Exxon committed to playing key role in delivering lower cost power to Guyana – Routledge

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President of ExxonMobil Guyana, Alistair Routledge, said the company is committed to doing everything it can to ensure the Gas-to-Energy project, set to deliver lower cost and lower emission power to the new oil producing country, is successful.

“It’s a lot of work to be done but a good deal of groundwork has already been started,” Routledge said in an interview streamed on Facebook over the weekend, as he discussed contracts that have recently been awarded. He explained that Exxon is tendering for services and materials.

At the same time, the company, he said, is in negotiations with the government to delineate responsibilities. Exxon will construct the onshore and offshore pipelines and associated infrastructure, while the government will build the integrated facility that will house the natural gas liquids plant and the natural gas power plant at the Wales Development Zone. However, Routledge noted that Exxon is still in talks on how it can continue to help the government with the building out of this facility.

“We’re wedded to the success of this, we want this project to be successful, and to deliver that reliable lower cost power and lower emission power to the country,” Routledge said

The Exxon President told Forbes last month that the Stabroek Block partners will make final investment decisions on the landmark project by the end of 2022.

While Exxon sees itself completing the pipeline aspect by 2024, the plant facilities may come later. Project documents with the Environmental Protection Agency (EPA) indicate that Exxon estimates the integrated facility will be delivered in 2025. Government estimates that the design and development of the facilities could last 42 months, according to a procurement notice. Neither the project manager nor the contractor that will build the facility has been hired.

After having signed an agreement on the project earlier this year, both government and ExxonMobil expect to start construction before the year is out.

The Gas-to-Energy project will transport associated gas from the producing Liza field to Wales, West Bank Demerara, where it will be processed to power up a 300 megawatts (MW) power plant and supply natural gas liquids to meet domestic needs.

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