Oando Plc has been selected by the Trinidadian government as one of three finalists to potentially acquire the nation’s state-owned refinery, previously operated by the now-defunct Petrotrin.

During a budget presentation on September 30, Trinidad's Finance Minister, Colm Imbert, highlighted that out of an initial pool of ten proposals, the final shortlist includes CRO Consortium, a group of three Trinidadian firms, INCA Energy from the United States, and Nigeria's Oando Plc.

The bidding process commenced in February 2024, when the Trinidad and Tobago government engaged U.S.-based Scotia Capital to manage the procurement of the refinery by soliciting “expressions of interest.”

Imbert stated, “A formal selective Request for Proposals process will now be initiated to identify the winning company among these three, with the aim of restarting the refinery, if deemed feasible.”

He elaborated that the proposals were assessed based on five key criteria, including a comprehensive restart plan and timeline from the proposing entity.

This plan must encompass an asset integrity assessment, utility needs such as power, natural gas, and water, as well as sources for crude supply.

Additional criteria required a robust financing strategy that addressed working capital and included an agreement with the Trinidadian state oil company, Paria, to protect national interests in fuel security while managing Heritage’s crude supply.

Furthermore, the offeror was expected to demonstrate transparency and openness throughout the process to ensure effective information sharing for a successful outcome.

The Pointe-a-Pierre refinery in Trinidad has been inactive since 2018, following Prime Minister Keith Rowley's announcement of annual losses reaching $2 billion. In his budget address, Colm Imbert revealed that the refinery's total losses had accumulated to $15 billion by the last audit, with the government assuming a public debt of $3 billion on behalf of the facility. He also mentioned that the refinery was facing significant productivity challenges at the time of its closure.

Similar to Nigeria, Trinidad and Tobago is a crude oil-producing country that depends on imported petroleum products to meet its energy needs. Reports indicate that the refinery, established in 1917, positioned Trinidad as a key oil supplier in the Caribbean. In 1956, Texaco acquired Trinidad Leaseholds, the refinery's owner, but the assets were nationalized in 1984.

In 1993, the Petroleum Company of Trinidad and Tobago (Petrotrin) was created and took over the refinery's operations. By 2018, the refinery was closed, and Petrotrin was restructured into four separate entities, including Guaracara Refining Company, which now serves as the holding company for the refinery and other assets available for sale.

In August, Oando Plc completed a $783 million acquisition of Nigerian Agip Oil Company (NAOC), enhancing its stake in various joint venture assets. This acquisition has granted Oando control over 40 oil and gas fields, 24 of which are currently in production.