Oil prices rose to a more than seven-year peak at the weekend and recorded their sixth straight weekly gain with Brent climbing to $90.03 a barrel, after hitting $91.70 early Friday, the highest level since October 2014.
OilNOW understands preparations are currently underway for the Guyana government to export its first oil cargo for 2022 of around one million barrels. This means the South American country can earn around US$90 million dollars for this cargo, making it the highest received to date since production began two years ago.
A total of 42.7 million barrels of oil were produced in 2021 from the ExxonMobil-operated Stabroek Block compared with 27.2 million in 2020.
Since December 2019 when production began to the end of 2021, there were 69 lifts of oil exported from Guyana, of which nine were for the government.
As at the end of 2021, Guyana’s Natural Resources Fund’s (NRF) cumulative balance stood at US$607.6 million.
“It is estimated that deposits into the NRF for 2022 will total US$957.6 million, comprising some US$857.1 million earned from the government lifts of profit oil, and an additional US$100.5 million from royalties,” finance minister Dr. Ashni Singh said last week.
With the start-up of the Liza Phase 2 development this quarter, total production in Guyana will hit 340,000 barrels of oil per day this year.
The oil and gas sector continues to be the driver of historically high levels of growth in the Guyanese economy with real GDP projected to grow by 47.5 percent this year.