Category Archives: Oil Exploration

CORRUPTION: Oil-rich Guyana still in company of world’s corrupt nations – 2022 Int’l Report

Feb 01, 2023 –Kaieteur News – According to the results of the 2022 Corruption Perceptions Index (CPI), Guyana continues to rub shoulders with some of the most corrupt nations in the world. The index shows that Guyana gained a score of 40, one mark more than its standing in 2021.

Nations which score in the range of 0 to 49 are perceived as more corrupt than those with a mark of 50 to 99. India, Maldives, North Macedonia, Suriname and Tunisia received the same marks as Guyana. Others in the 49 to 42 range include: China, Malaysia, Cuba, Jamaica, Ghana, Senegal, South Africa, Kuwait and Trinidad and Tobago.

Out of 180 countries reviewed, Syria, South Sudan, Venezuela, Equatorial Guinea, Chad and Haiti are in the bottom pile with scores ranging from 12 to 20. Countries with strong institutions and well-functioning democracies often find themselves at the top of the Index. Denmark heads the ranking, with a score of 90. Finland and New Zealand follow closely with a score of 87. Norway, Singapore, Sweden, Switzerland, the Netherlands, Germany, Ireland and Luxembourg complete the top 10 this year.        Continue reading



GUYANA: ‘No money in budget to monitor & audit oil sector’ – Opposition Leader

Aubrey Norton

By Davina Bagot – Jan 19, 2023 – Kaieteur News – Opposition Leader, Aubrey Norton is stunned at the Government’s failure to appropriate funds in this year’s Budget to help the country improve its auditing and monitoring capabilities, as oil production activities continue to accelerate.

On Monday evening, following the Budget presentation by Minister with Responsibility for Finance Dr. Ashni Singh, Norton said he expected that this year’s fiscal plan would have made specific provisions to improve the country’s human resource capacity.

“I would have thought that in a Budget like this, the minister would have been speaking in terms of human resource development, that we have put resources there to improve our capacity to audit cost oil. We would have put resources there to be able to monitor what is happening offshore. There is none of that and therefore, you are not increasing our capacity to ensure we get what we deserve in terms of profit oil,” the Opposition Leader pointed out.        Continue reading

GUYANA: Government rejects distributing oil money to every home

  • Worst thing you can do is distribute oil money to every home – Guyana President

President of Guyana, Dr. Mohamed Irfaan Ali strongly disagrees with suggestions that the country’s windfall revenues from oil production should be distributed to households, across the board. He made this clear during a press conference in Georgetown on Tuesday.

The President explained that doling out cash in that manner would be one of the worst things the government could do, and the quickest way to afflict Guyana with the dreaded Dutch Disease.

Ali was responding to questions about whether Guyana is already facing the resource curse, since its oil economy is leading overall economic growth. Finance Minister Dr. Ashni Singh had said Monday that the oil sector grew 124.8% and that the non-oil economy grew 11.5% in 2022. This resulted in overall economic growth of 62.3% for Guyana last year.        Continue reading

GUYANA: 2023 BUDGET SET AT G$781.9B – $208.9B from Oil Account

          – Govt. to draw down $208.9B from oil account for support

               Sugar, fisheries, gold industries perform poorly

Jan 17, 2023 – Kaieteur News – Senior Minister with responsibility for Finance, Dr. Ashni Singh yesterday unveiled a $781.9B budget for 2023 under the theme: “Improving Lives Today, Building Prosperity for Tomorrow.”

This is 41.4 percent larger than the 2022 budget which stood at $552.9B.

During an almost six-hour presentation in the National Assembly, Dr. Singh was keen to note that $208.9B in oil revenues will be withdrawn from the Natural Resource Fund (NRF) to support national development priorities this year. Last year, government had used $126B to prop up the 2022 budget.        Continue reading

OIL: Exxon Mobil accurately predicted global warming since 1970s, study finds

Study reveals oil giant’s research predicted global warming with up to 83% accuracy – AP

