Petrotrin refinery shut down

[Redman]

Where is Niquan in all of this?

[wing]

Niquan is separate from all of this. It is located in the Refinery borders. However, if the Refinery is restarted, a certain product from a certain plant could be used as feedstock for niquan, hence it's location in the first place.

[sMASH]

Our worst enemy with all these going-ons is time.
The refinery just keeps on ageing and timelines for cost effective and efficient recommissioning may soon start to enter the realm of non- viability to investors.
Our domestic inability to commit to processes and strategies with time being the essence continues to avoid us from getting our head above drowning conditions.
Patriotic will first appeal/beg for a second chance and if this fails litigation, including injunctions are going to fly.
Individuals with hopes of being re-employed must be suffering the onset of acute disappointment.

This.........toured the Mittal plant last month and the amount of work it looks like there would need, Petrotrin would probably be headed that way

so whats the latest with that plant?

[gastly369]

Causeee rawwwllee say so so is so....
Pap environs is now a dead ass ghost town plenty "supporters at that time" now feeling the trickle effect...

Just like the claim cleaners making what was it 15k?...

Alot of ppl claiming the plant is worthless scrap iron , if they only knew the cost.

[rebound]

Well I think the GORTT should give the union every facility....not that Im pro union....I think we should have a local entity operating it...

Keep the value created here,keep forex here...and given the size of the operation there is plenty space to create wealth for the population.

Patriotic should create a legacy fund that houses a % of the refinery- for retirees and all the workers...this will spin off dividends and appreciate.

With the right approach to the Capital Market side -Patriotic can become a MAJOR presence in our day to day market- short term notes,forex etc....and on stabilisation of the org- we can IPO it out to the local market, and have various fixed income instruments.

A foreign owner will HAVE to focus on extraction of the value for their stakeholders.

What if the investors backing Patriotic are foreign tho? I dont remember seeing anything about who are the investors, I may be wrong.

[wing]

Well I think the GORTT should give the union every facility....not that Im pro union....I think we should have a local entity operating it...

Keep the value created here,keep forex here...and given the size of the operation there is plenty space to create wealth for the population.

Patriotic should create a legacy fund that houses a % of the refinery- for retirees and all the workers...this will spin off dividends and appreciate.

With the right approach to the Capital Market side -Patriotic can become a MAJOR presence in our day to day market- short term notes,forex etc....and on stabilisation of the org- we can IPO it out to the local market, and have various fixed income instruments.

A foreign owner will HAVE to focus on extraction of the value for their stakeholders.

What if the investors backing Patriotic are foreign tho? I dont remember seeing anything about who are the investors, I may be wrong.

Apparently they cannot divulge due to an NDA.

[Redman]

The financiers are foreign.
But once the debt is paid off the majority would probably be local shareholders/the union.

[Dizzy28]

Our worst enemy with all these going-ons is time.
The refinery just keeps on ageing and timelines for cost effective and efficient recommissioning may soon start to enter the realm of non- viability to investors.
Our domestic inability to commit to processes and strategies with time being the essence continues to avoid us from getting our head above drowning conditions.
Patriotic will first appeal/beg for a second chance and if this fails litigation, including injunctions are going to fly.
Individuals with hopes of being re-employed must be suffering the onset of acute disappointment.

This.........toured the Mittal plant last month and the amount of work it looks like there would need, Petrotrin would probably be headed that way

so whats the latest with that plant?

The liquidators still seeking a buyer.

[zoom rader]

What a mess the red Goverment made .

Jack arse country filled with 3200000 stupid people

[De Dragon]

Our worst enemy with all these going-ons is time.
The refinery just keeps on ageing and timelines for cost effective and efficient recommissioning may soon start to enter the realm of non- viability to investors.
Our domestic inability to commit to processes and strategies with time being the essence continues to avoid us from getting our head above drowning conditions.
Patriotic will first appeal/beg for a second chance and if this fails litigation, including injunctions are going to fly.
Individuals with hopes of being re-employed must be suffering the onset of acute disappointment.

This.........toured the Mittal plant last month and the amount of work it looks like there would need, Petrotrin would probably be headed that way

so whats the latest with that plant?

The liquidators still seeking a buyer.

