Dr. Adams Challenges Pres Ali Over Guyana’s 39.8% Oil Take, US$55B Cost Bank

Dr. Vincent Adams is demanding answers from the Government over Guyana’s sudden increase in its share of Stabroek Block production, arguing that the jump to 39.8 per cent raises serious questions about ring-fencing, ExxonMobil’s US$55 billion cost recovery and billions of dollars in costs associated with future oil projects.

In a letter published by Village Voice News, Adams contends that the current arrangement effectively demonstrates that ring-fencing can occur under the 2016 Production Sharing Agreement (PSA), despite the Government’s longstanding position on the issue.

His intervention comes after ExxonMobil announced in July that the consortium had recovered about US$55 billion in investment and operating costs, after which President Irfaan Ali announced that Guyana’s share of total Stabroek Block production had risen from 12.5 per cent to approximately 39.8 per cent.