Vice President, Dr Bharrat Jagdeo has indicated that the audit of ExxonMobil’s costs pre-2018 for the Stabroek Block will be completed in a matter of weeks. Importantly, he has pledged that the findings of that exercise would be available for public scrutiny.
These costs to be verified would cover the oil giant’s US$460M in expenses incurred between 1999 and 2015 along with costs for the Liza Phase One Project which totals over US$3.5B.
The Vice President was also keen to note that the government has been able to garner the support of Exxon as regards the preservation of the country’s audit rights. While the Stabroek Block 2016 Agreement stipulates a two year deadline for cost recovery audits to be completed, the Vice President said Exxon has agreed to allow the country more time to get this critical work done. Contrary to what the International Monetary Fund (IMF) has cautioned, the economist categorically stated that any disputed claims would be addressed and recovered where necessary.
The Vice President also reminded that the audit for the post-2018 ExxonMobil’s costs, which total over $9B, will begin in June and conclude by the end of the third quarter. The official said the first report for this exercise will be provided to government for review during that time as well.
The latter audit is being executed by a local and international consortium. The US$751,000 (GY$157,165,299) contract was awarded to Ramdihal & Haynes Inc., Eclisar Financial, and Vitality Accounting & Consultancy Inc. The local consortium will be supported by international firms–SGS and Martindale Consultants. The former is being done by the UK’s IHS Markit.