JUHn Scarfy and his minions had a buyer for AM, but as it their norm, Maccari ran in with a "we go invest 3-5 Billion $ start back everyting!" and JUHN Scarfy and Guy Smiley took it hook, line and sinker. This was 2 years ago and what happened since then? NAF! Mittal rottening before our very eyes, and will have to be virtually given away in the end

[daxt0r]

buying scrap iron old battery buying , for the great management of the country from 1962 till present thank the great PNM

[zoom rader]

Elite will probably get a contract to sell the scrap iron.

When Caroni was scrapped, Red goverment supporters got contracts to dig up Caroni rail tracks and chop up the trains carriages.

It was only time you saw people looking like Rowlee working hard in Caroni .

[Redman]

Our worst enemy with all these going-ons is time.
The refinery just keeps on ageing and timelines for cost effective and efficient recommissioning may soon start to enter the realm of non- viability to investors.
Our domestic inability to commit to processes and strategies with time being the essence continues to avoid us from getting our head above drowning conditions.
Patriotic will first appeal/beg for a second chance and if this fails litigation, including injunctions are going to fly.
Individuals with hopes of being re-employed must be suffering the onset of acute disappointment.

This.........toured the Mittal plant last month and the amount of work it looks like there would need, Petrotrin would probably be headed that way

so whats the latest with that plant?

The liquidators still seeking a buyer.

JUHn Scarfy and his minions had a buyer for AM, but as it their norm, Maccari ran in with a "we go invest 3-5 Billion $ start back everyting!" and JUHN Scarfy and Guy Smiley took it hook, line and sinker. This was 2 years ago and what happened since then? NAF! Mittal rottening before our very eyes, and will have to be virtually given away in the end

Your usual accurate perspective.

https://newsday.co.tt/2019/08/28/maccar ... eel-plant/

MACCARI Steel Holdings Ltd remains optimistic that it will be successful in its bid to restart, rehabilitate and operate the former Arcelor Mittal plant in Point Lisas.

Maccari investor Unanan Persad expressed this optimism on Wednesday.

The plant was closed in March 2016, beginning liquidation proceedings soon after to pay off its reported $1.3 billion debt. Most of this debt was owed to its parent, the ArcelorMittal group, which is based in Luxembourg.

Persad said the plant was first sold to NuCor last year for US$20 million. But he added that NuCor was not using the plant in its entirety and eventually withdrew. He thanked the Government for not granting a commercial licence to NuCor because it was not going to use the entire plant.

But Persad said the Government indicated it could not intervene because this was a private matter.

After NuCor withdrew, Persad said, Maccari submitted a US$27 million bid for the plant. In May, Maccari came in second to Aeternus Steel Holdings Ltd, a joint venture between local company Integrus Group and Dubai investors Cassia Group, with a bid of US$41 million for the plant.

Persad said Aeternus also withdrew because it was not using the entire facility.

He said liquidator Christopher Kelshall approached Maccari to find out if it was still interested in the steel plant. Maccari demonstrated its continued interest with a US$180 million offer to restart, rehabilitate and operate the plant. This information was contained in a letter sent to Kelshall on June 18.

"The ball is now in the liquidator's court," Persad said.

He claimed the liquidator refused this offer and "has decided to end the bidding process altogether for one that he has not yet explained."

Kelshall could not be contacted for comment.

Persad said Maccari, a consortium made up of local and international investors, including former steelworkers, will be meeting with business chambers to discuss its plans for the plant. He added that if the plant can brought back into operation, it would be a major shot in the arm for the economy. Persad also said Maccari has started a campaign on social media to highlight what is going on with the plant.

In a statement circulating on social media, Steel Workers Union of TT ex-president Christopher Henry confirmed Persad's statements. Henry said he was aware that Maccari had assembled "an exceptional group of engineers and technicians with considerable experience in the steel industry" in its bid to restart the plant. The resumption of the plant's operations, Henry continued, will benefit Couva, California and the surrounding communities.

He called on the Government to pay attention to what was happening in the liquidation process and the Couva and Point Lisas Chambers of Commerce to bring all the parties together to resolve this matter.

