Guyana’s third oil development, Payara, is expected to see a ramp-up to 220,000 barrels of oil per day (bpd) within a five-month period after production gets underway, says Chief Operating Officer (COO) of Hess Corporation, Greg Hill.
During the company’s second-quarter earnings call, Hill reminded that Payara is expected to come on stream in the fourth quarter of 2023.
“I would expect the ramp-up to be like Liza Phase 2 [Guyana’s second oil project] kind of on the order of 5 months or so in terms of ramp. Payara is a little bit bigger, so it might take marginally a little bit longer, but I would say 5 months,” Hill noted during the call.
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Hill said a detailed debottlenecking strategy is in the works for Payara, since there are a lot of discovered resources in and around the well site. “So, there will definitely be a debottlenecking strategy as well,” the COO stated.
With the planned start-up for Payara in the fourth quarter, Hill said Hess expects full-year 2023 net production to average approximately 115,000 barrels of oil per day compared to its previous guidance range of 105,000 to 110,000 barrels of oil per day. Hill said, “We forecast Payara to contribute approximately 15,000 net barrels of oil per day in the fourth quarter.”
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The Payara project is one of the major projects being led by ExxonMobil Corporation, an American multinational oil and gas company, in partnership with its co-venturers Hess Corporation and CNOOC via their respective subsidiaries. The total development cost of the Payara project is estimated to be in the range of US$9 billion.
The Stabroek Block, where the Payara project is situated, has been a focal point for oil exploration and production in Guyana. The region has shown promising reserves of high-quality crude oil, making it a crucial area for energy development in the country.
