Venezuela has suspended a major natural gas agreement with neighboring Trinidad and Tobago, citing the island nation’s decision to host a U.S. Navy destroyer for joint military exercises. The move underscores growing geopolitical tensions in the Caribbean, where Washington’s increased naval presence has angered Caracas and strained regional diplomacy.
Maduro Orders Suspension of Gas Deal Amid U.S. Naval Presence
President Nicolás Maduro on Monday ordered the “immediate suspension” of a long-anticipated gas deal with Trinidad and Tobago after the arrival of the USS Gravely (DDG-107), a guided-missile destroyer, in Port of Spain for joint training operations with the Trinidad and Tobago Defence Force.
The Venezuelan government described the deployment as an “illegal and immoral military threat”, accusing the United States of using its Caribbean presence to threaten Venezuela and attempt to seize its oil and gas wealth.
Maduro criticized Trinidad and Tobago Prime Minister Kamla Persad-Bissessar, claiming she had turned her country “into an aircraft carrier of the American empire against Venezuela.”
“Trinidad and Tobago ran out of gas before Venezuela agreed to help,” Maduro said, referring to the Dragon offshore gasfield project that has been under development since 2018.
Trinidad and Tobago Rejects Accusations of “Blackmail”
In response, Persad-Bissessar dismissed Maduro’s claims, telling the Newsday newspaper that Trinidad and Tobago’s energy future “does not depend on Venezuela and never has.”
She emphasized that her administration had diversified its gas strategy and moved away from dependence on the Dragon gasfield, which lies in Venezuelan waters near the maritime border between the two nations.
“The last government mistakenly placed all their hopes in the Dragon project. We have not done so,” she said. “Our country is not susceptible to any blackmail from the Venezuelans for political support.”
Persad-Bissessar also denied that diplomatic tensions between the two countries were escalating, noting that Trinidad and Tobago routinely engages in military exercises with the United States.
U.S. Military Exercises Trigger Venezuelan Anger
The USS Gravely, carrying U.S. Marines, arrived in Port of Spain on October 27, 2025, as part of a regional mission aimed at strengthening security and counter-narcotics operations. The Pentagon has deployed seven warships, a submarine, fighter jets, and drones across the Caribbean Sea and the Gulf of Mexico in recent months, citing efforts to combat drug trafficking.
Since September, Washington has launched ten maritime strikes on suspected narcotics vessels, resulting in at least 43 deaths, according to U.S. defense officials.
Venezuela, however, views the buildup as a cover for regime change efforts against the Maduro government. Foreign Minister Yvan Gil Pinto, addressing the United Nations General Assembly, accused the U.S. of maintaining “an illegal and completely immoral military threat hanging over our heads.”
Maduro’s government claims the U.S. is using the pretext of counter-drug operations to undermine Venezuelan sovereignty and potentially seize control of the country’s energy resources.
Background: Dragon and Manatee Gas Projects in Jeopardy
The Dragon gasfield deal between Venezuela and Trinidad and Tobago was originally signed in 2018, allowing joint development of natural gas reserves that straddle the maritime border. However, the project has been repeatedly delayed due to U.S. sanctions targeting Venezuela’s state oil company, PDVSA.
The British energy giant Shell and the National Gas Company of Trinidad and Tobago (NGC) were granted a U.S. license to develop the field in early 2024. Washington insisted the arrangement would prevent funds from directly benefiting the Maduro regime.
In addition to Dragon, Shell is developing the Manatee gasfield, which extends across both Venezuelan and Trinidadian waters. While the Trinidad side of Manatee has been cleared for independent development, experts warn that escalating tensions could now jeopardize future cooperation between the two nations.
The Dragon field is estimated to contain 119 billion cubic meters (4.2 trillion cubic feet) of natural gas—resources that are vital for Trinidad’s heavily gas-dependent economy. According to the International Energy Agency (IEA), natural gas provides 92.6% of the island’s energy needs, while renewables contribute less than 0.1%, one of the lowest rates in the Caribbean.
U.S. Policy and Regional Fallout
Washington’s stepped-up naval operations in the region are part of the Trump administration’s Caribbean Initiative, which officials claim is aimed at combating drug smuggling and strengthening regional security. The U.S. has also announced the deployment of the USS Gerald R. Ford, the world’s largest aircraft carrier, to the Caribbean to reinforce its presence.
The policy has divided Latin American leaders. Some—like Persad-Bissessar—support U.S. operations, saying they help deter transnational crime. Others have condemned them as extrajudicial and destabilizing, warning they could escalate into open conflict.
For Venezuela, the standoff threatens not just its energy exports, but its diplomatic relations with Caribbean neighbors that have long tried to balance ties with both Caracas and Washington.
What’s Next for the Venezuela–Trinidad Energy Relationship?
The suspension of the gas accord places the Dragon and Manatee projects in limbo and raises concerns about regional energy stability. Analysts say the move could further isolate Venezuela economically while forcing Trinidad to seek alternative energy partnerships.
For now, Persad-Bissessar’s government insists cooperation with Washington will continue: “We will always prioritize the security of our people and the sovereignty of our nation,” she said.
Maduro, meanwhile, has vowed to respond “decisively” to what he calls U.S. “imperialist aggression.” With both sides unwilling to back down, the Caribbean energy corridor may soon become the next major flashpoint in the hemisphere’s geopolitical chessboard.
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