[sMASH]

im sure dizzy will agree, the assets rottenning in there. might as well sell off the equipment and use the real estate and buildings as like an eteck park kinda ting.
they was talking about revisiting aluminium. i disagree with the smelting, but u could get the billets and work it there.

check out some sort of plastics manufacturing, for regional supply. we have the methane, methanol and ammonia to do all kinda things.

[De Dragon]

Our worst enemy with all these going-ons is time.
The refinery just keeps on ageing and timelines for cost effective and efficient recommissioning may soon start to enter the realm of non- viability to investors.
Our domestic inability to commit to processes and strategies with time being the essence continues to avoid us from getting our head above drowning conditions.
Patriotic will first appeal/beg for a second chance and if this fails litigation, including injunctions are going to fly.
Individuals with hopes of being re-employed must be suffering the onset of acute disappointment.

This.........toured the Mittal plant last month and the amount of work it looks like there would need, Petrotrin would probably be headed that way

so whats the latest with that plant?

The liquidators still seeking a buyer.

JUHn Scarfy and his minions had a buyer for AM, but as it their norm, Maccari ran in with a "we go invest 3-5 Billion $ start back everyting!" and JUHN Scarfy and Guy Smiley took it hook, line and sinker. This was 2 years ago and what happened since then? NAF! Mittal rottening before our very eyes, and will have to be virtually given away in the end

Your usual accurate perspective.

https://newsday.co.tt/2019/08/28/maccar ... eel-plant/

MACCARI Steel Holdings Ltd remains optimistic that it will be successful in its bid to restart, rehabilitate and operate the former Arcelor Mittal plant in Point Lisas.

Maccari investor Unanan Persad expressed this optimism on Wednesday.

The plant was closed in March 2016, beginning liquidation proceedings soon after to pay off its reported $1.3 billion debt. Most of this debt was owed to its parent, the ArcelorMittal group, which is based in Luxembourg.

Persad said the plant was first sold to NuCor last year for US$20 million. But he added that NuCor was not using the plant in its entirety and eventually withdrew. He thanked the Government for not granting a commercial licence to NuCor because it was not going to use the entire plant.

But Persad said the Government indicated it could not intervene because this was a private matter.

After NuCor withdrew, Persad said, Maccari submitted a US$27 million bid for the plant. In May, Maccari came in second to Aeternus Steel Holdings Ltd, a joint venture between local company Integrus Group and Dubai investors Cassia Group, with a bid of US$41 million for the plant.

Persad said Aeternus also withdrew because it was not using the entire facility.

He said liquidator Christopher Kelshall approached Maccari to find out if it was still interested in the steel plant. Maccari demonstrated its continued interest with a US$180 million offer to restart, rehabilitate and operate the plant. This information was contained in a letter sent to Kelshall on June 18.

"The ball is now in the liquidator's court," Persad said.

He claimed the liquidator refused this offer and "has decided to end the bidding process altogether for one that he has not yet explained."

Kelshall could not be contacted for comment.

Persad said Maccari, a consortium made up of local and international investors, including former steelworkers, will be meeting with business chambers to discuss its plans for the plant. He added that if the plant can brought back into operation, it would be a major shot in the arm for the economy. Persad also said Maccari has started a campaign on social media to highlight what is going on with the plant.

In a statement circulating on social media, Steel Workers Union of TT ex-president Christopher Henry confirmed Persad's statements. Henry said he was aware that Maccari had assembled "an exceptional group of engineers and technicians with considerable experience in the steel industry" in its bid to restart the plant. The resumption of the plant's operations, Henry continued, will benefit Couva, California and the surrounding communities.

He called on the Government to pay attention to what was happening in the liquidation process and the Couva and Point Lisas Chambers of Commerce to bring all the parties together to resolve this matter.

Dummy, NONE of those entities , Maccari, Aeturnus etc, ever panned out and AM is back on the block. Persad, a competitor is lying with respect to NuCor "withdrawing". They were all set for the acquisition, but after JUHN, IMPSY and Guy Smiley delayed granting the FIC, even after NuCor spent millions to get the port pilings,crane and other infrastructure inspected, they stepped back. Where are we 3 years later? Just like PT/Patriotic, lies were told, and reneging was done by the most incompetent GORTT in the history of T&T.

