Today’s column continues consideration of the likely cost-price relation that might be anticipated during Guyana’s coming time of oil and gas production and export. So far, the discussion has established both indicative cost and indicative price estimates for Guyana’s oil circa 2025.
It has also strongly argued: 1) 2025 is too far out into the future, and 2) the oil and gas markets are much too volatile for anyone (including me) to provide estimates, which are significantly superior to informed guesses! I have further, urged readers to keep this caution constantly in mind, particularly as several ‘market analysts’ and high-reputation institutions churn out such estimates with regularity. Often these betray, to those who follow them closely, a high frequency of estimation errors.
