Guyanese authorities have confirmed progress on the establishment of the nation’s first oil refinery. Senior Finance Minister, Dr. Ashni Singh announced that out of nine proposals received, five have been shortlisted for the construction of the refinery in the Berbice region. These proposals are under evaluation, with the final selection expected in early 2024. “Following this, the top-ranked contender will undertake an Environmental and Social Impact Assessment at Crab Island for a facility designed to process at least 30,000 barrels per day (bpd),” Minister Singh stated. The investment for this project is anticipated to surpass US$1 billion.
The government’s call for proposals in October 2022 sought a qualified company to design, finance, and build a modular refinery near Crab Island, at the mouth of the Berbice River. The plan initially aimed for construction to begin in early 2023, with completion within two years.
In support of the project, the government is offering approximately 30 acres of land and significant fiscal incentives, including a decade-long tax holiday, the provision of oil at market prices from the government’s share of profit oil, and access to the domestic market for selling refined products.
The government has clarified that it will not hold any ownership or investment stake in the refinery, stating that the project’s purpose is for national security.