[The_Honourable]

The Government’s unpatriotic blunder



A prospectus document for Trinidad Petroleum Holdings Ltd’s (TPHL) issuance of a seven-year callable, secured bond suggests that the government may have had no legal grounds to offer Patriotic Energies and Technologies Company Ltd such favourable concessions regarding the purchase of the Pointe-a-Pierre refinery.

In the prospectus for the bond listed on the Luxembourg Stock Exchange, it lists the particulars of TPHL’s callable bond, where, in section titled “Limitation on Asset Sales” suggests that the government’s three year and ten year moratoria offer to Patriotic was not possible.

Under the broad section of “Covenants”, the document highlighted the negative covenants by which the issuer of the bond, TPHL, would be bound.

It noted that “the Issuer will not, and will not cause or permit” any Guarantor (Guaracara is listed as a Guarantor) to make any asset sale unless following conditions are met.

Two of those conditions necessary according to the document were if “the consideration received for the Asset Sale is at least equal to Fair Market Value” and “At least 75 per cent of the consideration received for the Asset Sale is in the form of cash or cash equivalents (as opposed to capital stock, notes, tangible assets).”

As Guaracara, the entity that owns the Pointe-a-Pierre refinery assets, is listed as a Guarantor for the TPHL secured bond, the creditors have a first lien priority on the assets as collateral in the event of circumstance that triggers default.

Therefore, if the bondholders have a claim on the refinery’s assets as collateral in the event of a TPHL default by virtue of the first priority lien—they would be able to sell the refinery assets to recoup their investment.

The problem arises with the concession that was given to Patriotic after having the winning bid in the Request for Proposals (RFP) for the sale of the asset.

Finance Minister Colm Imbert announced in the parliament on September 20, 2019, that Patriotic would be given “a three year moratorium on all payments of principal and interest, towards the purchase of the refinery and a further ten years, at a fair market interest rate, to complete the payment of the sum of US$700 million it has offered for the refinery.”

This begs the question, if the bond covenant states that 75 per cent of fair market value of the asset must be given upfront, why would the government grant such a concession when it would have received the fair market value for the asset (by virtue of auctioning the refinery in the open market) and receiving an initial offer of an upfront cash proposal of US$700 million?

Energy Minister Franklin Khan recently announced that the key issues at the end of prolonged discussions between the government and Patriotic—and the government rejecting the offer made, were the purchase price financing, the restart financing and first priority lien on the assets.

Following the government’s rejection of Patriotic’s proposal, Oilfield Workers Trade Union leader Ancel Roget held a press conference on November 1, 2020, where he noted: “Let me just say that, though it was listed as number three and perhaps less prominence was paid on that particular issue, the issue of first priority lien, that is the main issue here in this whole acquisition process stumbling block.”

Meanwhile, former Minister and current CEO of the Arthur Lok Jack Graduate School of Business Mariano Browne indicated to the Sunday Business Guardian (SBG) that the issue of a lien on the asset should have been taken into consideration at the start of the process.

Browne said: “It is difficult in the circumstances, to understand how, an RFP could go out without giving notice of such a condition. Further, having examined the proposals, the evaluation committee is limited in accepting any proposals, by the existence of a pre-existing condition.”

Notwithstanding, Roget said that Patriotic was also surprised that the issue of restart financing resurfaced as one of the factors that led to the rejection of the entity’s proposal since, this would have been addressed in 2019 when Patriotic responded to its ability to finance the purchase and operation of the refinery.

Moreover, Roget disclosed that it was only on 17th of July 2020 that Patriotic was first alerted that TPHL had major difficulties getting around some major financing issues related to the offer made by the minister of Finance on 20th September of last year.

On August 28, TPHL’s international attorneys confirmed that the issues “may be insurmountable based on the offer made by the Minister of Finance in September” 2019. Roget added that on September 11, TPHL provided patriotic with the documentation related to the existing liens.

According to Browne, in this matter a question must be asked about the Finance Minister’s foreknowledge. He continued: “If they did not know, you have to ask the question, How could you not know? What are your advisors there for?”

