Guyana lives up to its image as an attractive investment location - ExxonMobil to invest over US$200M in oil exploration
Written by Gina Webmasters, Published in News, Georgetown, GINA, November 13, 2014, Source - GINA
There are high expectations for Guyana becoming a petroleum producing nation as ExxonMobil formally announced its exploratory drilling plans offshore. The investment which will see the company investing US$200 million was welcomed by President Donald Ramotar, as he attended a cocktail reception at the Pegasus Hotel on Wednesday evening.
Expressing optimism, the Head of State said, “We’d rather prefer to have investments in our productive sector, and this investment in that regard is very important. Hopefully they will be successful very quickly, and Guyana will join the ranks of oil producing countries.”
He said according to information reaching him; the possibilities are good and to have a company of Exxon’s reputation investing in Guyana adds to his optimism. “I think it is an exciting time, not only in our political history, but also in our economics and our investments”.
CEO, Esso Guyana, Dr Eric Oswald, Minister of Natural Resources and the Environment, Robert Persaud and Prime Minister, Samuel Hinds at the launch of Esso Exploration and Guyana Production Ltd
The investment was also welcomed by Minister of Natural Resources and the Environment Robert Persaud, who described it as a milestone by Esso Exploration and Guyana Production Ltd.
“The vision of Guyana’s upstream oil and gas sector is of a strong, vibrant and sustainable private sector- driven oil and gas industry which will contribute significantly to its socio-economic development”.
Minister Persaud explained that there are a number of bilateral programmes with the US, Canada and other multinational programmes with international organisations such the United Nations Development Programme (UNDP) to assist in monitoring to address many of the complex issues that are critical to a sustainable oil and gas sector, “one that deals with challenges that are currently surmised or described as a resource curse”.
CEO Esso Guyana, Dr Eric Oswald addressing guests at the launch of Esso Exploration and Guyana Production Ltd
Other companies were also encouraged to invest by the minister who recognised the approximately US$200 million investment being made by Exxon. He also noted that previous investments made by CGX Energy, Repsol, Anadarko Guyana Co, Takutu Oil and Gas and Nabi Oil and Gas, were based on the rich potential of local hydro-carbon resources.
“Now that ESSO Exploration and Production Guyana Ltd. is close to exploration drilling, I have no doubt that due consideration is being given to issues of environmental and safety requirements and corporate social responsibilities,” the Natural Resources Minister posited.
“…it is important that we manage expectations. This is a risky undertaking and the results cannot be predicted. Even when there is a significant commercial discovery, it will take several years for the development and production of our hydrocarbons,” Minister Persaud stated.
He concluded by reassuring of ‘our continued commitment to make this venture a successful one and that Guyana remains an attractive place for investment’.
Minister of Natural Resources and the Environment, Robert Persaud addressing guests at the launch of Esso Exploration and Guyana Production Ltd
ExxonMobil’s Vice President for Exploration, Dr. Eric Oswald said the company, which is described as the largest refiner of petroleum products in the world, had a long history of using science and innovation to bring forth energy. He emphasised that Exxon’s commitment to safety is unequalled, noting that “how we get results is just as important as the results we get” with a motto of “Nobody gets hurt”. The company is partnering with strategic organisations such as Youth Challenge and the Volunteer Youth Corps as part of its corporate responsibility push.
The company’s local headquarters is located at 99 New Market St, Georgetown. Mobilisation will begin in the first quarter of 2015, and drilling and exploration, initially at the Liza location, will commence in the second quarter of 2015. The total area allotted to Exxon covers 26, 806 square kilometers.
Source - http://www.gina.gov.gy/home/in...m-in-oil-exploration