Govt. signs MoU with Canadian Province

Oct 16, 2018 News

Minister of Business, Dominic Gaskin (left) and Minister of Natural Resources from the Canadian Provence, Newfoundland and Labrador, Siobhan Coady, following the signing of the MoU yesterday at the Ministry of the Presidency.

…to explore joint ventures in oil and gas

The Government has inked a Memorandum of Understanding (MoU) in the oil and gas sector with yet another external partner ahead of commercial oil production in 2020.
Minister of Business, Dominic Gaskin and Minister of Natural Resources from the Canadian Province, Newfoundland and Labrador, Siobhan Coady, signed the newest MoU yesterday at the Ministry of the Presidency.
The three-year agreement, which was immediately made available to the media following the signing, will see both sides committing to collaborate in support of business opportunities in the oil and gas industry offshore Guyana and Newfoundland and Labrador.
Both sides have committed to explore supply chain development, joint ventures and exchanges, knowledge transfer, technology development, training, health, safety and environment initiatives that will also benefit other sectors.
According to the MoU, the two sides have agreed to set up a joint working committee to implement and oversee the agreement. The Director of the Department of Energy, Dr. Mark Bynoe and Deputy Minister of Natural Resources Newfoundland and Labrador, Gordon McIntosh, will serve as co-chairs of the joint working committee.
“It is important for Guyana that we do develop long term relations and partnerships with partner governments, with partner organisations, and as we explore the oil and gas sector with which we are not extremely familiar. I think it becomes all the more important that we benefit from the experiences of those who have done this before,” Gaskin told reporters.
Coady explained that the MoU on oil and gas builds on 200 years of a trade relationship between the Province and Guyana. The Minister shared that Newfoundland and Labrador has been developing the offshore oil and gas industry for the last 30 years – 20 of which were under production.
“It is a great opportunity for the Guyanese and the Guyana people to really enjoy the prosperity that comes with oil and gas development and how important it would be for the continued opportunities for the people of this great country,” Coady stated.
She further stated that one of the things that they undertook in Newfoundland and Labrador in the early days of developing their offshore oil and gas industry was work with joint ventures and others that had the experience to undertake knowledge transfer.
“That’s why we are here today to work with you to give you the experiences that we have, so that you can build and grow your opportunities here in Guyana. We look forward to seeing the growth and development of the oil and gas industry here in Guyana and the benefits coming to this great country,” Coady stated.
Both parties have agreed to continue the independent pursuit of their own domestic objectives or priorities. Each party is responsible for the cost of its own participation and involvement in the agreement. Either party may terminate the agreement by providing the other party with a written notice of termination. The agreement will expire six months after a notice of termination is received.
Last month, Guyana signed an energy cooperation MoU with Trinidad and Tobago, and is expected to sign a similar agreement with Barbados soon.