SECRETARY OF ENERGY AND PM MANNING DISCUSS

C O N F I D E N T I A L SECTION 01 OF 02 PORT OF SPAIN 000269 SIPDIS STATE FOR WHA/CAR, WHA/EPSC, EEB, S/CT DOE FOR A/S KOLEVAR, MWILLIAMSON, GWARD DHS FOR A/S STEPHAN E.O. 12958: DECL: 06/17/2018 TAGS: KCIP EPET ENRG PTER ASEC TD SUBJECT: SECRETARY OF ENERGY AND PM MANNING DISCUSS INFRASTRUCTURE PROTECTION AND NATURAL GAS OUTLOOK Classified By: Acting DCM John Ries, reasons 1.4 (b,d) ¶1. (C) SUMMARY: PM Manning welcomed Energy Secretary Bodman's visit and delivery of a USG report on protecting T&T's LNG export infrastructure. Manning said he is anxious to do whatever is necessary to protect LNG infrastructure and willing to include that in the mission for T&T's new offshore patrol vessels. At the same time he made clear that better protection of energy infrastructure could not come at the expense of drug interdiction. In a one-one-one pull-aside with Secretary Bodman, Manning expressed frustration that Venezuela has not responded to his overtures on cross-border natural gas fields, and he signaled that he is considering relaxing GOTT financial and production sharing terms in order to stimulate upstream exploration and development. END SUMMARY ¶2. (SBU) Secretary of Energy Bodman met with Prime Minister Patrick Manning on Tuesday, May 13, at the PM's Residence/ Diplomatic Center. Following a one-on-one pull-aside (para. 10),the two were joined by the GOTT Ministers and Permanent Secretaries of Energy, National Security, and Foreign Affairs, the Ambassador, DOE foreign policy advisor Molly Williamson, Assistant Secretary of Energy Kevin Kolevar, Assistant Secretary of Homeland Security Bob Stephan, Ben Getto and Sam Browne of DOE, and ECON Chief (notetaker). -------------- Presenting Infrastructure Protection Report -------------- ¶3. (SBU) Manning opened the meeting by thanking Secretary Bodman for his role in launching liquefied natural gas (LNG) production in Trinidad when he was chairman of Cabot Corporation. Secretary Bodman replied that it was in recognition of the role T&T now plays in U.S. energy security that the USG organized an in-depth vulnerability assessment of critical infrastructure protection related to Trinidad's production of LNG, and he presented PM Manning with a written report of the assessment team's findings. ¶4. (C) A/S Stephan provided an overview of the land and maritime segments of the report, drawing a distinction between roles of facility operators and security authorities, and underscoring the need to improve GOTT capability to interdict terrorist attacks and coordination with the private sector. Stephan praised the GOTT's spirit of cooperation and conveyed the USG's willingness to sustain that cooperation by sharing best practices and providing training under a formalized working group that could track implementation of USG recommendations. ¶5. (C) A/S Kolevar discussed systems vulnerabilities identified in the report, highlighting the scope for single point failures to disrupt supply by virtue of the fact that LNG production takes place at a single location and that much of the gas transported along a single right-of-way via the cross-island pipeline. PM Manning observed that T&T is overdue for a major earthquake, according to local seismologists. A/S Kolevar responded that contingency planning for system resiliency was relevant to both surviving an attack and weathering a natural disaster. The U.S. had learned lessons on this from hurricanes Katrina and Rita. ¶6. (SBU) Minister of National Security Martin Joseph asked whether the U.S. envisages follow-up to the LNG assessment as a bilateral matter or would it include a role for the Inter-American Committee Against Terrorism (OAS/CICTE). (NOTE: Joseph chaired CICTE in 2005.) A/S Kolevar responded that CICTE provided an excellent mechanism to begin the process, but it lacks an operational component. Moreover, given the national security and business sensitivity of the assessment results, the U.S. would expect implementation to be handled in bilateral channels. A/S Stephan concurred, adding however that CICTE might provide a venue to share lessons learned in the assessment process. Joseph accepted the point and agreed that follow-up would proceed in bilateral channels. ¶7. (C) Manning said he is anxious to take whatever steps are needed to protect critical infrastructure in T&T. He also said that T&T would seek to discuss these issues with Venezuela, since the latter would likely be the first country on the scene in the event of an incident in T&T. Citing PORT OF SP 00000269 002 OF 002 examples in the 1970s and '80s in which Venezuelan naval vessels passed through T&T waters without permission in times of crisis, Manning said he would expect "some strange developments" if anything were to happen in T&T. ¶8. (C) Manning also laid down a marker that the GOTT would not shift existing resources away from drug interdiction in order to protect energy infrastructure; rather it would seek to use its military assets for both purposes. He stressed that counter-narcotics is the region's top priority, and neighboring countries are far more vulnerable than T&T. Successful counter-drug efforts in Columbia and Mexico had pushed the drug trade routes to the east. Columbia and Mexico have agreed to share intelligence with T&T. Noting that the GOTT is in the process of procuring new vessels and armed helicopters, Manning stated that infrastructure vulnerabilities would be taken into account as these new assets are deployed, and one or two vessels could be stationed in close proximity to the Atlantic LNG facility. ¶9. (SBU) PM Manning said that T&T would host a regional commander's conference in mid-June to discuss what assets are available to support regional security and how to improve coordination. He had discussed the concept for this meeting with Admiral Stavridis of SOUTHCOM in a recent telephone call, and over the previous few days he had also spoken to regional commanders from the UK and France. -------------- -- T&T Needs More Gas, and Venezuela isn't Helping -------------- -- ¶10. (C) In a one-on-one pull-aside with Secretary Bodman, PM Manning acknowledged that T&T desperately needs to expand and develop its proven gas reserves. The cross-border gas fields T&T shares with Venezuela offer significant potential, but bilateral talks have been stalled since June 2007. Manning's repeated overtures to Caracas have met with no response. Given these circumstances, Manning asked for U.S. understanding of T&T's need to maintain correct relations with Caracas and also with Havana. Manning also indicated that the GOTT would have to loosen up the terms of its tax and production sharing regime in order to attract bids on offshore acreage in upcoming bid rounds. AUSTIN