Vice President and Business Service Manager of ExxonMobil Guyana, Phillip Rietema, recently discussed the company’s continued evaluation of the Canje Block despite challenges faced in their exploration efforts.
Rietema highlighted the complexities and risks inherent in deepwater drilling, emphasizing the separate contracts and licenses Exxon holds for various blocks in Guyana, including Canje and previously for Kaieteur.
Addressing the Kaieteur Block first, Rietema acknowledged Exxon’s decision to exit the block in late 2023. Despite extensive seismic studies and drilling efforts over several years, the company did not encounter commercially viable hydrocarbons that met their investment criteria. This decision, Rietema noted, reflected Exxon’s commitment to maintaining cost-effective supply chains and focusing resources on areas with more promising returns.
“We spent significant amounts of money on that block,” Rietema stated, underscoring the financial risks associated with exploration ventures. “That’s just a lost investment, and that’s the nature of exploration.”
“We do wish are co-v’s who still have the license the best. It’s an area that they’re exploring as well and then we are still in the Canje block,” he added.”
Conversely, in the Canje Block, where Exxon continues its operations, Rietema discussed ongoing evaluations following several unsuccessful drilling attempts. While challenges persist, he expressed optimism about potential opportunities for future drilling activities. The Canje Block remains a focal point for Exxon’s exploration strategy in Guyana, despite setbacks encountered thus far, the Exxon official assured.
“We continue to evaluate after a few wells that have been unsuccessful to see if there’s other opportunities to drill and how we’ll move forward there but it does highlight as you noted that the high risk nature of the business we’re in,” he stated.
Reflecting on the broader impact of Exxon’s operations in Guyana, particularly in the Stabroek Block, Rietema emphasized the transformative potential for the country. With multiple successful discoveries in the Stabroek Block, Exxon’s operations have significantly contributed to Guyana’s economic development and energy independence.
“This is truly a once-in-a-lifetime opportunity,” Rietema remarked, highlighting the unique blend of world-class assets and developmental impact in a country with a relatively small population. He also underscored Exxon’s commitment to responsible resource development and its positive contributions to Guyana’s socio-economic landscape.
