Top officials at ExxonMobil affiliate, Esso Exploration and Production Guyana Limited (EEPGL) have confirmed that its asset base as of December 2022 stood at GY$2.3 trillion (almost US$11 billion).
EEPGL’s Vice President and Business Service Manager, Phillip Rietema was keen to highlight this fact in response to claims in sections of the media that the company’s ability to effectively respond to an oil spill would be inhibited due to it having little or no assets to boost financial capabilities.
“It couldn’t be further from the truth. We are far from assetless,” the official said, adding that “our assets increased by GY$1 trillion [approximately US$4.8 billion] in 2022 alone.” Rietema said that its asset base will increase significantly as more projects come on stream. Of significance is the fact that EEPGL’s asset base is almost four times the total assets held by the country’s Central Bank which according to a June 2023 gazette stands at approximately GY$606 billion (approximately US$2.9 billion).
A timeline of Exxon’s oil development projects in Guyana | OilNOW
Rietema was also keen to note that since 1999, EEPGL has invested multiple times its earnings, a demonstration of its commitment and confidence in the resources unlocked. The Business Manager said Exxon has thus far invested over GY$2 trillion (over US$10 billion) but its cumulative earnings since 1999 are GY$607 billion (approximately US$2.9 billion).
These key investments, no doubt the largest in the country’s history, are spread across five industry-leading projects such as Liza Phase 1, Liza Phase 2, Payara, Yellowtail, and Uaru. These five projects are poised to produce some 4 billion barrels of oil over a 20-year cycle at US$70/bbl.
When combined with the asset base of its co-venturers, Hess Guyana Exploration Limited and CNOOC Petroleum Guyana Limited, total assets for the Stabroek Block partners stand at US$19 billion. EEPGL said that these assets complement its ability to activate immediate cash flow if needed, to support fiscal responsibilities associated with an unmitigated oil spill event.
In the interim, EEPGL has furnished Guyanese authorities with a US$600 million per incident insurance policy along with a US$2 billion affiliate company guarantee that was recently lodged with the Environmental Protection Agency (EPA).
In the unlikely event there is a spill, Exxon has assured that a number of countermeasures would be initiated to mitigate impacts including the use of dispersants, capping stacks, surface response, and helicopter surveillance along with 24/7 wildlife response.
EEPGL has also implemented a Leak Detection and Repair (LDAR) programme across its operations to proactively detect and repair methane and other hydrocarbon leaks. The programme uses an optical gas imaging camera to detect emissions that are invisible to the normal eye.
FAQs
ExxonMobil Guyana today announced a discovery at Bluefin in the Stabroek block offshore Guyana, the company's first discovery of 2024. The Bluefin well encountered approximately 197 feet (60 metres) of hydrocarbon-bearing sandstone and was drilled by the Stena Drillmax drillship in 4,244 feet (1,294 metres) of water.
What is the total assets of ExxonMobil? ›
Total assets on the balance sheet as of March 2024 : $377.91 B. According to Exxon Mobil's latest financial reports the company's total assets are $377.91 B. A company's total assets is the sum of all current and non-current assets, such as inventories, cash and cash equivalents, properties and equipment.
How much oil is in Guyana? ›
Guyana's most recent estimate of recoverable oil and natural gas resources is more than 11 billion oil-equivalent barrels, and developers are still exploring the country's offshore waters.
Who is Exxon partners with Guyana? ›
Hess Guyana Exploration Ltd. holds 30% interest, and CNOOC Petroleum Guyana Limited holds 25% interest. ExxonMobil, one of the largest publicly traded international energy and petrochemical companies, creates solutions that improve quality of life and meet society's evolving needs.
What is the ExxonMobil deal in Guyana? ›
ExxonMobil explains that the Whiptail development offshore Guyana, which represents its sixth project on the Stabroek block, is expected to add approximately 250,000 barrels of daily capacity by the end of 2027. This $12.7 billion project will encompass up to ten drill centers with 48 production and injection wells.
Is Guyana benefiting from oil? ›
The oil discovery has by and large been a boon for Guyana, a country tucked between Venezuela and Suriname on South America's north Atlantic coast.
Is Guyana getting richer? ›
The 2015 oil discovery made Guyana the world's fastest-growing economy, recording the world's highest real GDP growth rate in 2022 and 2023.
Who owns the oil in Guyana? ›
Bluefin joins the more than 30 oil discoveries in the Stabroek block since 2015, Exxon added. Exxon has a 45% stake in Guyana's oil project and is the operator, while partners Hess Corp. and Cnooc Ltd. have joint stakes.
Does US buy oil from Guyana? ›
In 2022, Guyana exported $2.37B to United States. The main products exported from Guyana to United States were Crude Petroleum ($2.09B), Aluminium Ore ($71.7M), and Gold ($28.8M).
How much has Exxon spent in Guyana? ›
ExxonMobil Guyana and its reporting contractors have spent more than $83 billion (US$400 million) with more than 1,500 Guyanese businesses in 2022 alone. That is part of the more than $180 billion (US$900 million) spent with locals since the first discovery in 2015.
According to the latest TipRanks data, approximately 28.55% of the company's stock is held by institutional investors, 0.72% is held by insiders, and 51.70% is held by retail investors. Vanguard owns the most shares of Exxon Mobil (XOM).
What is the largest oil company in Guyana? ›
ExxonMobil Guyana is the first and largest oil producer in Guyana, and is the operator of the Stabroek, Canje and Kaieteur Blocks offshore.
What was discovered in Guyana? ›
ExxonMobil Corp. says it found new oil in the waters off Guyana, the South American nation neighboring Venezuela where major oil discoveries have been made recently. The discovery, called Bluefin, in the Stabroek block offshore Guyana is the company's first new find of 2024.
What was the first oil find in Guyana? ›
The Liza discovery was announced in May 2015. Liza-1 well was the first significant oil find offshore Guyana. It encountered more than 295 feet (90 meters) of high-quality oil-bearing sandstone reservoirs. It was safely drilled to 17,825 feet (5,433 meters) in 5,719 feet (1,743 meters) of water.
What is Exxon's new oil project to lift Guyana output past Venezuela? ›
Exxon Mobil Corp. formally approved its sixth Guyanese oil development that will make the Latin American nation a bigger crude producer than OPEC member Venezuela. The Whiptail project will cost $12.7 billion and produce about 250,000 barrels a day as soon as the end of 2027, Exxon said in a statement Friday.
Which country discovered oil first? ›
The first oil had actually been discovered by the Chinese in 600 B.C. and transported in pipelines made from bamboo.
