Exxon Mobil Corp is proposing a new investment plan to build an onshore supply depot in Guyana, Reuters reported. The proposal came after the government called on the company to deliver economic benefits to residents. The proposed supply base is expected to open jobs and boost local fabrication for future projects, according to Exxon’s president for Guyana, Alistair Routledge. He noted that the depot would bring total investment in the South American country to $30 billion.
Exxon is developing Guyana’s deepwater oil and gas discoveries. The government is currently reviewing necessary environmental permits for the Exxon-led consortium’s future project, called Yellowtail. Officials have called on Exxon and its partners to increase financial guarantees and local content to secure needed approval. Exxon is also planning a gas-to-energy project that could help cut electricity costs in Guyana, Routledge added.
A consortium of Exxon, Hess Corp, and CNOOC discovered 10 billion barrels of oil and gas in deep waters off Guyana. The group employs 3,200 Guyanese on its operations and works with around 800 local-based suppliers. In November, Exxon said its Guyana projects could pump 750,000 bpd of oil in 2026, up from 120,000 bpd today. Separately, Hess expects total output to reach 1 million bpd by 2027.
