When countries have oil and gas resources, they typically sign Production Sharing Agreements (“PSA”) with foreign oil companies (in this article called “FOC”) for exploration and development of those resources. There are certain basic characteristics in PSAs, that ensure that the country with the oil and gas resource and the FOC mutually benefit from the relationship. The PSA that our Government signed with GPG on 31st March 2008 departed significantly from these basic characteristics, so that it was heavily one-sided in favour of GPG.
This time of year is always an important one for students through-out the country.The primary school children have just completed the Caribbean Primary Exit Assessment (CPEA) exams.The CSEC (CXC) and Caribbean Advanced Proficiency Examinations (CAPE) are also now underway and the National Democratic Congress (NDC) wishes all students success as they prepare for and sit these exams.
Between 25th April and 8th May 2019, a housekeeping mission comprising representatives from: the IMF, the World Bank, the Caribbean Development Bank and the Eastern Caribbean Central visited Grenada and held meetings with key interest groups including Government, the NDC as the main opposition party, trade unions, private sector and civil society organisations.
In the first part of this article, we indicated that the Production Sharing Agreement (“PSA”) between the Government of Grenada (“GOG”) and GPG dated March 31st 2008, for the“exploration, development and production of offshore petroleum resources of Grenada”,was for an initial period of 4 years and was manifestly disadvantageous to Grenada.
On 31st March 2008, just months before the July 8th elections, the NNP Government entered into a Production Sharing Agreement with Global Petroleum Group (“GPG”) for the “exploration, development and production of offshore petroleum resources of Grenada”.The agreement was signed against the legal advice of Grenada’s lawyers, who specialise in energy law, and also, against the advice of an expert team from the Commonwealth Secretariat.