8th project held key for Govt. to negotiate better terms with ExxonMobil - MP

(Kaieteur News) – The Government of Guyana (GoG) has missed a glorious opportunity to seek better fiscal terms for Guyana by failing to use its leverage before approving an eight oil project for ExxonMobil without any changes.

Longtail, according to A Partnership for National Unity (APNU) Member of Parliament (MP), Saiku Andrews represented the greatest leverage Guyana possessed since 2016 to negotiate a more beneficial fiscal regime to govern the Stabroek Block project.

In an invited comment, the businessman explained, “Longtail is a different type of project. It is a non- associated gas project, which the oil centered 2016 PSA was never designed around. Secondly, it was sanctioned and approved at a time when Stabroek Block historical costs have been fully recovered and the block wide production is in excess of 900,000 barrels per day (bpd).”