Vice President, Dr. Bharrat Jagdeo has assured that Guyana would not find itself paying for gas that it does not need from the imminent gas-to-energy project.
During a press conference on Friday, he noted that the project is forecast to bring 50 million cubic feet of gas to shore via a 12 inch pipeline connected to the Liza Phase One and Liza Phase Two operations in the Stabroek Block. The Vice President acknowledged that a portion of that gas would be used to supply the nation with 250MW to 300MW of power via a Natural Gas Plant Wales. He noted however that the surplus would not be left as a stranded resource.
The Vice President said, “We have made it clear that we can advance this project which will utilize a 12 inch pipeline that can bring in at maximum 130 million cubic feet of gas per day and we only have a commitment from Exxon for 50 million cubic feet.”
He added, “We want to secure the supplies to bring in 80 million remaining and we believe we can do that but for the next four five years that is what we will get to come in and we will work to accelerate the other component. So far we have 15 to 20 proposals on how to utilize the excess gas. But they want large quantities and we cannot commit to that at this stage.”
Of the 50 million standard cubic feet of gas that is promised, Dr Jagdeo said 42 or 43 million will be used for electricity generation. For the excess, he believes a small protein plant or fertilizer plant “would mop up the rest.”
He added, “So there is no question about stranded gas that is coming in.”
The Vice President assured as well that the price Guyana will pay Exxon for bringing the gas to shore would not put undue burden on the State.
