The Gas-to-Energy project in Wales, located on the West Bank of Demerara (WBD), is making significant strides, with the government committing a substantial US$400 million from its own resources to push the project forward.
General Secretary of the ruling People’s Progressive Party (PPP), Dr. Bharrat Jagdeo, announced during a press conference at Freedom House in Georgetown that the project is advancing despite delays in securing a US$660 million loan.
To further the loan discussions, Dr. Ashni Singh, the Senior Minister within the Office of the President with responsibility for Finance and Public Service, is set to meet with executives from the US Export-Import Bank (EXIM Bank).
“We have already allocated about US$400 million from our resources, which is more than half of the project’s cost. This approach benefits us as we can seek reimbursement later due to the project’s structure,” Dr. Jagdeo explained.
This much-anticipated initiative involves a 200-kilometre pipeline that will transport gas from the Liza Destiny and Liza Unity floating production storage and offloading vessels (FPSOs) offshore to an onshore power generation and NGL facility on the West Coast of Demerara.
Once completed, the Gas-to-Energy project is expected to have a transformative impact on Guyana’s economy by attracting sustainable investments across various sectors and generating numerous job opportunities.
“The project will be completed, even if it means funding it entirely from our budget,” Dr. Jagdeo emphasized.
The initiative aims to reduce the cost of energy by 50%, leading to more affordable and stable electricity for Guyanese households and businesses.
The government has partnered with ExxonMobil to develop the necessary infrastructure and facilities to transport and process the gas for power generation and other applications, marking a significant step forward in the country’s energy sector.
