Guyana, Trinidad & Venezuela LNG
Caribbean stands at a pivotal moment. Chevron's license extension to operate in Venezuela provides an opportunity for Trinidad and Tobago and Guyana to join Venezuela in forging a Caribbean alliance that counters external powers and builds a future of shared prosperity. This decision was orchestrated by special envoy Richard Grenell, tied to a prisoner exchange, blending diplomacy with energy policy. United States hardliners, including Secretary of State Marco Rubio, and representatives Mario Diaz Balart, Carlos Giménez, and María Elvira Salazar have long advocated for isolating Nicolás Maduro's government through stringent sanctions. Their opposition to Chevron's presence stems from a belief that oil revenues prop up an authoritarian government.
Meanwhile, Guyana fears that a stronger Venezuelan economy could fuel recovery atempts of stolen Essequibo territory. Trinidad and Tobago is caught in the middle. Potential insured gas projects face setbacks from United States sanctions, revoking licenses for joint ventures like Platforma Deltana or Mariscal Sucre. How can Caribbean navigate its energy future without being pawns of global powers? Announcement of Chevron's license extension met with silence from US hardliners. Rubio in January 2025 called for reconsidering Chevron's deal, arguing it enriched Maduro's government. Díaz Balart, Giménez and Salazar, docked as crazy Cubans by Trump, pressured the administration to revoke the license earlier in 2025: citing Maduro's failure to hold free elections. Their silence suggests a strategic retreat, possibly to avoid clashing with Trump's decision. Instead, they've shifted focus to immigration issues like temporary protected status for Venezuelan migrants and Tren de Aragua narrative.
Laura Loomer reported that these representatives are threatening to vote against Trump's big beautiful bill if the Chevron extension is not reversed, indicating a potential escalation of their opposition. Lumerous characterization of their stance, as driven by Hispanic cognitive dissonance over Venezuela rather than national interest, underscores the personal and political tensions at play. They prioritize their constituents' extremist sentiments over broader energy policy gap. Richard Grenell warns a Miami Herald article claiming negotiations tied Chevron's oil exports to deporty returns is fake news. Despite Grenell's dismissal, the article viral spread in Latin America suggests that hardliners restrained from direct criticism, while indirectly amplified such narratives to pressure the administration, especially given Maduro and Cabello's consistent willingness to accept deportees since January 2025.
Marco Rubio visited Guyana and warned of consequences for what he perceives as Venezuelan aggression. Economic ties with Venezuela seem risky, potentially empowering a rival rather than fostering peace. These concerns highlight the challenge of bridging ideological divides and historical mistrust to pursue mutual gains. The dream of a unified Caribbean energy market took a hit in April 2025 when the United States Office of Foreign Assets Control OFAC revoked licenses for gas projects like Dragón, Manakin and Cocuina involving Venezuela, Trinidad and Tobago and indirectly Guyana. These project, part of the Mariscal Sucre and Plataforma Deltana basins, aimed to tap 8 trillion cubic feet of gas reserves near Trinidad and Guyana's maritime borders. For Venezuela, they promised revenue to offset oil sanctions. For Trinidad, they promised a boost to its liquidified natural gas industry. For Guyana, they promised a chance to diversify its energy portfolio. The revocation effective by May 27th, 2025 halted payments and development, leaving all three nations reeling.
Trinidad and Tobago's prime minister Steuart Young sought urgent talks with Rubio, signaling the blow to their energy strategy. Venezuela lost a chance to monetize its gas reserves, while Guyana, though less directly involved, feels the ripple effects in a region where energy and geopolitics intertwine. The setback underscores the Caribbean's vulnerability to external powers, particularly the United States, which can dictate terms through sanctions. Yet, it also opens a door. Could these shared losses push Venezuela, Trinidad, and Tobago and Guyana toward a new alliance free from foreign control?
Venezuela's oil reserves, the world's largest at 300 billion barrels, attract global players: each with its own agenda. Russia through Roseneft has scaled back direct investments since 2020, but continues to aid Venezuela's sanction evasion focusing on debt recovery. Chinese firms like CNPC, which took 68% of Venezuela's 2023 crude exports, are poised to seize Chevron's assets if United States companies exit with plans to refurbish refineries. Iran provides technical expertise, while Saudi Arabia and the United Arab Emirates worry of Venezuela's potential to flood oil markets and lower prices. They prefer a constrained Venezuelan industry. These powers see Venezuela as a prize in a global chess game with the United States using Chevron's extension to maintain leverage, as Grenell's May 20th, 2025 interview suggested.
