The Exxon Head, Mr. Darren Woods, is listed as a presenter at the February 10, 2022 Energy Conference. Mr. Woods is probably coming to Guyana, and is likely to get a very warm welcome from the Oil Renegotiation Movement. Exxon is a partner in development in an unequal, unfair relationship. What we want Mr. Woods to know is that his company, HESS and CNOOC are shipping away enormous profits when they get 85.5% of all gross sales while Guyana gets a paltry 14.5%. Guyana’s oil and gas seem to belong to the oil companies, not Guyana.
Mr. Woods, Guyana is a poor Third World country – the richest and largest in CARICOM, yet we have the lowest standard of living and lowest currency. Our masses of people are poor – 42% live on US$5.50 a day. Many of these earn the minimum wage and they can barely pay their rent and meet basic needs, while Exxon/HESS/CNOOC boast to investors that “Guyana oil sweet baad” and they will be rich with all the profit dividends expected from the Guyana oilfields. Mr. Woods, our people walk in mud, when it rains as our streets are crumbling and there are huge potholes due to missing asphalt. The new 2022 budget will not help much as our village roads would have to wait for repairs and rehabilitation until we get some more money from oil. We cannot drink the water coming out of our taps, and in some places, the water is red and ‘grumbsy.’ Our medical facilities are basic and inadequate. Medicines are in short supply, and there is a paucity of medical equipment and machines to do diagnostic tests, or treatments such as dialysis. The working poor struggle to feed their families. Mr. Woods, trash is everywhere and even with the new budget the Government does not have a comprehensive national plan for solid waste disposal, especially in the rural areas where the bulk of its supporters live. We need more money to do that. Mr. Woods, your former President, Mr. Trump had referred to countries such as ours as a “sh…ole” country. Our electricity supply is most unreliable as the Burnham-era blackouts have not left us even though Burnham died over 35 years ago.
Mr. Woods, Guyanese want to know how was Exxon able to get Mr. Trotman to sign the PSA? That contract was not taken to our Parliament. It was reported that Mr. Trotman was “told to sign” the contract. Do you know who told Mr. Trotman to sign the contract? Was it someone on the Exxon side? Did Exxon apply duress to Mr. Trotman to get him to sign? Did Mr. Trotman read the contract before he signed? Did he have time to read that long document before signing? Did Secretary of State Pompeo come to Guyana at the behest of Exxon? Mr. Woods, who in the PNC and PPP, during the elections, contacted your company and promised that the contract will not be renegotiated? Did Exxon request that promise, or did the PNC and PPP contact you voluntarily? Mr. Woods, your oil operators do not pay taxes, they are exempt from customs duties and VAT, we are not sure your companies have proper insurance coverage, your operations are still flaring gas and appear to be releasing “produced water into the ocean,” there is no “ring fencing,” so there are no risks associated with your investments here as Guyana is paying back every cent you spend.
Additionally, our Governments have not completed the audit of pre-contract costs, and costs for Liza 1 and 2, amounting to over US$9.5 billion, although the deadline may have passed. Mr. Woods, the ‘contract’ is more like a ‘Deed of Gift’ of oil and gas by the PNC Government and supported by the PPP Government. With new oil discoveries over 10 billion barrels and increasing with every new well, did our Government ask for a mutual review of the “contract” and did Exxon refuse that request, or did our Government not ask at all for a review? Mr. Woods, did our Government ask Exxon to extend the deadline for the completion of the audit, and Exxon refused, or did our Government not ask for an extension? Mr. Woods, our people are upset at this unfair contract, and would like this contract to be renegotiated forthwith. Our hopes and dream are tied up in getting a ‘fair deal.’ Is Exxon prepared to sit with our Government to discuss?
Sincerely,
Dr. Jerry Jailall