The French oil and gas company, Total, and the German manufacturer, Siemens, are discussing a potential liquefied natural gas (LNG) plant with Cuba.
The two firms are leading a consortium that has been negotiating the terms of the proposal since last year when they won the tender for the project.
Total and Siemens anticipate that an agreement will be met soon for a 600MW gas-fired power plant, to be located 124km east of Havana.
The Matanzas Bay project will see Total internationally source LNG to be stored, processed, and supplied to the plant that is to be built by Siemens.
“Total, with some international partners, is looking at a LNG power project in Cuba, one of several countries where Total is exploring similar LNG potentials,” the French firm informed Reuters.
Neither company can be sure of a deal due to sanctions imposed by the US and the nation’s bureaucracy.
The deal would be another example of companies from the European Union (EU) aiming to utilise foreign investment policy in Cuba.
“The EU has become Cuba’s first trade partner and was already the first in investment and development cooperation,” commented Federica Mogherini, top diplomat at the EU, in January.