Photo by Maria Lupan on Unsplash
Here are 3 key facts about the story of Guyana's oil industry:
Guyana is offering 14 offshore blocks in a new oil tender to reduce Exxon's dominance of its emerging oil industry and speed up its transformation into a major oil producer.
The country is currently producing 360,000 barrels of crude daily, all from Exxon-operated wells, but plans to boost this to 1.64 million barrels daily by 2030.
Along with oil, Guyana also has plans to develop its untapped natural gas reserves and is considering the development of LNG export capacity, with several companies expressing interest in the project.
In the small South American nation of Guyana, oil is the talk of the town. And with good reason - the country is on track to become a major oil producer, thanks to its vast offshore oil reserves.
At the centre of it all is ExxonMobil, which has been working in Guyana for over a decade and has already made more than 30 oil discoveries in the country's Stabroek Block. But while Exxon's dominance of Guyana's oil industry is still strong, the country is taking steps to reduce its reliance on the U.S. supermajor and bring in new players.
To that end, Guyana is offering 14 offshore blocks in a new oil tender, and Reuters reports that 10 companies are considering taking part, including Shell, Chevron, and Brazil's state oil major Petrobras.
The tender is part of Guyana's plan to speed up its transformation into a major oil producer, with a goal of producing 1.64 million barrels of crude daily by 2030. Currently, Exxon is the only operator in the country, producing 360,000 barrels per day.
But Guyana's ambitions don't end with oil. The country also has plans to develop its untapped natural gas reserves and is considering the development of LNG export capacity. Several companies have expressed interest in the project, according to Guyana's Vice President Bharrat Jagdeo.
"We believe gas must be monetized," Jagdeo told Reuters in an interview. "We've had a number of those companies come to us and say 'Should you do that, we want to be considered.'"
For Guyana, the oil and gas industry represents a major opportunity to boost economic growth and provide new opportunities for its people. And with companies like Shell, Chevron, and Petrobras showing interest in the country's potential, it seems that the future of Guyana's energy industry is looking bright.
