Guyana Oil and Gas News

Introduction: Findings Today’s column addresses Part 2 of the proposed three-part evaluation of Open Oil’s financial modelling exercise of Guyana’s 2016 PSA.

Guyanese comprise fifty-two percent of ExxonMobil’s local workforce while 227 Guyanese companies serviced its oil and gas operations in 2018.

Dear Editor, On May 17th, 2018 the Stabroek News published a letter by Mr Clement Smith in which he questioned the motives of A Fair Deal for Guyana with respect to challenging the oil contract.

LONDON,  (Reuters) – A decade ago, the news that the world’s top oil and gas companies had less than 12 years of production left in their reserves might have caused a panicked sell-off in their shares.

Column 43 dealt mainly with Associated Gas and my plan was to deal with non-associated gas this week.

HOUSTON, (Reuters) – Venezuela’s state-run oil firm PDVSA has bought nearly $440 million worth of foreign crude and shipped it directly to Cuba on friendly credit terms – and often at a loss, according to internal company documents reviewed by Reuters.

Introduction Within hours of the publication of my last Sunday’s Stabroek column, where I had indicated my intention to  write a “three-part review of Open Oil’s reported financial modeling exercise of Guyana’s 2016 PSA”, its Founder and Author of the exercise wrote to the Stabroek News Editor “to correct some inaccuracies” (letter published, Monday, May 7, 2018).

Part 43   One feature of the Esso/Hess/CNOOC 2016 Agreement – as indeed the 1999 Esso Agreement signed by President Janet Jagan – which has received little public attention is Gas which is addressed in Article 12 of both Agreements.

The possible purchase of Guyana’s gold and crude oil and India’s expertise in the rejuvenation of polluted waterways, were among areas discussed.

Dear Editor, I am writing to correct some inaccuracies in a review by Dr Clive Thomas of our financial model of the Stabroek field in his column in the May 6th Sunday Stabroek: He states that “Open Oil has developed its own financial model called the FAST Modeling Standard”.

Introduction Since its appearance in mid-March several readers (I suspect largely students) have been urging me to appraise and/ or review the recent financial modeling exercise carried in sections of the media, and which has been conducted by Open Oil, on Guyana’s 2016, production sharing agreement, PSA.

Introduction Column 41 which appeared two weeks ago looked at the paltry share capital of the three foreign oil companies which signed the 2016 Petroleum Agreement for the Stabroek Block.

Dear Editor, Is Guyana thinking of rising oil?  Are Guyanese preparing for what that means? 

Scenes from the closing ceremony of the Civil Defence Commission’s Oil Spill Response Training exercise held at Splashmins.

Hess Guyana Exploration Limited is acquiring a 15 percent interest in the Kaieteur block, offshore Guyana.

Dear Editor, Large oil spill in Guyana ‘very unlikely statistically’-Esso’s Henson I refer to the article at caption,published in Wednesday’s, Stabroek News, and wish to point out that ‘statistics involves the analysis of the frequency of past events’. 

The emerging oil and gas industry requires Guyana to sharpen its commercial arbitration skills, Attorney General Basil Williams, SC said yesterday while noting that government will be working to equip its partners with the necessary abilities.

With the oil and gas sector set to bring in an estimated US$700 million in its first year of full operations, GRA Commissioner-General Godfrey Statia is convinced that once he is at the helm of the revenue agency there will be no successful tax evasion by ExxonMobil.

Rod Henson, Country Manager of ExxonMobil’s subsidiary, Esso Exploration and Production Guyana Limited (EEPGL), says statistically speaking, it is unlikely that Guyana will experience a significant oil spill when production begins in 2020 at the offshore Liza well.

Acknowledging that the Guyana Revenue Authority (GRA) lacks the technical expertise to deal with audits in the petroleum sector, Commissioner-General  Godfrey Statia is moving ahead with plans to train his current staff even as he looks to the diaspora and other support in establishing a specialised unit within the GRA.