Come 2023, Consultancy Group Wood Mackenzie expects there to be a significant acceleration of global gas-led activity. In its latest ‘5 THINGS TO LOOK FOR IN 2023’ report, WoodMac anticipates a rapid or modular monetisation of gas assets. It also expects the sale of lower-margin, higher-carbon oil assets to support a shift to gas. It pointed to supermajors such as ConocoPhillips and potentially other large oil companies to continue to expand the production of liquefied natural gas (LNG).
With the global energy crisis in full swing, the hunt is on for gas to replace the vacuum left by Russia after it choked its supply to dependent European countries because of the war. And with the harsh winter season approaching, the search extended to Latin America and even to unlikely allies, like Venezuela.
With a sure supply from its own reserves and a gas project expected to start up in 2024, Guyana had pitched itself as an energy security partner to the United Kingdom.
Guyana’s gas reserves out of the Stabroek Block stand around 16 trillion cubic feet (Tcf). Arthur Deakin, Director of Americas Market Intelligence’s energy practice had said that Guyana’s LNG exports could reach nearly five million tonnes per annum (MTPA). This volume alone could replace 4% of all Russian gas that went to Europe in 2021.
But there are also other major gas projects, like those in Trinidad and Tobago. Its Coho facility safely delivered first gas back in October – the first-ever onshore natural gas project in 20 years.
T&T also has its Cascadura gas project from the Ortoire block offshore approved. This is set to produce 200 million cubic feet of natural gas per day. Additionally, bpTT’s Cassia C development, which hit first gas in December, is expected to produce about 200-300 million standard cubic feet a day of gas. And bpTT also has the Cypre gas project. First gas from the facility is expected in 2025. At peak, the development is expected to deliver average gas production of 250 million to 300 million standard cubic feet a day.
