Govt. eyes transfer of US$1B from oil account to support spending

Jan 16, 2024 ExxonMobil, News, Oil & Gas

– says country earned US$1.6B last year, projected to collect US$2.4B this year

Kaieteur News – Senior Finance Minister, Dr. Ashni Singh revealed on Monday that there were 142 lifts of crude oil from Guyana’s three producing oil ships, which amounted to 142 million barrels of oil produced from the Liza Destiny, Liza Unity and Prosperity floating, production, storage and offloading (FPSO) vessels being operated by the ExxonMobil-led consortium in the Stabroek Block.

During the 2024 budget reading, Minister Singh said Guyana received 17 lifts or 17 million barrels. Minister Singh said six lifts were from the Liza Destiny while 11 were from the Liza Unity. Speaking to the revenues for 2023, Minister Singh said the Natural Resource Fund (NRF) received US$1.4B from the sale of Guyana’s 17 lifts. In providing a breakdown, he said US$576.6 million was from the Liza Destiny while US$822.3 million was made from Liza Unity. With respect to royalty payments from ExxonMobil and its partners, he said US$218.1 million was received.

Overall, he said US$1.6 billion in petroleum revenue was deposited into the Fund. At the end of the year, Minister Singh said the overall balance, inclusive of interest income, stood at US$2 Billion. With three oil ships in operation, Minister Singh said it is projected that there will be 202 lifts of crude oil from the Stabroek Block, 25 of which are estimated for government. Consequently, Minister Singh said earnings from the government’s share of profit oil are estimated at US$2.1 billion in 2024, while royalty payments for the year are projected at US$319.9 million. Guyana is therefore expected to earn a total of US$2.4 Billion in oil revenue for 2024. Additionally, based on 2023 deposits, Minister Singh said an estimated US$1.1 billion or $240.1 billion can be withdrawn from the NRF in 2024 and transferred to the Consolidated Fund to support the country’s development agenda.

2024 Budget, barrels, Dr. Ashni Singh, oil account, Senior Finance Minister

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