Skip to main content

FM
Former Member

Stabroek Block crude gives Guyana strategic advantage over global peers, says energy expert

By OilNOW 0 -- Source - OILNOW -- https://oilnow.gy/featured/sta...-says-energy-expert/

https://oilnow.gy/wp-content/uploads/2021/08/a-101-2.jpg

The vast crude reservoirs found at the Stabroek Block offshore Guyana, home to over nine billion barrels of oil equivalent discovered since 2015, consist of light, sweet, high-quality oil-bearing sand, making it easier to extract and refine with less carbon emissions.

“The country also has relatively low operational costs to extract its oil, as well as faster drilling times,” notes Arthur Deakin, Co-Director at Americas Market Intelligence Energy Practice. “This means that large oil-consuming countries, such as China, India, and the U.S., as well as large energy companies, such as Exxon, Chevron and Total, are intensively eyeing the growing Guyanese discoveries.”

Liza Crude perfect for making jet fuel, high demand products – O&G expert

The Guyanese government recognizes the appeal of its newfound treasure and has vouched that its future oil contracts will generate more profits for the government, Deakin points out in a recent article. “Yet, the PPP administration also recognizes the need to pump out as much oil as possible while “there is still demand” for fossil fuels.”

This, he said, places the new oil producing South American country in a “Catch 22” position – accelerating oil production and increasing oil profits, while at the same time depending on changing energy demand and companies seeking to maximize their shareholder returns.

“The first solution for Guyana is to diversify its economy in a proactive and thorough manner,” he said. “Another proposition is to transform itself into a new type of oil and gas producer: one in which fossil fuel production is mixed with CCSU technologies, cleaner power generation, and nature-based solutions.”

For Guyana ‘light is right’ – the crude quality of choice

He said this will allow for Guyana’s energy sectors to be preferred over other dirtier, less profitable, and riskier jurisdictions.

The country’s Vice President, Dr. Bharrat Jagdeo, told participants at the recently held Offshore Technology Conference that Guyana must have a share in the 4-trillion-dollar oil and gas industry.  He pointed out that many activists critical of the country pursuing development of its hydrocarbon resources would in fact like to see the investments remain in the hands of the big players.

“There are many others who have been globally saying that to get to a decarbonized future, to get to net-zero by 2050, there should be no further investments in oil and gas assets,” Dr. Jagdeo said. “So, what is our position on this? We believe it’s totally unfair.”

Guyana’s oil development will not undermine climate change agenda – President Ali

Dr. Jagdeo, a former President of Guyana, said there is a legitimate expectation on the part of the Guyanese people that they should prosper.

“Guyana’s per capita income is now $6,000. Our people have a legitimate expectation of prosperity too. The United States is 70 odd thousand dollars per capita. The other developed countries are within that range or a little bit lower. So, we have a legitimate expectation to grow the per capita income, and rapidly too. This industry can contribute to that,” he pointed out.

Guyana has 3rd highest crude oil reserves in Latin America-Caribbean region

By OilNOW 0  -- Source - OILNOW -- https://oilnow.gy/featured/guy...ca-caribbean-region/

https://oilnow.gy/wp-content/uploads/2021/08/Guyana-Oil-Industry.png

New oil producer Guyana has been rapidly adding barrels to its discovered resources since 2015 catapulting the country to the number three position for proven oil reserves in the Latin America-Caribbean region.

Crude oil reserves in Venezuela amounted to nearly 304 billion barrels in 2021. In addition to being the undisputed leader in Latin America, the country also boasted the largest crude oil reserves worldwide. Brazil followed in the region, although by a large margin, with 12.7 billion barrels.

Since its first world-class discovery in Guyana in 2015, ExxonMobil has made over 22 discoveries amounting to approximately 9 billion barrels of oil equivalent resources, placing Guyana at the number three position in Latin America and the Caribbean.

Largest exploration campaign ever to be undertaken in Guyana basin could see oil reserves skyrocket

Ecuador comes in 4th with 8.27 billion barrels, followed by Mexico – 5.79 billion barrels, Argentina – 2.48 billion barrels and Colombia – 2.04 billion barrels.

Other countries coming in below the 1-billion-barrel mark are Peru – 0.86, Bolivia – 0.24, Trinidad and Tobago – 0.24, Chile – 0.15 and Cuba – 0.09.

Oil reserves in Central and South America have remained relatively stable in the past decade, at an average of 51 billion metric tons, or roughly 375 billion barrels. Due in large part to Venezuela’s contribution, the region accounts for roughly one fifth of proven global reserves, ranking only behind the Middle East. Despite its potential, however, it reported the lowest share of global oil production in 2019, with a participation of less than seven percent. Only one country in the region – Brazil – ranked among the world’s top ten oil-producing countries that year.

While it holds the largest proved oil reserves, Venezuela ranked fifth in Latin America and the Caribbean based on petroleum production, trailing behind countries like Colombia and Argentina.

Guyana, Suriname discoveries span around 100 million years of deposition – Exxon Senior VP

Meanwhile new deepwater hotspot Suriname, like Guyana, has also been enjoying a string of discoveries offshore. 2020 has been the most successful year to date for the country, particularly at block 58 where Apache and TotalEnergries have made 4 discoveries. In Block 52, Petronas and ExxonMobil have so far made one discovery, making the total oil strikes offshore so far, 5. Analysts have said the country’s discovered resources to date exceed 1.4 billion barrels.

FM

Add Reply

×
×
×
×
×
Link copied to your clipboard.
×
×