The first payments of royalty due to Guyana from oil produced for the months of January, February and March have been deposited into the country’s Natural Resources Fund (NRF) account held at the Federal Reserve Bank of New York.
On April 30 the new South American oil producing nation received US$4,909,505.30 in royalty payments with the next deposit expected on July 30, based on gross production for the second quarter. This was confirmed by Guyana’s Finance Minister Winston Jordan on Friday.
This adds to the US$54,927,994.80 deposited into the NRF account on March 11, as payment for the country’s first lift of 1 million barrels of oil in February 2020.
While royalties are estimated on a monthly basis, Article 15.6 of the Petroleum Agreement stipulates that the monies will be transferred to the Government quarterly – 30 days after the end of each calendar quarter.
Guyana began producing oil last December at the Liza Phase 1 Development located at the ExxonMobil-operated Stabroek Block offshore.