In 2016, the APNU+AFC Government renegotiated a Production Sharing Agreement (PSA) Guyana had with ExxonMobil’s subsidiary Esso Exploration and Production Guyana Limited (EEPGL), and its two other partners, Hess Corporation and CNOOC/NEXEN.
After unceasing calls for its release, the PSA was finally made public in December 2017. From then to now, everyone besides ExxonMobil and its affiliates have found the deal to be utterly lopsided. International, regional and local critics have called for its renegotiation, since it leaves Guyana collecting the crumbs, while the operator walks away with the lion’s share of the profits.
In spite of this, Country Manager for ExxonMobil, Rod Henson, has maintained that Guyana got a good deal; a deal that benefits both parties. In fact, the official reiterated these sentiments during an interview with a section of the media this week. The official said that it did not come to Guyana and “strong arm” anyone. He said that it was Guyana’s own model agreement that was used and it is “working well”.
Henson further stated said that changes at this point would scare away investors.
Upon taking notice of these and other comments, several critics are left wondering if Henson believes that Guyanese are fools.
Specifically making this remark in a letter that is published in today’s newspaper is Certified Public Accountant, Charles Sugrim. The concerned Guyanese questioned whether the Country Manager would have entered such an agreement if he were the owner of the resources in the Stabroek Block.
In addition to this, Sugrim said that Hess Corporation CEO, John Hess is correct when he said that his company did not “strong arm” Guyana. What occurred was far worse. The Accountant asserted that Exxon actually severed Guyana’s arms with such a contract.
See more here: https://www.kaieteurnewsonline.com/2019/07/19/exxonmobil-didnt-strong-arm-guyana-it-severed-our-arms-with-a-lopsided-deal-accountant/
