If there is one thing the government is sure of, it’s the successful execution of Guyana’s Gas-to-Energy project, with or without the loan it requested from the U.S. Exim Bank.
The delays in its approval have caused some uncertainty.
But according to Vice President, Bharrat Jagdeo, “The project will be done, even if it means, funding it from our own budget.”
His position is not new, but he sought to reaffirm it, as questions were posed to him about the loan’s status at his recent press conference. He said already, the government has allocated US$400 million in funding to push the project further. The loan being sought is valued at US$646 million.
So, the government already has more than half of what’s needed. And what Jagdeo explained is that the government has mechanisms in place to be reimbursed.
The US$646 million amount is indicated in a government document, labeled as foreign financing for the project. Jagdeo has said the U.S. is fully supportive of the project.
The loan is intended to support expenses associated with the Gas-to-Energy project, primarily for a US$759 million job by a U.S. consortium (CH4-Lindsayca) to build an integrated gas processing facility.
The facility, being pursued by the Guyana government, will receive natural gas from the Liza field offshore Guyana, transported through a pipeline being installed by ExxonMobil. The project will use natural gas for power generation, as well as for products to sell to regional neighbors.
The project is expected to be completed for first gas in 2025.
Read more about the Gas-to-Energy project here: Guyana’s Gas-to-Energy project (The basics) | OilNOW