Whether Imbert knew or not, Roget revealed in his press conference that due to the issues facing TPHL, in it’s most recent proposal Patriotic submitted an upfront cash offer “supported by a letter from one of the top ten world investment banks”, and it also addressed the lien challenges and suggested a path forward.

Recently an Evaluation Committee appointed by Cabinet to reassess the Request For Proposals (RFP) for the use of the Guaracara (Point-a-Pierre) refinery was appointed by the Prime Minister, which would prolong the negotiation process for the sale of the asset.

The TPHL prospectus noted that government appointed Scotiabank for the sale of Guaracara and it presumes that the government would have motivation to sell the assets since it noted if it is unable to be sold “this may have a material adverse impact on our financial condition and results of operations, and on our ability to make payments on the Notes.”

Furthermore, the prolonging of the process is not one that is without costs. The prospectus noted: “The estimated cost of preservation of the Refinery for the period from January 2019 through September 2019 is T.T.$32.9 million.”

Assuming that the annualised cost of preservation is $43.87 million ($3.66 million per month), if this deal is not closed in 2021, it would amount to approximately $88 million.

If the deal does not close, it would also cost Patriotic millions of US—as Roget disclosed that these funds were spent in the production of a Comprehensive Business Plan, detailed market studies which has information about new markets that Petrotrin never explored, detailed feasibility studies and all Patriotic’s technical know how.

The TPHL prospectus also continued to note: “If we are unable to sell Guaracara’s refining assets, we would continue to keep the Refinery in preservation mode, until such time as we either sell it or abandon it.”

TPHL also cautioned bondholders of the risks related to its relationship to the government, who as sole shareholder appoints all TPHL board of directors, which in turn appoints our executive officers.

It disclosed that as a result, TPHL may be directed to engage in activities or pursue policy objectives that give preference to the objectives of the Government rather than to its own economic and business objectives.

The prospectus noted: “In circumstances involving a conflict of interest between the Government, as our sole equity owner on the one hand, and holders of Notes, as our creditors on the other, the Government may exercise its power to control us in a manner that would benefit the Government to the detriment of the holders of Notes.”

It also highlighted the reach of the Minister of Finance as the corporation sole in this relationship. The paperwork stated: “The Corporation Sole has the power, with the permission of the President, to acquire, purchase, take, hold and enjoy movable and immovable property of every description, and to convey, assign, surrender and yield up, mortgage, demise, re-assign, transfer or otherwise dispose of, or deal with, any movable or immovable property vested in the Corporation Sole upon such terms as the Corporation Sole seems fit.”

The SBG requested comments from both Ministry of Energy and Finance on the matter via email. The SBG asked:

Based on the TPHL Callable bond agreement that expires in June 2026—the assets cannot be disposed unless receiving at least 75 per cent of the fair value in cash or cash equivalents up front. If the bond holder is dependent on assets of the guarantor (Guaracara in this instance) for collateral how would the bond holders be protected in the event that it is transferred, especially if it is done so over a period of time?

The Ministry of Finance’s press release on 20th September, 2019 indicates that the RFP was “for the sale of the Pointe-a-Pierre Refinery” where the most recent press release from the Ministry of Energy indicates that a evaluation committee was put in place to review the RFPs “for the use of the Guaracara (Point-a-Pierre) refinery”. Is there any particular reason for the change in wording? Or do the two mean the same thing?

Finally, is there a provision in the bond indenture for the TPHL Callable bond agreement that expires in June 2026 that allows for the government to sell the Guaracara assets for over a three year or ten year period? (With reference to the moratorium that would be granted to Patriotic if they prove successful).

Up to press time, neither responded.

Source: https://www.guardian.co.tt/news/the-gov ... 768d6f424e

[rebound]

Hmmm... So Roget was sent an a deliberate ride??

[Redman]

Hmmm... So Roget was sent an a deliberate ride??

Thats not a ride- that at least misrepresentation.

In this context-that has consequences....

