ExxonMobil said a ruling from the International Court of Justice (ICJ) will be a critical trigger for advancing exploration in portions of Guyana’s Stabroek Block that remain under force majeure due to the Guyana–Venezuela border controversy.
The comments were made on January 30 by Jim Chapman, ExxonMobil’s Vice President, Treasurer and Investor Relations, during the company’s Q4 2025 earnings call in response to a question from Morgan Stanley analyst Devin McDermott.
Chapman said the acreage affected by force majeure remains inaccessible, but the legal process underway between Guyana and Venezuela is central to any future activity in that area.
Rubio points to Guyana as safer bet for oil investment than Venezuela | OilNOW
“The portion of the block that’s under force majeure as a result of the border dispute remains there. And I think, from my perspective, one of the unlocks with respect to that region will be the ruling that comes out of the International Court of Justice,” he said.
The case concerns the validity of the 1899 Arbitral Award, which established the land boundary between Guyana and Venezuela. Venezuela accepted that boundary for decades before, then, in 1962, declared the award null and void, claiming more than two-thirds of Guyana’s territory in the Essequibo. A ruling is expected by early 2027.
The controversy has affected companies’ exploration work on that side of the basin. In December 2018, Venezuela’s navy intercepted the Ramform Tethys, a seismic survey vessel operated by Petroleum Geo-Services and contracted by ExxonMobil, while it was conducting work several miles from the Ranger-1 well.
Other operators have faced similar challenges. In the Roraima Block, Occidental Petroleum’s predecessor interest holder, Anadarko, received an exploration licence in 2012. In 2013, its contracted survey vessel, MV Teknik Perdana, was ordered out of Guyana’s waters by the Venezuelan navy during a geophysical survey. Anadarko subsequently paused operations and later reaffirmed interest in the block in 2015.
Chapman said the ICJ process is part of Guyana’s effort to resolve the long-running border controversy with Venezuela. He added that the broader regional developments could also influence operating conditions once the legal issue is addressed.
“…I think that’ll be a critical milestone, obviously, with the developments in Venezuela, perhaps we’ll see an opportunity…with less naval patrols that’ll make it a little more friendly environment,” Chapman added.
Chapman said the force majeure designation has paused ExxonMobil’s obligations for that acreage, preserving the opportunity to evaluate it later.
“I think one of the advantages of force majeure is it pauses the clock, and so we will have an opportunity to do what we need to do in that portion of the block when it’s available to us,” he explained.
ExxonMobil holds a 45% interest in Guyana’s Stabroek Block. Hess holds 30%, while CNOOC holds 25%.
