ExxonMobil meets Opposition today on defective gas compressor

Apr 22, 2021 News

…economic impact on Guyana high on agenda—Shadow Oil & Gas Minister

Kaieteur News – President of ExxonMobil Guyana, Alistair Routledge, has acquiesced to the request by Leader of the Opposition, Joseph Harmon, to meet and be briefed on the problems that developed this past week with the flash gas compressor on board the Liza Destiny.

Shadow Oil & Gas Minister, David Patterson

This was confirmed by Shadow Minister with responsibility for the Oil and Gas portfolio, David Patterson, in an invited comment yesterday.
According to Patterson, the economic impact on the country as a whole will be high on the agenda, as he conceded that the slashed production would inevitably lead to longer payback periods on the initial spending by ExxonMobil for the development of the oil field currently producing.
He did indicate that the opposition would want to be briefed by the ExxonMobil team before making further pronouncements.
The meeting was summoned by Harmon after the oil company reported that it had to reduce production down to some 90,000 barrels daily in order to ensure flaring at pilot levels and to permit safe operations.
The disruption to production occurred as the company was monitoring its re-installed gas compressor that had developed problems earlier in the year and had to be flown to Germany for emergency repairs.
The company in making the announcement last week Tuesday said, “…we have reduced production to a minimum level that mitigates formation of hydrates in subsea systems, maintains gas injection and fuel gas to the power generators, and minimises flare.”
To this end, the Opposition Leader in a missive on Thursday last to the ExxonMobil top brass requesting the urgent meeting, said, “I am in receipt of numerous queries from our constituents, civil society and concerned citizens expressing their worry that EEPGL’s (Esso Exploration and Production Guyana Limited) performance since inception, appear to be far below expectations.”
EEPGL has as its majority owner, ExxonMobil Guyana and is the company which is currently producing crude in the Stabroek Block.
As such, Harmon, in requesting the meeting, indicated that the reported lingering malfunctioning of equipment that continues to delay the termination of excess flaring, plus the significant reduction of operations to a bare minimum production level, “are of considerable concerns to the Opposition.”
He had also indicated to the ExxonMobil President, that the meeting is aimed at having the opposition be briefed on matters including the recent development and the root causes of the equipment failures resulting in excessive flaring and reduced production.
Additionally, Harmon has told the ExxonMobil President, the Opposition is also looking to hear, “your plans—with schedule—for permanently addressing these root causes, and the short and long term economic and environmental implications for all of Guyana.
The Opposition Leader indicated meeting with the ExxonMobil team along with A Partnership for National Unity + Alliance For Change’s (APNU+AFC) senior Members of Parliament and the Shadow Minister for Oil and Gas.

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