ExxonMobil, TotalEnergies step up Guyana bids

GEORGETOWN, October 27, 2023 – Consortiums including ExxonMobil and TotalEnergies have bid on shallow-water blocks in Guyana’s first oil and gas auction, Reuters reported on Thursday.

According to a government official, a consortium including French energy giant TotalEnergies, NOC QatarEnergy and Malaysia’s state-run Petronas have bid on the 1,790-square-kilometre S4 block.

Additionally, an ExxonMobil-led group has bid on the 1,710-square kilometre S8 block.

Other companies approved to participate include local entity Sispro that bid on the shallow-water S3 block and deepwater D2 block.

Nigeria’s International Group Investment was deemed an eligible participant for the S5 and S10 blocks.

Additionally, a partnership between USA’s Liberty Petroleum Corporation and Ghana’s Cybele Energy won the bid for the S7 block.

Guyana’s Delcorp Corporation, Watad Energy & Communications and Arabian Drilling company also bid on the D1 block.

Vice-president Bharrat Jagdeo said that talks will follow with interested parties to negotiate contracts with a deadline for final talks not disclosed.

Guyana launched its first offshore hydrocarbons bid round in December 2022, and has re-extending its deadline several times.

The concessions include 11 shallow-water and three deepwater blocks.

The shallow-water assets are located in the Guyana-Suriname basin adjacent to the prolific Stabroek block in which ExxonMobil has encountered 11 billion boe in recoverable resources.

The deepwater concessions lie northeast of the Canje block and east of the Kaieteur block.

Concessions on offer range between 1,000 square kilometres and 3,000 square kilometres, with an average of 2,000 square kilometres.

Guyana is now Latin America’s seventh largest producer, with current production and export of 380,000 boepd of oil and gas.

In August 2023, the American energy giant submitted plans for its sixth project on the Stabroek concession, named the Whiptail project.

The company and its partners finalised the FID on the Uaru project – the fifth Guyana project – in April 2023.

ExxonMobil plans on producing 1.2 million boepd by 2027.

ExxonMobil operates the Stabroek block with a 45% stake, while partners Hess Corporation holds a 30% stake and China National Offshore Oil Corporation holds the remaining 25% stake.

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