U.S. oil major ExxonMobil, operator at the prolific Stabroek Block offshore Guyana, has submitted an application to the Environmental Protection Agency (EPA) to undertake the Yellowtail Development.
According to the EPA, the proposed project will be implemented in multiple stages including wells drilling and completions; mobilization and installation of subsea equipment, umbilicals, risers, and flowlines (SURF); installation of a floating production, storage and offloading (FPSO) facility; production operations, offloading of crude and decommissioning, and use of support vessels and helicopters throughout the stages.
The agency said too the proposed project will be undertaken in the marine offshore environment within Guyana’s Exclusive Economic Zone (EEZ) and would also utilize land-based support activities such as marine shore bases, fabrication facilities, warehouses, and storage yards.
ExxonMobil confirmed late last month that the Yellowtail area, located 19 miles (30 kilometers) southeast of the Liza developments, was set to underpin its fourth development project while noting that it has an anticipated start-up in late 2025 pending government approvals and project sanctioning. This project will follow the Liza Phase 1 and 2 developments, and Payara, which was sanctioned last year.
Due to the significant recoverable resources discovered in the Yellowtail area, IHS Markit has estimated that total cash flow from the development will amount to almost US$10 billion.