Suriname president says citizens to receive oil royalties

PARAMARIBO, November 27, 2024 – Surinamese President Chan Santokhi said on Monday that the country’s oil royalties will be distributed in part among citizens, international media reported.

Under the scheme, each citizen will receive USD 750 in a savings account with a 7% annual interest rate.

Suriname is looking to hike its oil production from around 17,000 bopd to more than 200,000 bopd in the near term.

The government’s windfall from the new production has been pegged at USD 10 billion over the next 10-20 years, the AFP reported.

This could be transformative for the finances of a 600,000-strong population among whom one-fifth live in poverty, per World Bank estimates.

The South American nation has been carving out an independent approach to its coming oil and gas-led transformation, with the government making it clear that oil will not be an “endgame” for the country.

“Our vision for Suriname is to look at petroleum not as the endgame for our energy security, but as a transition to a sustainable energy mix,” Minister of Foreign Affairs Albert Ramdin told The Energy Year late last year.

Last month, TotalEnergies unveiled a USD 10.5-billion FID on the GranMorgu project, which will develop the Sapakara and Krabdagu oil discoveries, with first oil expected in 2028.

The discoveries are estimated to contain more than 750 million barrels. The company is targeting production of 200,000 bopd via an FPSO, a game-changing volume more than 10 times Suriname’s current output. 25 years of output is forecast.

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