National Energy has rejected blame for Nutrien’s shutdown of its Trinidad operations, saying the decision “is not one for which any responsibility can be ascribed to National Energy or NGC.”
In a detailed statement, the company said that when current officials assumed office, they found several expired or neglected Pier User Agreements that allowed companies, including Nutrien, to pay “peppercorn legacy rates” for years, costing taxpayers over $500 million. It said Nutrien’s 2006 agreement expired in December 2020, yet the company “demanded a rate lower than that which they enjoyed for the previous 15 years.”
National Energy said it proposed new port and pier fees ranging “from US$0.02 to US$2.00 per metric ton of product,” at a time when ammonia prices were approximately US$545 per metric ton. It explained that the National Energy Board made its proposal “in good faith to provide the parties with a suitable foundation to engage in and agree upon new terms and conditions, thereby allowing Nutrien to continue operations, service its customers and retain its employees.”
However, according to National Energy, this proposal “was met with a demand by Nutrien that NGC settle the issue of future gas supply, to secure the overall economic viability of Nutrien, even though Nutrien currently enjoys the benefit of an existing gas supply contract.”
It said Nutrien “demanded that the invoiced sum of US$28 million be withdrawn as a pre-condition to any negotiation” and threatened to shut down operations and blame NEC publicly. To avert that, NEC allowed the company to continue using port facilities at legacy rates until December 2025 while pursuing a new agreement.
“Neither NGC nor National Energy has a responsibility to subsidise the operations of other companies to secure their economic viability,” the statement added. “National Energy is satisfied that it has taken all reasonable steps to support the continued operations of Nutrien, whilst at the same time fulfilling its mandate to seek the best interest of the citizens of our country, including the employees of Nutrien.”
“Despite our best efforts, Nutrien has taken the decision to shut down its operations,” National Energy said, adding that it “regrets the shutdown” but will redirect the gas originally allocated to Nutrien to other downstream plants on the Point Lisas estate.
However, despite reports that the dispute had been resolved, an internal memo from Nutrien shows the company has already shut down its Trinidad operations and remains dissatisfied with the outcome of its talks with National Energy.
Following a high-level meeting involving Nutrien, the National Gas Company (NGC), and National Energy, NGC agreed to withdraw its claim for US$28 million in retroactive port fees and reopen access to the port facilities. Nutrien had been preparing to file an injunction but agreed to stand down after the discussions.
Energy Minister Dr Roodal Moonilal said talks are continuing with Nutrien and other users of the Point Lisas port as the Ministry of Energy and Energy Industries works to update contractual arrangements.
He confirmed that discussions involve the National Energy Corporation and focus on port access and the need to bring existing contracts up to date.
“This matter will continue to occupy our attention as we work with the various users of the port to regularise and update contractual arrangements,” Moonilal said, adding that the ministry expects to provide further updates in the coming days.
