Oxy Secures Stake in ExxonMobil's Ultra-Deepwater Caribbean Block Offshore Trinidad and Tobago

## Oxy Joins ExxonMobil in Trinidad and Tobago Ultra-Deepwater Venture Houston-headquartered Occidental Petroleum (Oxy) has secured government approval from Trinidad and Tobago to take a minority stake in an ultra-deepwater exploration block operated by U.S. energy major ExxonMobil, according to Offshore Energy. The move marks a notable expansion of Oxy's Caribbean deepwater portfolio and underscores the sustained interest major energy players are placing in Trinidad and Tobago's offshore frontier acreage. The twin-island nation, situated at the southernmost point of the Caribbean archipelago, has long been a cornerstone of regional hydrocarbon production, though attention has increasingly shifted toward its deeper, less-explored offshore zones. While the precise financial terms and the size of Oxy's participating interest were not disclosed, the transaction required — and received — formal approval from Trinidad and Tobago's energy authorities, a procedural step that reflects the government's active role in managing the country's upstream sector. ### Strategic Context For Oxy, the acquisition represents a measured entry into ultra-deepwater Caribbean exploration alongside one of the industry's most experienced deepwater operators. ExxonMobil has maintained a significant presence in Trinidad and Tobago for decades and brings considerable technical expertise to frontier deepwater environments. Ultra-deepwater exploration — typically defined as operations in water depths exceeding 1,500 metres — demands substantial capital investment and advanced subsea technology, making farm-in partnerships a common mechanism for spreading risk while retaining exposure to potentially significant discoveries. Trinidad and Tobago has been actively courting investment in its deepwater acreage as production from mature shallow-water fields continues to decline. Successful exploration in ultra-deepwater blocks could provide a meaningful boost to the country's long-term reserves base and export revenues. ### Industry Implications The deal adds to a broader pattern of consolidation and partnership activity in Caribbean deepwater exploration, a trend that mirrors increased industry activity across the wider Atlantic basin. Analysts have pointed to improving deepwater economics — driven by advances in subsea engineering and a more stable medium-term oil price outlook — as key factors encouraging operators to commit capital to frontier acreage. Oxy's entry alongside ExxonMobil is likely to be viewed positively by Trinidad and Tobago's government as validation of the block's prospectivity and a signal of investor confidence in the country's regulatory and fiscal framework. *Source: Offshore Energy*