Stabroek Block explorers have a lot riding on Guyana

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The expectations from the giant oil discoveries in Guyana continue to take centre-stage in the growth plans and projections of venture partners ExxonMobil, Hess and CNOOC.

With a record 10 discoveries to date amounting to more than 5 billion barrels of recoverable oil, the Stabroek resource has become increasingly important to the explorers.

Pluma, which is the most recent discovery announced on December 3, is located 42 miles (67 kilometres) southeast of Liza. Industry analyst Wood Mackenzie estimates the discovery holds 300 million barrels of oil equivalent (mmboe) of recoverable resources, while the August 2018 Hammerhead discovery added another estimated 700 mmboe. With many prospects left to chase at the Stabroek block and a success rate of 83%, the project will only get bigger, the analyst said.

Luiz Hayum, research analyst with Wood Mackenzie’s Latin America upstream oil and gas team, says, “The giant, low breakeven discoveries are key to the partners,” adding, “At peak, the project accounts for a third of Hess’ future production. For ExxonMobil, Guyana strengthens its growing deepwater portfolio, while for CNOOC it addresses efforts to offset domestic declines.”

ExxonMobil, the operator in the 6.6 million acres Stabroek Block, will begin producing oil by 2020 with the 120,000 bpd Liza Phase 1 development. Phase 2 is expected to follow closely with first oil in 2022. The US oil major is looking to rapidly increase development which could see as much as 5 FPSOs producing up to 750,000 bpd by 2025.

1 COMMENT

  1. Is the Guyana govt.making plans to attract. Skilled Guyanese back home to man the facilities that will become avIlable.Other skills not related to oil.They should.Needed for full development. The biggest perveived obstacle is and always was the level of crime.New jails and harsh laws needed to supress criminal activity at the same time as future wealth is made available to people in the form of employment.This should impact crime in a positive way.Guyana is also too small to have partisian politics.Elections is good but after that parties to unite for the term to boost development without rancour.If it can be done Guyanese can do it.Finally the USA is great not because of weapons.But because of its farmers.A nation mut be able to feed itself to be great.Put the farmers back to work.

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