Labdico
silences critics
By Louis B Homer
Trinidad Express
Port
Spain
Petroleumworldtt.com
12 03 06
La
Brea Industrial Estate, the once much maligned project
undertaken mainly to accommodate downstream projects
in the energy sector, has emerged as a big success
story offering endless opportunities to investors.
When
the idea of building the estate in 1996 on lands
formerly owned by Texaco surfaced, it was pooh-poohed:
for on the area on which it was to be situated was
criticised as unsuitable because there were a number
of inactive oilwells that could pose a construction
problem.
Farmland
Mischem, a producer of ammonia which was scheduled
for La Brea, was built instead on the Point Lisas
Industrial Estate, Central Trinidad.
Since
then Labidco has come a long way and the only laughing
being done is on the way to the bank.
So
far, some 380 acres at La Brea, overlooking the
Gulf of Paria, have been developed with infrastructure
and amenities needed for the expansion of the energy
sector.
Prakash
Saith, president of the National Energy Corporation
NEC, and the person on whose shoulders the development
of the estate falls told Business Express,"We
have succeeded in becoming a major player in providing
goods and services to the energy industry. What
we are particularly proud of is our contribution
to local content in the energy industry."
He
added: "We started at eight per cent and now
we are averaging some 30 per cent of local content
on goods and services."
Saith
said the success of the estate has to do primarily
with the existing sheltered deep water harbour at
Brighton.
He
explained that more development will take place
at the estate when the harbour is deepened.
The
existing harbour which averages about eight metres
is soon to be dredged to 12 metres.
"With
some 750 vessels per month entering the harbour
to discharge cargo, we will be forced to put the
dredging on the frontburner," said Saith.
He
said a pre-study of the dredging indicated that
the cost would be around $20 million.
The
port has been used over the last year to accommodate
the importation of gravel from the Dominican Republic
and from Nova Scotia, Canada.
Dave
Aqui, chief executive officer of Jusamco Paver Limited
said the company imports some 45,000 cubic yards
of limestone aggregate a month for use in the construction
industry.
Apart
from Jusamco, there are three other importers of
gravel that use the port.
The
harbour has two turning basins and accomomdates
vessels up to 220 metres long.
To
meet the construction demand, the Estate is also
the venue for two cement plants which are expected
to be built by the middle of next year, it was learned.
Saith
said that by the end of this year "95 per cent
of the estate will be fully occupied."
The
Estate recently approved the construction of an
ethanol plant to be built by Trinidad Dehydration
Limited.
Bill
Ramrattan, director of the company said, "We
expect approval from the EMA (Environmental Management
Authority) very shortly after which the plant will
be constructed."
Capital
investment in this project is estimated at US$20
million.
Ramrattan
said the ethanol will be shipped to the eastern
seaboard of the United States.
"The
raw material will be coming from Brazil and we expect
to export approximately 100 million gallons of ethanol
annually," he said.
Ramrattan
said the plant could be an encouragement to cane
farmers to start producing sugar cane for the manufacture
of ethanol.
Another
initiative on the Estate was the development of
a fabrication yard to produce offshore oil platforms.
Saith
said the 25 -acre fabrication yard so far has seen
the construction of three platforms and by the middle
of next year four other platforms should be completed.
"The
fabrication yard was nothing but success, especially
in the drive to maximise local content," Saith
said.
Another
major project that is expected to come on stream
is a bonded warehouse for use by the Customs Department.
"When
this becomes operational, the tenants on the plant
would be able to access duty free material on site,"
Saith said.
Still
in the planning process is a shopping plaza and
service centre to be built at La Brea.
The
$10 million project would comprise a supermarket
and shops as well as offices for rent. This project
is earmarked to start in the last quarter of 2007.
A
study on the construction of executive housing on
the Estate, or in its immediate surroundings, is
in process.
La
Brea's proximity to the oil and gas marine field
in the Gulf makes it a convenient place to stock
offshore eqiipment for activities in the area.
Two
companies on the Estate now provide logistic services.
The
Estate has been the primary laydown yard for the
receipt and storage of pipe and heavy oilfield equipment
before they are transported to their destinations.
For
sure, Labdico has silenced its critics and in spite
of setbacks in the early stages of its development,
the Estate is fast becoming the industrial hub of
the western peninsular.
Trinidad
Express
Wednesday, November 29th 2006
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©2006 Trinidad Express. All Rights Reserved.
