Proposals for onshore natural gas facilities to be submitted by July – Ali

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The Guyana government is moving full steam ahead with the realisation of its massive Gas-to-Energy project, with the President Dr. Mohamed Irfaan Ali announcing on Wednesday that proposals are expected from the pre-qualified bidders in two months’ time.

As the country ushered in its 56th Independence anniversary, the President stated that the Request For Proposals (RPF) will be published within two weeks.

President Ali said, “Within two months thereafter, we expect specific proposals to be submitted and to initiate the process to award the contract and by the end of this term, we will be generating 250 to 300 megawatts of power, powered by natural gas.”

Government is responsible for the construction of the onshore natural gas power plant and the natural gas liquids plant which will be situated at Wales, on the East Bank of Demerara. ExxonMobil is responsible for the construction of the pipeline. Construction on both aspects is expected to begin later this year.

Back in January, the government’s press arm had reported that 12 companies had submitted bids for the onshore plants which Vice President Dr. Bharrat Jagdeo said will be constructed as a joint facility.

Guyana plans to slash its energy costs by 50 percent and has eyed the development of 500 megawatts of new generating capacity; the gas-to-energy project plays a key role in this plan.

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The project will utilise associated natural gas from ExxonMobil’s Liza field with the pipeline passing through Crane and other communities before landing at Wales.

In addition to power supply, Ali said, “We will be creating the condition to supply cooking gas, three times more our national demand and we will be in a position to develop a whole range of other derived liquids that we can monetise.”

He further added, “It will allow us to deliver a wide range of value-added activities which may include manufacturing and industrial development and give us the potential to explore and have our production of fertiliser done here locally to support agriculture and the farmers and the farming community of Guyana.”

The President said it is expected to be one of the most transformational projects in Guyana’s history, bringing with more benefit than just cheaper and more reliable power.

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