Presentation on Upstream Opportunities

1
Trinidad and Tobago Development Status
Relationship Between Natural Resources
Exports and Wealth

• Countries unable to reduce natural resource
  dependency have lower standard of living
  
• If Trinidad does not begin taking the steps now
  to reduce its relative reliance on energy, then
  there will be negative implications when energy
  reduces activity over time.

25
US
20
Germany
France
Singapore
Japan
15
UK
PPP Per Capita thousand
Trinidad
10
Venezuela
Columbia
Mexico
5
Russia
Argentina
Costa Rica
Pakistan
0
Bolivia
India
50
25
75
0
100
of Exports in Natural Resources
Note The correlation coefficient is 0.66

• Sustainable Development initiatives
• Help diversify economy
• Help build wealth to broader base

2
Trinidad and Tobago Local Value Chain
UPSTREAM
MIDSTREAM
DOWNSTREAM
MARKET SECTORS
Chemicals, Metals etc.
Exploration
Production
Development
Power / LNG
3
The Local Value Adder
Transparency More funding options Greater financ
ial leverage
PUBLIC TRADED
Greater local control Dividends in country Multi
plier Effect
LOCAL OWNERSHIP
local financing
local owned
Development of Knowledge Skills
Transferability of Skills
LOCAL MANAGEMENT
LOCAL OPERATIONS
local employees
local spend
local services
4
Pillars of Government Strategy
Sustainable Development of TT Gas Industry
5
Government Recognition Of A Changed Developmenta
l Paradigm
Traditional Integration
High transaction costs do it yourself
Horizontal (scale)
Vertical (scope)
Virtual Integration
Low transaction costs shop and bundle
Government Role Providing packaged turnkey
solutions for investors
6
Government ObjectivesKey Concept The Triple
Bottom Line
Economic Objectives Growth Shareholder v
alue
Efficiency
Sustainable Growth
Environmental Objectives Ecosystem integrity
Climate integrity Carrying capacity
Biodiversity
Social Objectives Empowerment Equity
Social mobility Social cohesion Instit
utional development
Courtesy of Novartis
7
Vision and Strategy 2002
What are we doing as a nation to enhance our
production ? How is our production going to en
hance our nation? (Driver Investment in our Hum
an Capital)
FOSTERING PRODUCTION GROWTH
SUSTAINABLE INVESTMENT
MARKET DEPTH AND BREADTH
8
The Future for Trinidad and Tobago is not what
it used to be, but it is getting brighter
The bend in the road is the end of the road,
if you fail to make the bend AnonymousTHANK
YOU