Thursday, September 28, 2023

Laying of Guyana’s underwater gas pipeline to commence by June

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It’s full steam ahead with Guyana’s Gas-to-Energy project. 

Before the second quarter ends, Van Oord and Subsea 7 are expected to begin laying pipeline infrastructure on Guyana’s seabed, project documents indicate.

A project summary submitted by the consortium to the Environmental Protection Agency (EPA) noted that the installation involves a 12.75” gas pipeline system from existing gas production facilities offshore Guyana towards the shore.

The contract was awarded by ExxonMobil Guyana, back in July 2022

The scope covers project management, engineering, and the installation of approximately 190 kilometres of pipeline in water depths of up to 1,450 metres.

Subsea 7 and Van Oord are also responsible for the associated shallow water portion and onshore approach where the pipeline will land on the west of the Demerara River.

The pipeline, onshore and offshore components combined, carry an estimated cost of US$1 billion. Guyana is expected to repay this expense over a 20-year period. 

A guaranteed minimum of 50 million cubic feet per day (mmcfd) of natural gas would be transported from the Liza field offshore to the Wales Development Zone (WDZ), where the onshore plants will be located. 

Gas-to-energy is regarded as a game-changing project for Guyana’s energy sector.

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