Hess Corporation, a partner in the ExxonMobil-led consortium operating offshore Guyana, does not expect a ruling over the coming month by the Caribbean Court of Justice (ICJ) on a no-confidence vote, to affect oil operations.
Company officials were asked on an earnings call on April 25 if the no confidence vote would affect future permitting for offshore developments.
In response, John Hess, CEO of Hess Corporation, explained that the no confidence vote was overturned by Guyana’s Appeal Court and the matter is now before the ICJ, the country’s court of last resort, for a final ruling.
“The current government is running their approval process in the normal course of business, and we don’t see the no-confidence vote or the overturning of the no-confidence vote, having any impact in the day-to-day running of the Guyanese government and their oil affairs,” Hess stated.
Director of Guyana’s Department of Energy, Dr. Mark Bynoe, was asked by OilNOW following the no confidence vote in December about the potential impact it could have on the country’s emerging oil and gas sector.
When asked what steps the Department of Energy will take in order to ensure that disruptions to its functions and mandate are minimized, he said, “The Department of Energy is staffed by a cadre of professionals who will continue to execute their duties in a manner consistent with their remit and that of the Department.”
The ExxonMobil-led consortium has to date found more than 5.5 billion barrels of oil equivalent and will begin production with the Liza Phase 1 Development by 2020. The co-venturers anticipate multiple developments that could see five FPSOs producing more than 750,000 barrels of oil per day by 2025.