Guyana produced 20.2M barrels of oil at half year

Oct 13, 2021 New, Source - https://www.kaieteurnewsonline...of-oil-at-half-year/

– Crude export earnings increase to US$1.3B

Kaieteur News – The Bank of Guyana noted in its latest half year Report that the nation’s oil and gas industry recorded crude oil production of 20.2 million barrels, reflecting an increase of 65.4 percent from the corresponding period last year. The Central Bank further noted that there was a monthly average output per day ranging from as low as 84,026 barrels due to a malfunction of the gas compressor on the Liza Destiny vessel, which then surpassed its nameplate capacity at over 124,941 barrels during the review period.

Guyana’s Central Bank was keen to note that this performance averaged 4.1 percent higher than the 120,000 barrels per day target, during the first quarter, but was 30.0 percent lower in the second quarter.

It was also noted that the petroleum and gas industry saw an increase in oil prices due to higher net demand as major oil producing countries limit supply to world markets, while demand increased from the lifting of COVID-19 restrictions in developed countries. The financial institution said this move is intended to help oil prices recover after the drastic decline one year earlier.

With the foregoing in mind, the Central Bank said crude export earnings amounted to US$1.3B, or US$858.2 million higher than the same period one year ago. Additionally, the nation’s Central Bank stated that the average export price received for crude oil increased by 84.9 percent or US$29.74 to US$64.78 per barrel from US$35.04 per barrel one year ago. This factor it noted also resulted in the increase in export earnings.

In conclusion, Bank of Guyana said it is optimistic that the high level of growth achieved in the first half of the year will be sustained in the second half, while adding that this outturn is expected on account of higher output of oil coupled with improved performance in all other sectors, as the economy continues to rebound from the COVID-19 pandemic.