Exxon plans to complete environmental studies for Yellowtail by December

May 28, 2021 News

…as COVID taskforce restricts public consultations for fourth oilfield development

ExxonMobil’s Guyana subsidiary, Esso Exploration and Production Guyana Limited (EEPGL), yesterday kicked off its public consultation exercise in order to solicit public submissions that would inform its Environmental Impact Assessment (EIA), necessary for the approval by the Environmental Protection Agency (EPA), in preparation for its fourth oilfield development, Yellowtail.

Environmentalist, Annette Arjoon-Martins

To this end, the ExxonMobil officials have since committed to completing the exercise by the end of this year but cautioned that the public scoping exercise for the fourth oil development would be restricted, in keeping with the guidelines issued by the National COVID-19 Taskforce.
The first public meeting was held virtually yesterday, and featured a presentation by ExxonMobil’s Production Manager, Mike Ryan, who told stakeholders that the potential environmental impacts for this development are expected to be similar to other Stabroek Block developments. He noted too, that the impact areas hold the potential for cumulative impact, since there exists potential for overlaps, and as such, a robust cumulative impact assessment will be performed as part of EIA.
Asked about timelines for the completion of the studies, it was pointed out that the US oil major is looking to have these completed by the end of the year. The poorly attended scoping meeting saw questions being asked from the public by Environmentalist, Annette Arjoon-Martins, who during the exercise recommended, among other suggestions, that impacts on protected areas also be addressed.
Addressing the matter of consultations, the Environmentalist lamented that even taking into account the COVID-19 restrictions, the planned meetings would not achieve the purpose and suggested the exercise be deferred in order to maximise participation. She suggested, for example, that a meeting at Mabaruma with 40 persons could not do justice, when it comes to representing the issues that stand to affect thousands more in nearby communities.
Arjoon-Martins in reiterating her position, was asked to make a formal submission on the matter to which she replied that the EPA could use her submissions for the first three projects — Liza I, II and Payara — since the concerns remain the same. To this end, she was told to resubmit her concerns to the EPA, this time in the context of Yellowtail and within the 28 days deadline in order that her concerns over the restricted consultations with affected communities can be taken on board.
The exercise is being held in pursuance of EEPGL’s fourth Stabroek Block development—Yellowtail. Once green lighted, the ExxonMobil led project is looking to produce some six million barrels of oil each month, at a production rate of some 250,000 barrels daily, to be produced utilising a Floating Production Storage and Offloading (FPSO) vessel, similar to the Liza Destiny.
The proposed project will be implemented in multiple stages, including wells, drilling and completions, mobilisation and installation of subsea equipment, installation of a FPSO, production operations, offloading of crude, decommissioning and use of support vessels and helicopters throughout the stages.
The project will be undertaken in the marine offshore environment within Guyana’s Exclusive Economic Zone (EEZ) and would also utilise land-based support activities such as marine shore bases, fabrication facilities, warehouses and storage yards.
It was noted that as a result of the intended developmental activities, possible effects on the environment may include impacts to marine water quality, air quality, marine fauna, socio-economic resources, among others.
As such, in keeping with the Environmental Protection Act, the EPA has determined that an EIA is required to be conducted before any decision to approve or reject the proposed project is taken, since this development may significantly impact the environment.
The operator in its application for the EIA consideration, noted that the Yellowtail Project along with the other Stabroek projects, “will contribute positively, directly and indirectly to economic growth in Guyana, including increased national revenues, which will result in increased government investments in public services and infrastructure; local procurement of select goods and services; increased direct and indirect local employment opportunities; and increased Project and worker spending with beneficial ‘multiplier’ impacts throughout the Project life.”