[Lou Screuz]

i suppose we will soon hear another racial outburst from a wealthy indian with family connections in a certain political party - or at least who have history of campaign walk-about-ing for them

i also await the next village meeting where we will hear sad tales such as :

" it did have people in mi own party saying i was too b.....b....black to be prime minister yanno !"



grate is d financiers and propagandists

[toyolink]

I have always found that the quality of work done by our present govt in order to implement strategic initiatives lacking and all kinds of issues were not given the attention they deserve.
The result ends up being, at best embarrassment, need to rework and too often, a total collapse of deal, with lots of money down the drain.
Until and unless the state ups its ability to do proper project analysis and business modeling everything on the transformational development program would remain 'pie in the sky' and could end up consuming limited financial resources with no possibility for bearing fruit.
Presently, I am still waiting on something meaningful about the fuel aggregator complex opposite the Caroni cremation site.
We need to get down to some to serious time sensitive work using individuals and teams with knowledge, experience and a commitment for timely results with associated hard accountabilities.

[K74T]

[sMASH]

Does the av drilling fraud scene have a stutute of limitations to pursue it, for recovery of funds and criminal charges?

[Redman]

Does the av drilling fraud scene have a stutute of limitations to pursue it, for recovery of funds and criminal charges?

That’s in arbitration.

Early next year they will have the initial position.

[zoom rader]

Does the av drilling fraud scene have a stutute of limitations to pursue it, for recovery of funds and criminal charges?

That’s in arbitration.

Early next year they will have the initial position.

Arbitration with whom ?

Independent or red Goverment stooges?

[sMASH]

Does the av drilling fraud scene have a stutute of limitations to pursue it, for recovery of funds and criminal charges?

That’s in arbitration.

Early next year they will have the initial position.

Arbitration with whom ?

Independent or red Goverment stooges?

https://newsday.co.tt/2019/07/16/former ... bitration/

https://www.guardian.co.tt/news/av-seek ... 00500db640

oh, no. that arbitration is not for the state and authorities to recover the $100m that av drilling swindled out of petrotrin.
that arbitration is against the petrotrin, by av drilling for termination of thier contract services and reclaiming thier wells.

this is where the state delaying prosecuting that theft will lead to wrongful termination of contract, and thus allow av to win thier claim

[Redman]

Agreed- but they cant prove whether the oil was actually delivered or not.

Which is not to say that it WAS delivered.

I think the substantiation of the claim is the problem, the cross checks at Petrotrin that were there to protect Petrotrins interest,and the MOEEIs interest were Deokisinghed.

[zoom rader]

Agreed- but they cant prove whether the oil was actually delivered or not.

Which is not to say that it WAS delivered.

I think the substantiation of the claim is the problem, the cross checks at Petrotrin that were there to protect Petrotrins interest,and the MOEEIs interest were Deokisinghed.

Spin doctor protecting the red Goverment.

[sMASH]

Agreed- but they cant prove whether the oil was actually delivered or not.

Which is not to say that it WAS delivered.

I think the substantiation of the claim is the problem, the cross checks at Petrotrin that were there to protect Petrotrins interest,and the MOEEIs interest were Deokisinghed.

the action by av drilling on petrotrin was wrongful termination of contract. meaning, petrotrin did not follow the stipulations for termination of the contract. the real cause for termination of the contract is of no consequence or consideration in this case.
this case is about following the rules that tehy both agreed to.
hence why rlm decided to take it pro bono, cause is easy money.

the fact that the authorities in trinidad is sticking to bring criminal case against the 100m stolen, will prevent the state from using the 100m fraud as the reason for termination. legally, there is no entity of fraud that can be referenced, therefore there isnt even a reason that can be tendered as to why the contract was terminated.... but this case isnt even about the reason for termination, its about the method of termination.

same ting coudl go on in industrial court, if an employer terminates an employee not according the the greivence procedure, the worker could seek damages for violation of the greivence procedure. the reason for the termination is not the issue in that case.

[Redman]

Agreed- but they cant prove whether the oil was actually delivered or not.

Which is not to say that it WAS delivered.

I think the substantiation of the claim is the problem, the cross checks at Petrotrin that were there to protect Petrotrins interest,and the MOEEIs interest were Deokisinghed.

Spin doctor protecting the red Goverment.

No- I think it was happening...hands down.
And you know the players.


That said I dont think Petrotrin can prove it.

2009 to now....AV was bad so long before he get into oil.

[sMASH]

if petrotrin cant prove it is because the documents no longer exist, cause it was shut down and lord knows what happend to their assets.