CARACAS, July 24 (Reuters) - Venezuela on Wednesday

granted a long-term license to British energy producer BP

and state-owned National Gas Company of Trinidad and Tobago

(NGC) to develop the Venezuelan side of a gas field that extends

into the Caribbean country's waters.

The Cocuina-Manakin field, which on Venezuela's side is part

of the vast gas offshore project Plataforma Deltana, which

remains inactive, has some 1 trillion cubic feet of proven gas

reserves.

The companies

accelerated negotiations

with Venezuela's government and state energy company PDVSA

in recent weeks to have the license signed before a presidential

election in the South American country on July 28, sources said.

"We are making a monumental step in the right direction,"

said President Nicolas Maduro during the signing ceremony,

broadcast by state television station VTV.

Trinidad's energy minister, Stuart Young, and Venezuelan

oil minister Pedro Tellechea also signed some of the documents

governing the project.

The U.S. Treasury Department in May issued a license

authorizing the project to move forward, despite energy

sanctions on Venezuela.