Energy Dept. instructs ExxonMobil to improve Payara Field Development Plan

May 05, 2020 News

Energy Department Director, Dr. Mark Bynoe disclosed yesterday that approval of ExxonMobil’s Payara Field Development Plan (FDP) has been delayed as it has asked the American oil giant to make a number of improvements. The official declined to reveal the details of the changes or adjustments ExxonMobil was instructed to make. He did note however that when those have been completed, he will return to the media to provide an update.

The Director made the foregoing disclosure during an online press conference. He was asked by the media to comment on the recent statement by ExxonMobil’s Chief Executive Officer (CEO), Darren Woods that the political uncertainty is responsible for the project approval being delayed. The Director was very clear in stating that it is way more than this, while adding that nothing about their approach is unusual as addendums were also required for Liza One and Two FDPs which captured improvements that were necessary.

According to documents submitted to the Environmental Protection Agency (EPA) by ExxonMobil’s subsidiary, Esso Exploration and Production Guyana Limited (EEPGL), the Payara development will be located in the eastern area of the Stabroek Block which is approximately 190 km (118 miles) from Georgetown.
The operator notes that oil production from Payara is expected to last at least 20 years with startup of the facilities expected to occur approximately in mid-2023.

EEPGL noted that it will drill approximately 35 to 45 wells offshore to support extraction of the oil from below the seafloor. It said that each well will be drilled using a floating drill ship. Also, each well will be directionally drilled to specific reservoir targets generally 4,000 to 5,500 meters (m) below the sea level.
Further to this, EEPGL said it will install some of the oil production facilities on the seafloor at approximately 1,500-1,980 m (4,900-6,500 ft) water depth. It said that these subsea facilities include various types of pipes and hardware.

Kaieteur News understands that the subsea facilities allow the oil from the wells to be gathered and moved to the surface of the ocean for further processing. EEPGL will then install other oil production facilities on a vessel which floats on the surface of the ocean. The vessel is called a Floating Production, Storage, and Offloading (FPSO).
It will be moored on location in approximately 1,800-1,980 m (5,900-6,500 ft) of water depth and will remain on location throughout the life of the facility. EEPGL said that oil production facilities on the FPSO will further process the oil extracted from below the seafloor.

The operator also stated that the FPSO will have the capacity to produce up to approximately 180,000 to 220,000 barrels of oil per day. During the early stage of production operations, the FPSO is anticipated to produce up to an average of approximately 5,700,000 to 6,600,000 barrels of crude oil per month. These estimates are preliminary and are subject to change.

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