Welcome, Guest: Register On Nairaland / LOGIN! / Trending / Recent / New
Stats: 3,165,119 members, 7,860,036 topics. Date: Friday, 14 June 2024 at 01:17 AM

Guyana May Reallocate Gas Areas If Exxon Does Not Move Project Forward - Foreign Affairs - Nairaland

Nairaland Forum / Nairaland / General / Politics / Foreign Affairs / Guyana May Reallocate Gas Areas If Exxon Does Not Move Project Forward (119 Views)

North Korea Tests Nuclear Missile Capable Of Hitting Continental Areas Of USA / Mutinous Russian Troops Argue Over Orders To Bomb Civilian Areas / Millions Of Locusts Attack India, Residential Areas Turning Sky Black (Photos) (2) (3) (4)

(1) (Reply)

Guyana May Reallocate Gas Areas If Exxon Does Not Move Project Forward by Cousin9999: 2:57pm On May 24
May 23 (Reuters) - An Exxon Mobil-led oil consortium may need to decide by October whether it will go ahead and develop a large natural gas find off the coast of Guyana, the country's vice president said on Thursday.

The government has been pressing for a bonanza from mostly untapped gas reserves found by the Exxon-led (XOM.N), opens new tab group. The consortium, which includes Hess Corp (HES.N), opens new tab and CNOOC Ltd (0883.HK), opens new tab, is required under its production agreement to return to the government by October about 20% of its massive Stabroek block if that area remains undeveloped.

Exxon has said it hopes to complete an appraisal of the gas findings by early next year and is considering how to best commercialize the natural gas. An October deadline for relinquishing untapped gas areas may require it to make a decision sooner.

That 20% of the undeveloped Stabroek area might include the group's Haimara discovery, where it mostly found natural gas, Guyana Vice President Bharrat Jagdeo said on Thursday during a media briefing in Georgetown.

"We have had some discussions with Exxon and told them that if they are not going to work on it, they have to relinquish. They did some studies and said they might be able to move forward with the project," Jagdeo said.

Exxon is in discussions with Guyana over what areas will be relinquished and has not concluded whether the gassy areas are among them, a company spokesperson said. The consortium’s exploration agreement runs through 2027, the spokesperson added.

Haimara, the group's 12th finding of oil and gas in the country, was announced in 2019. Exxon has said the Haimara-1 well found approximately 207 feet (63 meters) of a high-quality, gas-condensate bearing sandstone reservoir.

There could be up to 16 trillion cubic feet of associated gas in Exxon's areas, Jagdeo said, citing Exxon accounts.

He had said in February that Guyana wanted another international developer to participate in developing the gas project. Guyana is moving ahead to select a company that could develop the project, which it estimates will require between $10 billion and $15 billion in investment.

"We tested the market. We went out for expressions of interest and had some really good, strong firms with good credentials saying, 'We believe there is a viable project and we want to work on it,'" he added, without identifying the firms.

The cabinet must approve the company selected and once approved, that firm would be cleared to initiate talks with Exxon over a project to monetize the gas reserves.

https://www.reuters.com/business/energy/guyana-says-it-could-reallocate-gas-areas-if-exxon-does-not-move-project-forward-2024-05-24/

2 Likes 1 Share

Re: Guyana May Reallocate Gas Areas If Exxon Does Not Move Project Forward by AlphaTaikun: 4:26am On May 31
Cousin9999:
May 23 (Reuters) - An Exxon Mobil-led oil consortium may need to decide by October whether it will go ahead and develop a large natural gas find off the coast of Guyana, the country's vice president said on Thursday.

The government has been pressing for a bonanza from mostly untapped gas reserves found by the Exxon-led (XOM.N), opens new tab group. The consortium, which includes Hess Corp (HES.N), opens new tab and CNOOC Ltd (0883.HK), opens new tab, is required under its production agreement to return to the government by October about 20% of its massive Stabroek block if that area remains undeveloped.

Exxon has said it hopes to complete an appraisal of the gas findings by early next year and is considering how to best commercialize the natural gas. An October deadline for relinquishing untapped gas areas may require it to make a decision sooner.

That 20% of the undeveloped Stabroek area might include the group's Haimara discovery, where it mostly found natural gas, Guyana Vice President Bharrat Jagdeo said on Thursday during a media briefing in Georgetown.

"We have had some discussions with Exxon and told them that if they are not going to work on it, they have to relinquish. They did some studies and said they might be able to move forward with the project," Jagdeo said.

Exxon is in discussions with Guyana over what areas will be relinquished and has not concluded whether the gassy areas are among them, a company spokesperson said. The consortium’s exploration agreement runs through 2027, the spokesperson added.

Haimara, the group's 12th finding of oil and gas in the country, was announced in 2019. Exxon has said the Haimara-1 well found approximately 207 feet (63 meters) of a high-quality, gas-condensate bearing sandstone reservoir.

There could be up to 16 trillion cubic feet of associated gas in Exxon's areas, Jagdeo said, citing Exxon accounts.

He had said in February that Guyana wanted another international developer to participate in developing the gas project. Guyana is moving ahead to select a company that could develop the project, which it estimates will require between $10 billion and $15 billion in investment.

"We tested the market. We went out for expressions of interest and had some really good, strong firms with good credentials saying, 'We believe there is a viable project and we want to work on it,'" he added, without identifying the firms.

The cabinet must approve the company selected and once approved, that firm would be cleared to initiate talks with Exxon over a project to monetize the gas reserves.

https://www.reuters.com/business/energy/guyana-says-it-could-reallocate-gas-areas-if-exxon-does-not-move-project-forward-2024-05-24/

1 Like 2 Shares

(1) (Reply)

Australia Parliament Rejects Palestinian Statehood / Hamas Leader Believes Civilian Deaths Are ‘necessary Sacrifices’ In Israeli War / A Powerful

(Go Up)

Sections: politics (1) business autos (1) jobs (1) career education (1) romance computers phones travel sports fashion health
religion celebs tv-movies music-radio literature webmasters programming techmarket

Links: (1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

Nairaland - Copyright © 2005 - 2024 Oluwaseun Osewa. All rights reserved. See How To Advertise. 15
Disclaimer: Every Nairaland member is solely responsible for anything that he/she posts or uploads on Nairaland.