A US$60 million fuel blending facility – the first of its kind in Guyana – is up for environmental approval.
The Environmental Protection Agency (EPA) has screened the application for the project but has not yet granted permission for the construction, which will be located at Maripa, along the Essequibo River. This venture, spearheaded by local fuel distributor Shi-Oil, aims to blend various grades of gasoline, diesel, and kerosene.
The facility will span 27 acres and include storage tanks, a loading bay, housing and office facilities, and a wharf. The tanks, consisting of four large units capable of holding 80,000 barrels and ten smaller tanks with a capacity of 15,000 barrels, will store fuel delivered by ships. These fuels will then be blended and dispatched to gas stations and other facilities across the country.
Guyana’s oil boom fuels 64% surge in foreign direct investment | OilNOW
Construction, projected to last six to eight months, will employ 100 people, with an additional 10 full-time jobs created upon the facility’s operation. With the capacity to blend five million gallons of fuel monthly, Shi-Oil said the facility will play a major role in modernizing Guyana’s energy infrastructure.
The EPA has determined that the project “will not significantly affect the environment, making it exempt from requiring an Environmental Impact Assessment (EIA)”. However, certain safeguards and protocols will be in place to minimize potential environmental risks.
Key measures include:
- Spill Management: The facility will incorporate containment walls and solid floors to manage any fuel spills during transfer, preventing contamination of waterways or soil.
- Air and Noise Pollution Control: Generators will provide electricity, but carbon monoxide emissions will be minimal. Noise pollution will also be limited due to the sparsely populated project area.
- Waste Management: Staff-generated waste will be removed by contracted garbage trucks, while septic waste will be handled by specialized disposal services. Solar power is being considered as a supplementary energy source.
Guyana to inject US$66M into state power company to offset fuel price increases | OilNOW
The project site – an “undeveloped” area of grass and shrubs – has no residential dwellings nearby, according to the project summary. Shi-Oil said wildlife protocols will also be established to address potential human-wildlife conflicts and ensure that biodiversity is protected.
The EPA is accepting appeals from stakeholders who may be affected by the project within 30 days of its public notification.