This competition underscores a harsh reality. The Caribbean is a battleground for external influence. Russian and Chinese narratives frame the United States as imperialist. Saudi Arabia and the United Arab Emirates prioritize their own oil revenues opposing Venezuela's recovery. For Caribbean nations, reliance on these powers risks exploitation: whether through United States sanctions, Chinese loans, or Russian debt schemes. The viral spread of the Miami Herald article labeled as fake by Grenell exemplifies this dynamic, with Russian and Chinese outlets potentially amplifying the narrative to weaken United States credibility in Latin America.
Venezuelan government is expected to further escalate this misinformation campaign: likely through state media and international allies framing the alleged oil for deportees deal, as proof of United States hypocrisy. Thus anti-American sentiment would be reinforced, complicating diplomatic efforts. Chevron extension, while stabilizing Venezuela's exports, delays deeper involvement by competitors: offering a window for the Caribbean to chart its own course. Venezuela plays powers against each other. The Chevron license extension, tied to a prisoner swap, shows Maduro's willingness to engage the United States for economic relief. China's massive crude purchases and refinery investments secure Venezuela's export market, while Iran's technical support and Russia's sanction evasion keep non-western options open.
This multi-alignment strategy allows Venezuela to extract benefits from all sides, using its oil wealth as leverage. Extending this approach regionally, Venezuela could spare head an alliance with Trinidad and Tobago and Guyana. The Platforma Deltana and Mariscal Sucre projects, despite their current halt, offer a blueprint shared infrastructure. They could supply Trinidad's liquified natural gas plants, boost Venezuela's revenue, and integrate Guyana's burgeoning oil sector. Economic interdependence could ease tensions, particularly over Essequibo, by aligning incentives. Historical examples like Peru and Ecuador's border resolution, through economic zones, suggest that cooperation can diffuse conflicts. By acting together: these nations could negotiate better terms with global powers, reducing reliance on any single player.
The setbacks from halted gas projects and the broader geopolitical competition underscored the urgency of regional unity among Venezuela, Trinidad and Tobago and Guyana. A united Caribbean could counter the influence of external powers: United States, Russia, China, Iran, and Arab states by leveraging collective energy resources and diplomatic weights. Practical steps to achieve this include: establishing a regional energy framework under Caricom, or selected states from Latin America and the Caribbean, modeled on successful regional blocks such as the Association of Southeast Asian Nations or Mercosur
The Association of Southeast Asian Nations formed in 1967. It unified diverse nations like Indonesia and Malaysia, through economic cooperation: boosting their global influence. Mercosur since 1991 integrated South American economies, increasing trade by 300% in its first decade. A Caribbean framework could similarly coordinate energy projects with Venezuelan gas as a cornerstone. Economic incentives are critical for Venezuela. Gas projects could generate one or two billion dollar annually, offsetting oil sanction losses. Trinidad and Tobago faces declining reserves, it could secure 150 to 300 million cubic feet of gas daily for its liqufied national gas industry, extending its energy lifespan. Guyana with its Stabroek block producing 600,000 barrels per day could diversify into gas, gaining infrastructure and markets through partnership. These benefits align incentives encouraging cooperation over competition.
A binational zone in Essequibo, overseen by Caricom, could channel oil and gas revenues to both nations, with a moratorium on territorial claims. United States influence, particularly through sanctions poses another challenge. A united Caribbean could counter this by diversifying partnerships: inviting investment from neutral players like India or Brazil, reducing reliance on any single power. Historical presidents reinforce feasibility. The European Coal and Steel Community formed in 1951. It united France and Germany through shared resources, preventing conflict and laying the groundwork for the European Union.
A Caribbean energy pact could similarly bind nations with Venezuela's oil and gas, Trinidad's liquified natural gas expertise, and Guyana's rising production, forming a robust economic base. By 2030, such unity could position the Caribbean as a net energy exporter, rivaling OPEC+ members. This counterforce would negotiate with global powers as equals, ensuring: autonomy, shared prosperity, and a Caribbean sphere of influence. A regional energy hub would be created that serves local needs first. Prosperity would drive stability, as the European coal and steel community once united former enemies after World War II.
Caribbean sphere of influence would reduce emigration and crime woes. For Guyana's people, it transforms a rival into a partner with peace agreements safeguarding Essequibo. A united Caribbean could stand firm against external powers, negotiating trade on its terms. A blend of oil, gas, and renewables could fuel a Caribbean that answers to itself. By balancing global powers and prioritizing regional unity, we can build a future where Caribbeans answers to ourselves, as prosperous, stable, and free. Let's educate with stories of success, inspire with visions of strength, and act together to make this vision real.
