Guyana’s Gas-to-Energy project is set to receive significant financial support from the United States, according to Vice President Bharrat Jagdeo. Jagdeo detailed the ongoing negotiations and assurances received from various US departments, highlighting the expected approval of a substantial loan of approximately US$660 million.
He shared insights from his meeting with the vice president of the Export-Import Bank of the United States (Ex-Im Bank), expressing confidence in the bank’s commitment to the project. “We had a great meeting. Ex-Im Bank is fully on board with this project,” he stated. This support was reportedly echoed by other key U.S. departments and agencies, reinforcing the broad-based support for the initiative.
The Gas-to-Energy project, central to Guyana’s energy transition, has already secured US$100 million in funding from the country’s treasury to keep off its development, The additional loan from the Ex-Im Bank is pivotal for its progression. “The loan shall be in place. And we’d already planned contingencies, should this not happen… because we’re a serious government. But the project is going well,” Jagdeo affirmed.
The Vice President emphasized the thoroughness of the loan approval process, likening it to the rigorous assessments conducted by major financial institutions. “The consultants were hired by Ex-Im Bank. They’ve been doing their work… It is a process. People think that when you make an application, it’s immediate. These internal processes take some time,” he explained.
Despite the ongoing procedural requirements, Jagdeo conveyed strong assurances received from the highest levels of the U.S. government, including bipartisan support from Congress. “Every U.S. agency, including on a bipartisan basis members from both sides of Congress, assured us that this project is a great project. It will receive their full support,” he noted.
The government has contracted a US-based group called CH4-Lindsayca to build out an integrated facility, including a power plant, at Wales for US$759 million.
ExxonMobil is responsible for installation of the pipeline that will transport the gas from the Liza field. Exxon hired a joint venture of Van Oord and Subsea 7 to lay the offshore pipeline. For the onshore aspect, Exxon hired a joint venture between the Guyanese-owned GAICO Construction and General Services and the Italian, SICIM.
Gas is expected to flow for power generation in 2025.
Read more about the project here: All you need to know about Guyana’s Gas-to-Energy project (Updated) | OilNOW