A closeup photo shows a side profile of a man with graying short hair, wearing glasses and frowning as he faces a microphone.
Lee Raymond, (left) the former CEO of Exxon Mobil, is pictured here during testimony on Capitol Hill, on Nov. 9, 2005, before a joint Senate Energy and Commerce Committee hearing about oil prices. A new study published in Science quotes him as saying in 1999 that climate projections are often based on ‘sheer speculation.’ (Pablo Martinez Monsivais/The Associated Press)
Scientists with oil and gas giant Exxon Mobil made remarkably accurate predictions about global warming, even as the company made public statements that contradicted its own scientists’ conclusions, a new study has found.            Continue reading

GUYANA: Exxon study says… 5th oil project could affect air quality we breathe’

Jan 15, 2023  – Kaieteur News – American oil giant, ExxonMobil Corporation, has put Guyana on notice that its fifth project in the Stabroek Block, set to develop over 1.3 billion barrels of oil, could affect the nation’s air quality.

Specifically, the Environmental Impact Assessment (EIA) for the US$12.6B project states that emissions resulting from the project have the potential to change ambient air quality in the Project Area of Influence. Air quality Exxon noted is important for health of humans and wildlife. It was further noted by Exxon that Greenhouse gas (GHG) emissions from the Project may increase the GHG concentrations in the atmosphere.            Continue reading

GUYANA: ExxonMobil Liza Guyana Gas-to-Shore Project – Video

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GUYANA: The US$12.5 billion; Exxon’s 5th Guyana project will be largest ever to date

ExxonMobil’s proposed Uaru development project is now estimated to cost US$12.683 billion (GY$2.638 trillion). This is stated in the Environmental Impact Assessment (EIA) for the project, compiled by Acorn International. The new cost reflects the impact of inflationary pressures on oil and gas projects internationally, as noted by Stabroek Block stakeholder, Hess Corporation, in October.

This cost was provided for the purpose of the environmental authorisation process. ExxonMobil Guyana and its Stabroek Block partners have not yet made a final investment decision (FID); and are continuing to evaluate cost considerations during the development process. The partners usually come to FID after regulators grant environmental authorisation and a production license.

The project will draw crude from the Uaru, Mako and Snoek fields. The combined recoverable reserve therein is 1.319 billion barrels of oil-equivalent, according to estimates from Rystad Energy.

Uaru will be the largest ever project to date, offshore Guyana, by cost and volume of resources to be produced.

Map shows location of proposed Uaru project

The project scope includes drilling approximately 38-63 development wells, installation and operation of subsea umbilicals, risers, and flowlines (SURF) equipment; installation and operation of a floating production, storage, and offloading (FPSO) vessel; and ultimately, project decommissioning.

Oil production rate is set at 250,000 barrels per day (bpd). However, the FPSO basic design has an upper oil production limit of 263,000 bpd. The partners are open to revising the peak production rate upward if the opportunity presents itself in the detailed design stage. For the EIA, Acorn said it assessed the potential impacts of production up to 300,000 bpd.

The FPSO will have storage capacity of two million barrels of stabilised crude; and will be able to offload approximately one million barrels onto a tanker in a period of approximately 24 hours.

The proposed FPSO vessel will be a new-built facility with double-hull protection. This FPSO will differ from the earlier four ordered by ExxonMobil from SBM Offshore for the Stabroek Block projects, as it will be delivered by MODEC. It will be built into MODEC’s M350TM hull. MODEC has been gunning for contracts to deliver challenging largescale FPSOs, even entering a recent joint venture with Toyo Engineering Corporation to improve its bargaining position.

MODEC’s M350 – Next Generation New Built FPSO Hull

The project is expected to produce crude for at least 20 years, starting late 2026/early 2027.

While Guyana’s Environmental Protection Agency (EPA) reviews the EIA, the Ministry of Natural Resources is evaluating bids for an expert consultant to review the field development plan (FDP).

ExxonMobil has a 45% operating stake in the project. Hess has 30%, and CNOOC has 25%.

The Yellowtail production, expected in 2025, will take production offshore Guyana to 830,000 bpd, likely to make the country the world’s largest per capita producer of oil.

Uaru, as the fifth Stabroek Block development, is expected to lift production offshore Guyana to 1.08 million bpd. The partners have consistently reinforced their plan to have six FPSOs offshore Guyana by 2027, with production capacity of 1.2 million bpd. Chief Executive Officer of Hess Corporation, John Hess, said in January that the Fangtooth discovery of 2022 is being targeted for the seventh development. There is potential for at least 10 FPSOs in the Stabroek Block.




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