No decision yet on where Guyana’s oil will be refined

No decision yet on where Guyana’s oil will be refined – Trotman

Mar 08, 2017 News

The Ministry of Natural Resources says it has taken note of the article published by Kaieteur News and other news entities over Suriname’s inability to refine Guyana’s light crude oil.

Minister Raphael Trotman

“While we do not dispute the statements emanating from the Suriname publication De Ware Tijd and republished by Demerara Waves and Kaieteur News, it is apposite to note that during Thursday’s March 2, 2017 breakfast engagement, Minister Trotman was speaking based on the best information available to him at that time.”
A report this week in Suriname’s De Ware Tijd, quoted Rudolph Elias, chief of the state-owned refinery, Staatsolie, as saying that the facility does not have technical capacity to process Guyana’s oil.
Trotman said yesterday that during the breakfast media meeting last week he had also pointed out that Government Ministers were informed on Tuesday, February 28, 2017 that Suriname had indicated a willingness to do refining for Guyana since their refinery is operating below full capacity.
“The Minister said clearly that no decision has been made in terms of where Guyana’s oil would be refined. He reminded the journalists that Cabinet had approved a consultancy whose report will guide the Government of the Cooperative Republic of Guyana on the way forward on the matter of an oil refinery for the country.”
Trotman noted yesterday that there had also been some recent overtures from the Government of Trinidad and Tobago for the refining of Guyana’s oil. He said he expects a formal proposal to be made from Trinidad and Tobago in this regard.
Trotman pointed out that the current below-optimum operating positions of Suriname and Trinidad bring into stark focus the need for Guyana to be careful in considering whether or not to have a refinery.
“Further, the question was asked during the breakfast engagement whether Trinidad or Suriname would have had to do any retrofitting to be able to refine the grade of oil Guyana will be producing. By virtue of this question being asked, and answer given, it is clear that there are still unknowns about the technical aspects of the potential refining arrangement between Guyana and its neighbours.”
Oil in commercial quantities have been discovered offshore Guyana with ExxonMobil, the US company now planning for production by 2020.