The key legal instruments governing Guyana’s oil and gas industry

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By Chevy Devonish

In the first article of this column, I indicated the intention to map and distill the entirety of the legal framework directly (specifically governs oil and gas production and related activities) and indirectly (does not directly govern oil and has production, but still has an impact through relevant provisions) regulating Guyana’s oil and gas sector.

The intended scope of this mapping exercise included all instruments (international law, local legislation, permits and licenses, and agreements) regulating: i) the operations of ExxonMobil Guyana Limited (“ExxonMobil”) and its partners, ii) the satellite sector supporting those operations, and iii) the operations of other companies seeking to engage in oil and gas production in Guyana. 

In today’s article, I had planned to list each instrument and to provide a brief overview of the purpose and function of those instruments. However, an hour of research suggested a need to streamline the intended scope of this column, and this first article. Let me explain why. 

First, the oil and gas sector in Guyana is one of the country’s most, if not the most extensively regulated sectors, matching the trend in other countries such as the United States of America (“the U.S.”). 

Second, while knowing and understanding all directly applicable parts of this legal framework is crucial, the same is not necessarily true for some indirectly applicable instruments. For example, we do not need to understand the instruments relevant to ExxonMobil’s ground transportation agreements. At least not unless those agreements become an issue.

Third, some instruments pertain to stakeholders not yet involved in oil and gas production, and regarding whom such production is not imminent. 

Considering the foregoing, this article will list what I argue are the main instruments that directly or directly regulate that portion of Guyana’s oil and gas sector involved in the production of oil and gas, or whose involvement seems imminent. Of course, this means that we will focus on the instruments regulating the operations of ExxonMobil and its partners, and those entities which support those operations. 

This initial article will also highlight relevant international instruments, primary legislation, crucial subsidiary legislation, licences, permits, and agreements. 

Some subsidiary legislation will be omitted from this article but will be covered in articles distilling the primary legislation under which they are made. We will also not examine any agreements, licences, permits or other instruments which are not related to ongoing or imminent oil and or gas production.  

Finally, while I intend to canvass decided cases regarding Guyana’s oil and gas regulatory infrastructure (as decided cases are also part of the oil and gas regulatory framework) this will be done in a separate article. 

For simplicity and ease of reference, I will list the instruments with hyperlinks included as I believe this will make for easier identification.

I propose that the most significant instruments in the legal framework regulating Guyana’s oil and gas sector are as follows:

Fundamental rights

  1. The Constitution of the Cooperative Republic of Guyana, Cap 1:01, Laws of Guyana

Registration, establishment, and organizational management 

  1. The Companies Act, Cap 89:01, Laws of Guyana;

Customs, Taxes and Finance 

  1. The Customs Act, Cap 82:01
  2. The Property Tax Act, Cap 81:21, Laws of Guyana;
  3. The Income Tax Act, Cap 81:01, Laws of Guyana;
  4. The Corporation Tax Act, Cap 81:03, Laws of Guyana;
  5. The Tax Act, Cap 80:01, Laws of Guyana;
  6. The Capital Gains Tax Act, Cap 81:20, Laws of Guyana;
  7. The Natural Resources Fund Act (Act No. 19 of 2021);
  8. The Fiscal Management and Accountability Act, Cap 73:02, Laws of Guyana
  9. The Fiscal Enactments (Amendment) Act 2024 (Act No. 2 of 2024)
  10. The Anti-Money Laundering, Countering the Financing of Terrorism Act, Cap 10:11 Laws of Guyana
  11. The Appropriation Act(s); and
  12. Supplementary Appropriation Act(s);

Local Content 

  1. The Local Content Act 2021 (Act No. 18 of 2021)

Petroleum Exploration and Production 

  1. The Petroleum Activities Act 2023;
  2. The Petroleum (Exploration and Production) Act, Cap 65:04, Laws of Guyana
  3. The Petroleum (Exploration and Production (Tax Laws) (Esso Exploration  and Production Limited, CNOOC Nexen Petroleum Guyana Limited and Hess Guyana Corporation Limited) Order 2016 Order No. 10 of 2016;
  4. The Petroleum (Production) Act, Cap 65:05, Laws of Guyana
  5. The Acquisition of Land for Public Purposes Act, Cap 62:05, Laws of Guyana; and 
  6. The Guyana Energy Agency Act, Cap 56:04, Laws of Guyana;

Environmental Protection 

  1. The Environmental Protection Act, Cap 20:05;
  2. The Protected Areas Act 2011 (Act No. 14 of 2011)
  3. The Plant Protection Act, Cap 68:03, Laws of Guyana;
  4. The Wild Bird Protection Act, Cap 71:07, Laws of Guyana;
  5. The Pesticides and Toxic Chemicals Control Act, Cap 68:09, Laws of Guyana; and
  6. The Fisheries Act Cap, Laws of Guyana;

Conflict Resolution 

  1. The Arbitration Act 2024 (Act No. 6 of 2024); and
  2. The United Nations Covenant on the Law of the Sea;

Shipping and Maritime matters 

  1. The Maritime Zones Act, Cap 63:01, Laws of Guyana;
  2. The Guyana Shipping Act, Cap 49:01, Laws of Guyana
  3. The Carriage of Goods by Sea Act, Cap 49:02, Laws of Guyana
  4. The Transport and Harbours Act, Cap, Cap 49:04, Laws of Guyana ;
  5. The Shipping Causalities (Investigation and Prevention) Act, Cap 49:07, Laws of Guyana;
  6. The River Navigation Act, Cap 50:01, Laws of Guyana; and
  7. The Demerara River Navigation Markers Act, Cap 50:02, Laws of Guyana;

Health and Safety

  1. The Occupational Safety and Health Act, Cap 99:06, Laws of Guyana; and 
  2. The Public Health Ordinance, Cap 145.

Other

  1. The State Lands Act, Cap 62:01, Laws of Guyana
  2. The Town and Country Planning Act, Cap 20:01, Laws of Guyana
  3. The Sea Defences Act, Cap 64:01, Laws of Guyana
  4. The Planning and Development Single Window Act 2023 (Act No. 11 of 2023); and
  5. The Planning and Development Singh Window System Regulations 2024;  

Impending legislation 

  1. Oil Spill Bill;
  2. Petroleum Commission Bill;
  3. The Disaster Risk Management Bill 2019; and
  4. New petroleum exploration and production regulations.

Agreements, Permits, and Licences 

  1. The Petroleum Agreement between the Government of Guyana, ExxonMobil, CNOOC, and Hess ;
  2. ExxonMobil’s Environmental Permits
  3. The Whiptail Petroleum Production Licences
  4. The Uaru Petroleum Production Licence;
  5. The Yellowtail Petroleum Production Licence;
  6. The Payara Petroleum Production Licence;
  7. The Gas to Shore Project Environmental Permit; and
  8. The Liza 1 licence; and
  9. The Liza 2 Licence.

This article sets out and provides access to the most comprehensive publicly available list of instruments constituting Guyana’s oil and gas regulatory framework. 

A few of these instruments can be found on the websites of agencies like the Environmental Protection Agency (“EPA”), and the Ministry of Natural Resources (“MNR”), but no agency or other entity provides a list as comprehensive as this one. That reality made research for this article quite challenging. So, at the least, it is my hope that this list simplifies research regarding these instruments.

Do you agree with this list? Are there any others you think should be added? Let me know.

About the author:

Chevy Devonish is a Senior Legal Advisor at the Attorney General’s Chambers, a Legal Advisor at the Ministry of Parliamentary Affairs and Governance, a lecturer at the University of Guyana, and has worked as a legislative analyst. He can be reached at [email protected].

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