Guyana OIL : news update !

Exxon said in its latest report that they are still investing in Guyana

with four drilling rigs allocated as of the end of June

– one on exploration

and three on appraisal and project development drilling.

newsroom.gy/2020/08/01/idb-predicts-us1-...l-revenues-for-2020/

Inter-American Development Bank (IDB) :

the Bank revised the value of Guyana’s oil exports, for this year, from US$2.4B to US$1.3B

which still represents Guyana’s largest productive sector.

The IDB noted too, that for this year, government revenues are expected to grow by 12.8% and not 25.9%

The overall impact will mean that Guyana’s Gross Domestic Product (GDP) growth will be 52.8% and not 85.6%

..... as the Bank had predicted last year.

The Stabroek Block Production Sharing Agreement has been widely criticised, locally and internationally, for its lopsided terms.

The PSA is so poor that Global Witness found the difference between its current regime and a fair deal to be US$55B.

It has also been found to be riddled with illegalities.

Dr. Mangal, who served as Presidential Advisor on Petroleum to David Granger

recently posted comments to Facebook on the matter.

“The evidence is clear that the deals signed and practices conducted by the multinationals

in their operations in Guyana have not been in keeping with either best industry practice

or the best interests of the people of Guyana.” – Anthony Paul

Use Payara permit as bargaining chip for better oil deal –

Experts tell Guyana

“The Payara project should not be approved, as it will result in much more leakage of Guyana’s wealth to Exxon.”

“We need a fair contract before approving the Payara project.”

Dr. Jan Mangal had told Kaieteur News in a previous interview that oil companies tend to rush production in a ploy

to get away withn the lion’s share of the nation’s wealth. They are able to do under poor contractual terms.

“Oil companies always want to pump everything as fast as possible…

Don’t buy into the hype

…Countries [like Guyana] benefit from longer, sustained production.”

“If the PPP approves Payara,”

“then they are selling out the people of Guyana,

and then the PPP are giving away our wealth for peanuts,

just like the Coalition.”

The Stabroek Block Production Sharing Agreement (PSA)

was signed by the Janet Jagan led administration in 1999 with Exxon’s subsidiary

Esso Exploration and Production Guyana Limited (EEPGL),

and revised in 2016.

It was subsequently renewed by former Minister of Natural Resources, Raphael Trotman.

Two other companies, Hess Corporation and CNOOC/Nexen , are partners in the Stabroek Block consortium.