Saudi Basic Industries Corporation (SABIC) has rolled back its plan to set up a US$ 5.3 billion methanol plant in the Caribbean nation of Trinidad and Tobago.
The negotiations for constructing a methanol complex were stopped after SABIC and the Trinidad Government failed to agree on the fundamental conditions for the project, SABIC said in a statement.
Meanwhile, Trinidad Energy Minister Kevin Ramnarine said the failure to agree on the price of natural gas was the main reason for scrapping the proposed project.
The natural gas for the methanol plant was to be supplied by the National Gas Company of Trinidad and Tobago and hence an agreement on the price and tenure of supply of gas becomes crucial for the project.
Trinidad and Tobago is the second-largest energy producer in the Caribbean, next only to Venezuela.
