Sunday, September 24, 2023

Guyana seeking consultants to assess studies for Payara project

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The Guyana Government through its Ministry of Natural Resources (MNR) published on Tuesday, an invitation for international consulting services to review and assess studies for the Payara project set to come on stream by 2024. Payara is the third development at Stabroek Block where ExxonMobil is the operator.

The Block Seismic and Well Injection study, the Permissible Flaring and Production Profile Maintenance study, and the Produced Water and Re-Injection Study are requirements in the Payara Petroleum Production Licence signed on September 30, 2020.

With respect to the Block Seismic and Well Injection study, the licence notes that ExxonMobil should complete an analysis of natural seismic activity and magnitude from events such as earthquakes, volcanoes, etc. as well as consider the potential impact of the injection of fluids on such activities.

The successful consultant would be required to support the government in executing an assessment of ExxonMobil’s submissions and its alignment with the approved Terms of Reference (TOR) and international best practice.

The consultant is also expected to review the operator’s evaluation on the Liza, Payara, and neighboring future development areas in terms of the location, tectonic setting, and regional seismicity as well as ExxonMobil’s evaluation of additional induced seismicity risks and considerations based on subsurface conditions for the Payara development area. The consultant will also be required to examine the operator’s findings for the potential of injection of fluids triggering seismic events and examine the recommendations the operator would have made regarding the findings.

With respect to the Permissible Flaring and Production Profile Maintenance Study, the Payara Petroleum Production Licence said it aims to construct a reliability, availability, and maintainability (RAM) model. It is also expected to include a report of key metrics, including an estimate of the Floating Production Storage and Offloading (FPSO) vessel’s overall production system for achieving flaring permissible under the Production Licence and Environmental Permit.

During the short-term consulting period, the consultant is expected to review all submissions made by the operator, and all other supporting documentation as well as verify whether the submissions made addressed the items outlined in the Terms of Reference of the study and meet the intent of the Payara Petroleum Production Licence.

The Ministry’s documentation states that the review will include but not be limited to a review of the information provided by ExxonMobil with respect to constructing a RAM model and the subsequent report of key metrics; an assessment of the operator’s prioritized list of opportunities to improve the FPSO’s overall production system based on cost-benefit analyses; and an examination of the recommendations the operator would have made reagrding the findings.

As for the Produced Water and Re-Injection Study for the Payara Project, OilNOW understands that this is intended to focus on the cost, benefits, and feasibility of the treatment and reinjection of produced water.

The review by the successful applicant will therefore include but not be limited to the feasibility of implementing a system for the reinjection of produced water, save and except in defined unavoidable situations, as the primary disposal method; and the minimization of the effects of the discharging produced water into the ocean in keeping with accepted international standards.

Following the review of the submissions by ExxonMobil, each consultant is expected to identify areas of shortcomings of the studies with respect to the TOR, provide written recommendations to improve the study, support the government’s team in their interactions with the operator which would include but not be limited to assisting the MNR in formulating responses and communications to the operator aimed at lodging objections, resolving differences in technical judgment and requesting modifications.

Each consultant will also be required to support the MNR towards closing of the operator’s draft study and provide a final report on appropriate recommendations.

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