Gov’t greenlights 7th oil output project

-will come on stream in 2029 with capacity of 150,000 barrels per day

Three weeks after entering office for a new term, the PPP/C government yesterday announced regulatory approvals for a seventh oil extraction project and ExxonMobil followed swiftly to say it had made the Final Investment Decision (FID) which will see an additional 150,000 barrels per day (bopd) capacity in 2029.

With this project  being sealed under the severely criticised 2016 Production Sharing Agreement (PSA), the new administration will face continuing questions as to why it is not seeking to have improvements to the deal.

Yesterday morning, the Ministry of Natural Resources  announced the approval of the Hammer-head Field Development Plan (FDP) and the issuance of the Hammer-head Petroleum Production Licence (PPL).

It noted that the Ham-merhead development is the seventh offshore development within Guyana’s prolific Stabroek Block, which is operated by ExxonMobil Guyana Limited (EMGL) in conjunction with its co-venturers.