Oando Plc, a leading Nigerian oil and gas company, has been selected as the preferred bidder for the 165,000-barrel-per-day Guaracara Refinery in Trinidad and Tobago.
Acting Prime Minister and Energy Minister Stuart Young cited Oando’s strong financial track record and ability to secure upstream oil sector financing as key factors in the decision.
The Guaracara Refinery, formerly part of the state-owned Petrotrin, has been inactive since its closure in late 2018 due to financial struggles.
Now managed by Guaracara Refining Company, a subsidiary of Trinidad Petroleum Holdings Limited (TPHL), the facility has been kept in “preservation mode” while the government sought investors to restart operations.
In 2023, the government opened a bidding process for the refinery, attracting interest from both domestic and international firms.
Oando emerged as one of three finalists, alongside CRO Consortium (a group of Trinidadian firms) and INCA Energy (a U.S.-based company).
The selection process involved extensive deliberation, with the Cabinet ultimately choosing Oando for its financial capability and industry experience.
Under the proposed lease-type commercial model, Oando will operate and manage the refinery while maintaining a commercial partnership with Paria Fuel Trading Company Ltd., the state-owned entity responsible for fuel importation and distribution.
The government emphasized that restarting the refinery is contingent on securing competitively priced crude imports to ensure profitability.
Young highlighted that Oando’s proposal aligns with the government’s objectives of reducing the financial burden on the state while maintaining flexibility in refinery operations.
Restarting the facility remains a top priority, as the administration seeks to revitalize Trinidad and Tobago’s refining sector.
