Opinion
Guyana only receives 1.5 percent of Total Revenues
Given that Guyana pays the taxes of the oil companies (EMGL, Hess, and CNOOC), and recognizing that Guyana should receive 14.5 percent of total revenue, the question which must be answered is the following: How much money will Guyana receive after the taxes have been deducted from Guyana’s share of total revenue? The answer to…
Dangerous tripling of time for capping stack to get to oil well must be explained
I am most elated by VP Jagdeo’s hullabaloo surrounding the arrival of the capping stack in Guyana, since it finally brings attention to the constant raising of my dreaded concern about the Government’s dangerous tripling of the stack’s deployment time to 9 days from the 3 days decided upon by the Coalition Government and Exxon,…
The return on CNOOC’s equity is astronomical
I write with reference to Chris Ram’s column. He is reporting CNOOC earned a profit of USD 1.7 billion (rounded) on its 25% ownership in the consortium drilling for oil in Guyana. I also note that CNOOC’s paid-up capital (equity) is a mere USD 200,000. These numbers were on CNOOC’s 2023 income statement. I have…
A government department is not an attack agency that attempts to belittle its citizens
Reference is made to the letter submitted by the Ministry of Natural Resources (MNR) dated July 7, 2024 in reply to my letter on July 1, 2024. In their letter, MNR made the false claim, among other things, that the numbers I used to describe the Hess and CNOOC financial statement were pure fiction. While…
When the Cost of a Barrel of Oil is US$40.00 or less, Guyana Oil Revenue Must Increase
Thanks are extended to Mr. Phillip Rietema, Vice President and Business Services Manager of ExxonMobil Guyana Limited (EMGL), who made two important statements about the performance of the Oil company in Guyana. In the first statement published in Kaieteur News (https://www.kaieteurnewsonline.com/2024/07/02/exxons-guyana-operations-secure-with-us40-per-barrel-breakeven-point-phillip-rietema-vice-president-of-emgl/), it is reported that Mr. Rietema said that oil prices, ‘…went (down) from US$100…
Is there a shortfall in Royalty and Profits in 2023?
Having received copies of the 2023 Financial Statements of ExxonMobil Guyana Limited (EMGL), Hess, and CNOOC, with ownership rights in the company of 45 percent, 30 percent, and 25 percent, respectively, I decided to undertake a brief analysis of the 2023 financial information. But before doing so, it is important to state that the Government,…
Oil companies have earned five times more from oil than Guyana
Every Man, Woman and Child in Guyana Must Become Oil-Minded – Column 132 Modest investment, gargantuan returns Last week’s column completed the review of the published financial statements of the three companies which signed the 2016 Agreement for the Stabroek Block. Table 1 is a summary of the Income Statements (Profit and Loss Accounts) of…
Bhagwandin should tell readers what happens with the gold at the factory floor in the interior
I have taken note of Mr. Joel Bhagwandin’s letter titled, “[Prof] Hunte’s so-called “broken institutions” have little or nothing to do with declining gold production”, and respond as follows: Can Mr Bhagwandin give a short description of the Custom Dept’s check of the operation? A gold processing plant is located on the company’s concession in…
Bhagwandin misleads when he suggests that the NRF Report has disaggregated data for the EMGL, HESS and CNOOC
I refer to Mr. Joel Bhagwandin’s letter dated 6-17, 2024 in which he claims the information I requested is in the Natural Resource Fund (NRF) Report. Not surprisingly, Mr. Bhagwandin’s answer is the usual ‘red herring’, in which he is once again attempting to divert attention away from the real issues I raised in my…