Guyana Approves ExxonMobil’s US$12.5 Billion Longtail Offshore Project

APNU MP Saiku Andrews says the Guyana government missed a major chance to secure better fiscal terms for the Longtail oil project, approving ExxonMobil’s US$12.5 billion development without changes to the 2016 production-sharing agreement. He argues Guyana could have gained about US$1.2 billion by charging a financing fee, given Exxon’s reduced risk and the project’s decades-long impact.

Guyana has approved ExxonMobil’s US$12.5 billion Longtail project, the eighth development in the Stabroek Block and the country’s first non-associated gas venture, with first production expected before 2030. The approval comes without ring-fencing, meaning Guyana’s profit share will be reduced to help finance the project, even as officials say the gas could support power, industry and a Berbice gas hub.

ExxonMobil has approved its US$12.5 billion Longtail project offshore Guyana, the eighth development in the Stabroek block, with production expected in 2030. The project will target gas and condensate, potentially supporting future gas exports and adding to Guyana’s growing energy sector, which already employs about 6,000 locals and has driven billions in supplier spending.

Guyana has approved ExxonMobil’s US$12.5 billion Longtail project, its eighth offshore development and first focused on non-associated gas, with first production expected in 2030. The project is seen as a major step toward gas-to-energy, industrial expansion in Berbice, and greater economic diversification as petroleum revenues keep rising.