Engineering and machining services linked to petroleum service vessels could deliver significant skills transfer and investment opportunities for Guyanese if formally aligned with the Local Content Act. This is according to Director of the Local Content Secretariat, Michael Munroe.
Earlier this year, Guyana’s President, Dr. Irfaan Ali, said his government is actively engaging ExxonMobil Guyana to ensure that engineering and machining services – particularly those connected to vessels operating in the petroleum sector – include a strong local content component.
Responding to questions from OilNOW, Munroe confirmed that discussions are underway to expand the scope of vessel-related services under the First Schedule of the Act.
He noted that Guyanese companies have already begun penetrating the machining and fabrication space, providing services to major operators.
“We have seen success stories of Guyanese companies that have penetrated that machining and fabrication space to now supplying or providing services to Exxon and SBM,” Munroe stated. “We’ve had increased lobbying for vessels or supply vessels to be considered as an expanded sector in the First Schedule. We believe that if we go that direction, it will naturally redound to increased demand for machine shops and engineers employed in this space.”
According to Munroe, the Secretariat is now advancing these proposals to policymakers. A decision will be taken on whether procurement from Guyanese companies providing vessel-related services should become mandatory under the Act.
Proposed amendments to Guyana’s Local Content Act have already been submitted and are now awaiting policy-level consideration.
“We are now taking those considerations to the policymakers to decide to what extent, if any, this should become a mandatory area where companies must procure from Guyanese companies operating in that space,” he explained.
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If approved, Munroe said the move would create strong backward linkages for local engineers and machine shops supporting vessel operators in the petroleum sector.
Munroe added that Guyana stands to benefit “tremendously” from such a shift, particularly through skills transfer and exposure to more advanced technical work.
“It would enormously benefit Guyanese in terms of transfer of skills, in terms of learning some of the more sophisticated elements of these sectors,” he said. “That can only enhance the standard and quality of work delivered by the Guyanese workforce.”
