The Guyana government said on Thursday the latest oil discovery announced by ExxonMobil at the Cataback-1 well further enhances the country’s offshore potential, and that it is working to ensure Guyanese enjoy maximum benefits from the rapidly growing hydrocarbon resources.
Noting that Guyana currently has the 3rd highest oil reserves in the Latin America and Caribbean Region, natural resources minister, Vickram Bharrat, said as the petroleum sector continues to drive the country’s economic growth, its future prospects remain bright.
“This newest discovery has increased the Stabroek Resource estimate to approximately 10 billion barrels of oil-equivalent (10 BBOE) and further enhanced the development potentials of Guyana’s offshore blocks. This new recoverable resource estimate includes discoveries made in Guyana through early September 2021,” Mr. Bharrat said.
He said the new discovery at the Cataback-1 well means there are now “25 economically viable discoveries within the Stabroek Block to-date.”
The well encountered 243 feet (74 meters) of net pay in high-quality hydrocarbon-bearing sandstone reservoirs. It is located approximately 3.7 miles (6 kilometers) west of Turbot-1 and was drilled in 5,928 feet (1,807 meters) of water by the Noble Tom Madden.
In transforming the hydrocarbons sector, Mr. Bharrat said the Ministry of Natural Resources and the Government of Guyana (GoG) remain committed to enhancing the exploration and development of Guyana’s oil and gas resources.
“Therefore, as Minister of Natural Resources with responsibility for Petroleum, I would like to once again remind all Guyanese and stakeholders that the oil and gas investments and activities will be undertaken in a manner that is keeping with international best practices for compliance and transparency within the petroleum sector,” he affirmed. “Additionally, the GoG is continually working through consultations to enhance local content with policies and legislation that will create a sustainable development pathway to ensure maximum economic benefits for all Guyanese.”
Norway firm had estimated over $300 billion revenue take for Guyana at an oil price of $80
Further, Mr. Bharrat said the Liza Unity FPSO, Guyana’s second oil production vessel, is halfway on its journey to the South American country and it is expected to arrive offshore in mid-November 2021 with an anticipated startup of production in early 2022. The vessel has a capacity of approximately 220,000 barrels of oil per day, which will complement the Liza Density FPSO which is currently producing approximately 120,000 barrels of oil per day, bringing Guyana’s total production to approximately 330,000 barrels of oil per day in 2022.