The Government of Guyana has allocated $100 million to hire a consultant to review the field development plan (FDP) for ExxonMobil’s seventh development project in the Stabroek Block. This disclosure was made today in the Committee of Supply during the consideration of budget estimates for the Ministry of Natural Resources.
Exxon currently has three projects in production, Liza Phase One, Liza Phase Two, and Payara which are poised to produce about 600,000 barrels per day by February 19. Three other projects are expected to take the country’s output beyond 1.3 million barrels a day by 2027. Guyana Standard previously reported that Exxon has already received approval for the Yellowtail and Uaru projects with approval expected for the Whiptail this quarter.
Minister of Natural Resources, Vickram Bharrat, while explaining the $100M allocation to the Committee of Supply, noted that the anticipation of a seventh project, whether for oil or gas, prompted the allocation for the review of a FDP. “…And anticipating that another FDP will come in at some point this year—whether it’s oil or gas this year— that is to be determined. But, we’re anticipating a seventh project coming in and obviously we’ll need a consultant to do a review of the field development plan in anticipation of issuing a production licence.”
British consultant firm Bayphase, known for its pivotal role in crafting production licences for previous projects, was retained by the government last year to review the FDP for Exxon’s sixth project, Whiptail. The minister, during his announcement, underscored the importance of expert evaluation in ensuring successful regulatory approvals.
“We’ve dealt with Payara, we’ve dealt with Yellowtail, we’ve dealt with Uaru now we’re dealing with Whiptail,” Bharrat asserted.
The Whiptail development involves drilling approximately 33 to 72 development wells, including production and water/gas injection wells. The floating, production, and offloading (FPSO) vessel named “Jaguar” is being designed to handle an annual average capacity of 300,000 barrels of oil per day (BPD) and store about 2 million barrels (320,000 m3) of stabilized crude oil.
In addition to the substantial allocation, the minister highlighted an extra $5 million designated for advertising, emphasizing transparency and public awareness in this pivotal stage of the project.
