ExxonMobil’s almost 100 percent relocation of supply chain services from Trinidad and Tobago to Guyana is not an unexpected move, says Prime Minister of the Twin Island Republic, Dr. Keith Rowley. He said this is especially understandable since Guyana’s oil production in the medium term is forecast to reach one million barrels of oil per day (bpd).
The Prime Minister made the foregoing remarks during the second session for the 11th Sitting of the House of Representatives which occurred on Monday. The first question he was asked on this matter came almost nine minutes into the session from Parliamentarian of Couva North, Arnold Ram. The politician asked Dr. Rowley about the revenue and employment implications that would result from ExxonMobil’s recent decision.
The Prime Minister said, “This move by ExxonMobil was to be expected as the source of the exploration and production of oil and possibly gas are in Guyana. Madam Speaker currently, the production levels there are over 100,000 barrels per day and the projection for the medium term is over a million barrels a day. So, it is not surprising that Exxon should shift business there.”
Further to this, the Trinidadian official said that service providers from his country have been working and providing service in Guyana in joint venture arrangements while adding that they would continue to do so.
The Prime Minister said, “Our service providers would continue to provide service in the hydrocarbon industry and the government will continue to do its part to promote our services in Guyana and elsewhere.”
Following this, Ram questioned if the government intends to hold discussions with ExxonMobil to secure the labour interest of existing workers who may be eligible to work in Guyana. The Prime Minister was keen to note however that the employment of staff at ExxonMobil is not a government matter but one to be handled by the company as it sees fit. He noted nonetheless that Trinidad will remain a place that is welcoming to international oil production and will also seek out opportunities and clear the way diplomatically and otherwise for its businesses and its nationals to participate in the economy of Guyana.
In response to questions on measures he and his government would be putting in place to compensate for the revenue loss following the relocation of business by ExxonMobil, Dr. Rowley said this is not a matter in front of the government at this time since he does not have the numbers on this nor does the government have control over what Exxon does.