The Committee of Supply on Tuesday approved $100.7M which will be used to hire a consultant to review key documents for ExxonMobil Corporation’s sixth project.
Minister of Natural Resources, Vickram Bharrat said the Field Development Plan (FDP) for Exxon’s Whiptail project will be received by the government in late 2023 hence provisions are being made for it now.
Exxon’s subsidiary, Esso Exploration and Production Guyana Limited (EEPGL) commenced public meetings for its sixth project on January 30, 2023. These meetings will conclude on February 7, 2023.
Oil production from the project is expected to last approximately 20 to 30 years. EEPGL will drill approximately 40 – 65 wells offshore to support the extraction of the oil from below the sea floor. A massive floating production, storage, and offloading vessel (FPSO) will also be moored on location in approximately 1,700 m of water depth and will remain there throughout the production stage.
The FPSO will have a peak capacity to produce up to approximately 220,000 barrels to 275,000 barrels of oil per day. EEPGL was keen to note that these estimates are preliminary and are subject to change.
At peak, EEPGL said the sixth project is expected to be supported by approximately 1,200 offshore personnel during the well drilling and oil production installation stages. This number will decrease to less than 200 personnel during the production phase.
A smaller number of personnel will be utilized at the onshore support facilities.
The sixth project is expected to cost approximately US$12B, given its similarities to EEPGL’s fifth project at the Uaru project. EEPGL had said the Uaru development would cost Guyanese US$12.6B.
The Environmental Protection Agency said this week that an Environmental Impact Assessment (EIA) is required to be conducted before any decision to approve or reject the proposed project. Citizens can submit questions the EPA for the oil company to answer in the EIA.