PARAMARIBO — Oil production in Guyana that began in late 2019 has reached yet another milestone. ExxonMobil Guyana announced that the milestone of five hundred million barrels of oil produced has been reached. The output comes from three Stabroek Block projects – Liza 1, Liza 2 and Payara – in less than five years.
Exxon said the three projects are producing an average of 650,000 barrels per day. “Our unparalleled success in developing Guyana’s oil resources at an industry-leading pace, cost and environmental performance is based on close collaboration with the Government of Guyana, as well as our fellow entrepreneurs, suppliers and contractors. We remain committed to Guyana for the long term and look forward to continuing to deliver for the country,” stated Alistair Routleger, the Company’s President.
“We remain committed to Guyana for the long term and look forward to continuing to deliver for the country”
Committed investments to develop multiple oil projects off the coast of Guyana amount to almost US$55 billion. The commitments should result in an installed production capacity of 1.3 million barrels per day by the end of 2027. There is also significant upside potential due to Exxon’s strategy of production optimization through debottlenecking. This mechanism has so far resulted in an additional capacity of one hundred thousand barrels per day above nominal levels.
ExxonMobil Guyana Limited is the operator and has a 45 percent interest in the Stabroek Block, Hess Guyana Exploration Ltd of 30 percent and CNOOC Petroleum Guyana Limited of 25 percent. Oil production will generate tens of billions of dollars in revenue and significant economic development for Guyana, Exxon said.
Since first production in December 2019, more than US$5.4 billion in oil revenues and royalties have been paid into the country’s Natural Resource Fund. More than six thousand Guyanese support the operations of the Stabroek Block, which is almost 70 percent of the industry’s local workforce.
The oil boom has made Guyana the fastest growing country in the world. In addition to direct revenue, it benefits from local content and waves of investment interest in other sectors fueled by the oil glut. SBM Offshore is the builder and operator of the FPSOs currently operating off the coast of Guyana.
