Natural gas production in Trinidad and Tobago has skyrocketed in recent years. In 2005, the country produced 1.1 trillion cubic feet (Tcf) of natural gas, up 14 percent year-on-year. The country has benefited from a large amount of foreign investment into the sector, with BP Trinidad and Tobago (BPTT) leading these efforts. Other important players in the natural gas sector include British Gas (BG) and Chevron.

Trinidad and Tobago is the largest supplier of LNG to the United States and one of the largest LNG exporters in the world. The Atlantic LNG Company, a consortium led by BP, BG, and Repsol-YPF, operates four LNG trains at Point Fortin, on the south-western coast of Trinidad. The first LNG train was completed in March 1999, with subsequent trains completed in August 2002, April 2003, and April 2006. The four trains have capacity to produce a combined 14.8 million metric tons (Mmt) of LNG per year (775 Bcf of regasified natural gas). There has been discussions between Atlantic LNG and the government of Trinidad and Tobago over the construction of a fifth and sixth train, though there are no firm plans as of yet to pursue these projects.

Some Caribbean islands have begun to look towards LNG as a way to diversify their energy consumption away from imported oil. In June 2007, Jamaica received nine bids for the construction of a $250 million LNG regasification terminal in that country. The Petroleum Company of Jamaica (PCJ) hopes to bring the facility online by the end of 2009, with an initial capacity of 1.2 Mmt of LNG. One issue will be sourcing LNG supplies for the plant, as a proposed deal with Trinidad and Tobago reportedly failed due to pricing disputes.

Integrated LNG-power generation schemes have become a viable option for electricity generation in the Caribbean, especially as it can displace costly diesel or fuel oil. In the Dominican Republic, AES operates the Andres facility, an LNG regasification terminal that feeds two gas-fired power plants. In August 2000, Puerto Rico began importing LNG to supply the EcoEléctrica facility, a 540-MW natural gas-fired power plant.

The Bahamas has become a proposed gateway for LNG to enter the United States via Florida. AES has proposed the Ocean Express project, which would include an LNG receiving terminal in the Bahamas and an undersea pipeline to deliver natural gas to Florida. The project is still in the regulatory process. There were two other projects that would have attempted a similar goal: Seafarer, lead by El Paso, and Calypso, lead by Tractebel. In late 2006, El Paso announced that it would not pursue the Seafarer project further, while Tractebel has now sought regulatory approval for a floating LNG regasifiation terminal 10 miles off the coast of Florida as an alternative to a terminal in the Bahamas.