’s support ranges from developing programmes to partnering with and sponsoring the initiatives of non-governmental and community-based organisations through sponsorships, grants and contributions.
It is therefore not surprising that as a national company with a national vision and mission, NGC’s CSR portfolio is extensive, with a focus on Arts and Culture, Sport, Education, Empowerment and Youth Development and Environmental Preservation.
Moreover, NGC has an ongoing energy education programme, which focuses on teaching school children and more specifically communities straddling the pipeline network, about natural gas safety, as well as developing or stimulating a public mindset about energy efficiency in their daily lives.
With regard to the latter, as a feature of responsible care, projects centred on renewable energy through its subsidiary National Energy is being given attention. This company is assisting the Ministry of Energy and Energy Industries and the Trinidad and Tobago Electricity Commission with several initiatives geared toward energy education and the adoption of renewable technologies. One notable project is the establishment of a Solar Energy Park, which involves the development of a new manufacturing industry based on advanced technology.
Target: Zero environmental footprint
As a business, NGC has committed to using energy efficiently. From a legislative perspective, it must comply with Trinidad and Tobago’s Environmental Management Act and environmental regulations.
NGC has an integrated Environment, Health and Safety Management System called the Environment, Health and Safety Improvement Process (EHSIP). The purpose of the EHSIP is to align the constellation of people, processes and technology to help maximise value in harmony with sustainability.
Notable among NGC’s many supported initiatives is the execution of a reforestation programme which is aimed at replacing 350 hectares of forest lost to pipeline construction activity.
NGC is marketing CNG as a cleaner, cheaper fuel for the country’s transportation sector through the work of its subsidiary, NGC CNG. The campaign involves the construction and refurbishment of service stations for CNG users, the offer of conversion incentives for private vehicle owners and public transport providers, provision of monetary incentives for public transportation providers to purchase new CNG vehicles, lobbying for government fleets to be converted, and a reduction in the government-endorsed fuel subsidy to encourage support for use of CNG.
Exploring new opportunities
NGC continues to focus on securing its business returns in a challenging supply and demand environment and strengthening its national contribution to the country. This means diversifying into other parts of the energy value chain locally and making investments to capture value from global arena.
NGC is well placed to take its business and experience beyond the country’s domestic borders. The Strategic Plan to 2020 has been developed to grow the organisation to match the new level of dynamism required of NGC to manoeuvre in a more complex, internationally competitive arena.
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21 January 2016
18 December 2017