Drilling company would be first line response to any oil disaster here – GGMC

With offshore oil drilling now expected to begin in Guyana next year the question has arisen as to whether this country has the capacity to deal with an oil spill, an issue garnering much attention following the BP oil platform disaster and massive spill in the Gulf of Mexico.

Canadian oil exploration company, CGX Energy last month announced that it expected to commence drilling here next year after earlier saying drilling could begin in the latter part of this year.
However, getting a firm answer on the status of local emergency preparedness measures were almost as elusive as a final solution to cap the oil gushing into the Gulf despite attempts on several occasions this week to get a response from critical players.

When questioned about the local readiness Guyana Geology and Mines Commission’s (GGMC) Petroleum Division Manager Newell Dennison told this newspaper that they expect the first line of response to any disaster to be with the companies responsible.

““We normally have a corporate response but it doesn’t mean the government is just going to sit down and say it’s the company’s [responsibility],” he said. “However, the limitations facing the government must be recognised.”

He said a “corporate response” was a prerequisite of any operation to be undertaken whether it was on land or elsewhere. This response, he added, is also shared with the Environmental Protection Agency (EPA) in order for the necessary permission to be granted. Additionally, other agencies that may be affected by the operation are also informed so that they could communicate with the companies, Dennison said.

According to the GGMC official, the government has to ensure the companies use the appropriate technologies to ensure as little hazard as possible, if any befall the environment and people.
“We have to hold them to perform to good oil field practice,” he stated. 

In the meantime, numerous efforts throughout the week to contact the EPA’s Executive Director Dr Indarjit Ramdass for a comment were unsuccessful while an email to CGX President and CEO Kerry Sully went unanswered. 

Attempts to reach Prime Minister Samuel Hinds, who has responsibility for the energy sector, were also fruitless.
On April 20 last, a BP deep-water platform blew up in the Gulf of Mexico killing 11 workers and unleashing some 140.6 million gallons (532 million litres) of crude to date, a new record for oil spillage in the Gulf according to the Associated Press.

Earlier this week the company said the cost for capping and cleaning up the spill had reached US$2.65 billion with its daily expenses climbing to some $100 million over the weekend, according to a filing with the Securities Exchange Commission filing on Monday.

Additionally, BP said it had received more than 80,000 claims and made almost 41,000 payments, totalling more than $128 million.
BP says the figure does not include a $20 billion fund for Gulf damages it created this month.