Just days after its major oil find at the offshore Ranger-1 site in the Stabroek Block, ExxonMobil’s subsidiary, EEPGL is preparing to begin drilling at the Pacora-1 well site. According to an advertisement in today’s Stabroek News from the Maritime Administration Department, Esso Exploration & Production Guyana Ltd (EEPGL) will on January 25 begin a…
In relation to the newest Ranger-1 well announced a few days ago, it was said in an SN article: “It has more than 230-ft of high-quality, oil bearing carbonate reservoir which is now being described as the single largest find in the (Stabroek) Block. Questions may well be asked as to why the Ranger site…
Late last year the Wall Street Journal reported that Brazil received US$1.88 billion in signing bonuses for six exploration blocks during a process of competitive auctioning. Chad in 2001 received US$25 million in a signing bonus for sour crude oil with lower viscosity compared with Guyana’s high quality sweet crude. Signing bonuses are also paid…
The notion of the STATE sharing the production of oil and gas with companies as part of a commercial enterprise was first developed in Bolivia in the 1950s. Today it is widely used in over 40 countries, so the Government of Guyana cannot claim that the unavailability of international experts to advise it was the…
Exxon Mobil Corporation announced today positive results from its Ranger-1 exploration well, making it ExxonMobil’s sixth oil discovery offshore Guyana since 2015. The release today said that the Ranger-1 well discovery adds to previous world-class discoveries at Liza, Payara, Snoek, Liza Deep and Turbot, which are estimated to total more than 3.2 billion recoverable oil-equivalent…
Oil companies always have a long list of demands; one of them being tax holidays. In the case of Guyana, the Government has granted ExxonMobil a premium tax exemption package. According to Article 15 of the Production Sharing Agreement (PSA) with ExxonMobil, “no tax, VAT, excise tax, duty, fee, charge or impost should be levied…
Some nations make the sorry mistake of only fearing the worst and begin preparing for it when oil companies head into production phase. But an oil spill can happen when operators are in their exploratory stage. This was the case of the great Deepwater Horizon oil spill. It was recognized as the worst oil spill…
ExxonMobil’s oil future looks even brighter here as sources say its Ranger 1 Well which is located in the Stabroek Block and where its subsidiary EEPGL began exploration drilling in October shows promise to be better than Liza and the other four wells that have unearthed commercial oil discoveries thus far. “Ranger 1 has carbonate…
The Production Sharing Agreement (PSA) that Guyana has with ExxonMobil is fraught with opportunities for abuse. In fact, these very loopholes could result in a significant dent in the revenue Guyana is supposed to get from the oil find by the operator. This was noted by the International Monetary Fund (IMF) in a report that…
Former Auditor General Anand Goolsarran says that the agreement between Guyana and ExxonMobil should be renegotiated to give this country a royalty of 7% on oil produced instead of the current 2% and he also said that there should be a switch from a profit-sharing arrangement to a revenue-sharing one. See more here
