Trinidad and Tobago signed a production sharing agreement with a subsidiary of bp for the exploration and production of natural gas in a shallow water block known as NCMA 2 in the North Coast Marine Area at depths of approximately 200 meters.

The agreement follows an offshore bidding round launched by the government last year, which aims to encourage an increase in gas output to feed liquefied natural gas (LNG) facilities.

The Ministry of Energy and Energy Industries continues to aggressively market and execute concessions to promote exploration and investment in the upstream, as Reuters reported.

Notably, this contract with bp is the second production sharing agreement after a similar one with Shell in September for Modified U(c) block, the round’s most contested area.