News Americas, PORT OF SPAIN, Trinidad, Thurs. Feb. 19, 2026: Trinidad and Tobago, whose prime minister has alienated her CARICOM colleagues to cozy up to the new US administration, is now emerging as one of the most strategically important energy intermediaries in the Western Hemisphere, following the issuance of two new United States General Licenses authorizing certain oil and gas activities involving neighboring Venezuela.
The licenses, granted under U.S. Treasury Department authority, now provide a structured legal framework allowing Trinidad and Tobago to pursue energy development projects tied to Venezuelan offshore gas reserves while remaining compliant with U.S. sanctions and financial controls. But beyond their technical scope, the approvals signal a deeper geopolitical and economic shift – one that positions Trinidad & Tobago as a critical bridge between American energy policy and some of the region’s largest untapped gas reserves.
Prime Minister Kamla Persad-Bissessar described the development as a significant opportunity to strengthen Trinidad and Tobago’s role as a hemispheric energy hub.
“As a longstanding close partner of the United States, Trinidad and Tobago views this development as an important opportunity to deepen hemispheric energy cooperation, strengthen regional stability, and reinforce trusted commercial ties,” the Prime Minister said in a statement.
At the center of this strategic shift lies the Dragon gas field, located near the maritime border between Trinidad and Venezuela. The field is estimated to hold approximately four trillion cubic feet of natural gas and has been the subject of ongoing negotiations involving multinational energy companies Shell and BP, along with Trinidad’s state-owned National Gas Company.
The project had previously been stalled after the U.S. revoked licenses in 2025 amid sanctions and political tensions with Venezuela. The new licenses restore a pathway forward, albeit under strict financial oversight. Payments related to oil and gas activities must be routed through designated accounts controlled by the U.S. Treasury, ensuring compliance with sanctions and preventing direct financial benefit to Venezuela’s government.
For Trinidad and Tobago, which allowed the US military to use its shores in its so-called narco-war in the Caribbean, which led to the kidnapping of Venezuelan President Nicholas Maduro and his wife, the implications extend far beyond a single project.
Energy has long been the backbone of Trinidad’s economy, but declining production from mature fields and global energy transitions have put pressure on the country to secure new supply sources. Access to Venezuelan gas – facilitated through U.S.-approved channels – could help stabilize domestic energy production, sustain petrochemical industries, and preserve thousands of jobs tied to the country’s energy sector.
More importantly, the licenses elevate Trinidad’s role from energy producer to strategic energy intermediary.
With existing liquefied natural gas (LNG) infrastructure, refining capacity, and decades of technical expertise, Trinidad is uniquely positioned to process and distribute gas resources within a framework acceptable to global financial markets and Western regulators. This makes the country a vital node in regional energy security, particularly as geopolitical tensions reshape global supply chains.
The timing is also significant. As global energy markets face continued volatility and the US seeks to diversify supply sources closer to home, Trinidad is gaining renewed strategic importance.
Industry analysts say the licenses reflect growing confidence in Trinidad’s regulatory stability and its reliability as a U.S. partner in managing sensitive energy operations near Venezuela. US President Donald Trump is considering a visit to Venezuela, though he did not specify when the trip might take place or what agenda it would entail.
Beyond direct economic gains, the development reinforces Trinidad’s influence with the Trump administration in the Caribbean. A strengthened energy sector enhances the country’s capacity to supply neighboring islands, support regional industrial activity, and anchor broader economic integration efforts.
The move also underscores a broader shift in how the Caribbean and the Americas are perceived by the US. Once viewed primarily as its backyard, the Trump administration has increasingly turned to dominate there as it now controls the oil in Venezuela.
For Trinidad and Tobago, the new licenses represent more than regulatory approvals. They mark a pivotal moment in the country’s evolution — from a regional energy producer to a geopolitical energy bridge linking Caribbean resources, American policy, and global markets.
As energy security becomes central to global economic stability, Trinidad’s role may prove increasingly indispensable.