Shell Advances LNG Business with Manatee FID in Trinidad and Tobago

Shell Trinidad and Tobago Ltd. (Shell), a subsidiary of Shell plc, greenlights the Manatee project by finalizing its Final Investment Decision (FID). This marks a significant milestone for the project's advancement. Situated in Trinidad and Tobago's East Coast Marine Area (ECMA), this project represents the culmination of extensive planning and evaluation efforts. The Manatee gas field, previously untapped, is poised to contribute substantially to the region's energy landscape. Shell's FID underscores its commitment to harnessing local resources efficiently and sustainably, aligning with broader objectives of enhancing energy security and economic development in Trinidad and Tobago. The decision signals confidence in the project's viability and its potential to meet both domestic and international energy demands.

Manatee represents a strategic opportunity for Shell to strengthen its position in the Integrated Gas sector. By focusing on development initiatives within the ECMA, one of the nation's most prolific gas-producing regions, Shell aims to build upon its existing infrastructure and expertise. Key gas fields in the ECMA, such as Dolphin, Starfish, Bounty, and Endeavour, underline the area's significance in Shell's portfolio of gas assets.

The development of the Manatee gas field is pivotal as it will supplement the operations of the Atlantic LNG facility. This facility plays a crucial role in the country's liquefied natural gas (LNG) sector, and leveraging the Manatee field will enhance its operational capacity. Shell's strategy emphasizes maximizing the utilization of existing LNG plants to unlock greater value from its extensive asset base and bolster long-term sustainability.

Shell’s Integrated Gas and Upstream Director, Zoë Yujnovich highlighted the significance of the project in meeting global natural gas demand and fulfilling domestic energy needs in Trinidad and Tobago. Emphasizing Shell's commitment to enhancing its LNG portfolio, Yujnovich noted the project's alignment with their strategy to invest in competitive ventures that prioritize value creation alongside emissions reduction efforts.

Shell has set ambitious growth targets for its LNG business, aiming for a 20-30% increase by 2030 compared to 2022 levels. This strategy was highlighted during Shell's Capital Markets Day in 2023, where they outlined plans to boost LNG liquefaction volumes by 25-30% relative to 2022. These goals underscore Shell's commitment to expanding its footprint in the LNG market and capitalizing on growing global demand for liquefied natural gas.

Scheduled for production commencement in 2027, the Manatee project is poised to play a significant role in Shell's operational expansion. Once operational, Manatee is projected to achieve peak production levels of approximately 104,000 barrels of oil equivalent per day (boe/d), equivalent to 604 million standard cubic feet per day (MMscf/d). This substantial output underscores the strategic importance of Manatee in Shell's portfolio, contributing to its overall production and supply capabilities in the energy sector.