Oando Plc has been selected as the preferred bidder for the lease of the Guaracara Refinery in Trinidad and Tobago.

According to local media reports, Oando defeated Trinidad’s CRO Consortium and INCA Energy, an American company, to win the lease of the refinery.

The country’s Minister of Energy, Stuart Young, announced that the decision was primarily based on Oando’s strong financial track record, highlighting its $1.5bn acquisition of ConocoPhillips’ assets in Nigeria in 2014.

Speaking at a media briefing on Thursday, Young said Cabinet had taken “considerable time” discussing the decision.

“We had robust conversations and interrogations,” he said, emphasising the significance of the decision.

Young had expressed concerns over the decline of Petrotrin, the country’s energy firm, lamenting when the government took office in 2015.

He said Petrotrin was struggling with losses of $361.5m in 2014, which escalated to $1.2bn by 2016.

During this period, domestic oil production sharply dropped from 144,000 barrels per day in 2005 to 78,000 barrels by 2015.

A post by the Office of the Prime Minister on Facebook read, “Cabinet agreed to inform Trinidad Petroleum Holdings Limited of its non-objection to the pursuit of discussions with energy company Oando to negotiate the lease of the Guaracara refinery.

“An Evaluation Committee had been established to evaluate the request for proposals for the use of the Guaracara refinery. Prime Minister (Ag) Young said the expressions of interest were reviewed by the committee of industry professionals, and three companies were shortlisted. The Evaluation Committee recommended that Oando Trading DMCC be the preferred bidder for the lease of the Guaracara refinery.”

Prime Minister Young emphasised the government’s commitment to protecting Paria Fuel Trading Company Limited’s assets, ensuring a stable supply of domestic fuel for the population, and safeguarding Paria’s resources during the refinery restart process.

In January, Oando said it was awarded the operatorship of Block KON 13 in Angola’s Onshore Kwanza Basin.

A statement by the company’s Secretary, Mrs Ayotola Jagun, said this followed a competitive bidding process organised by the Angolan National Agency for Petroleum, Gas, and Biofuels..

According to Jagun, Block KON 13 is strategically located in the prolific Kwanza Onshore Basin which represents significant exploration potential in both pre-salt and post-salt plays, with estimated prospective resources of 770 to 1,100 million barrels of oil.

This came after the company’s recent successful acquisition of NAOC Ltd in Nigeria.