Glenn Lall flays Jagdeo, Norton for indifference to lopsided oil contract

Nov 12, 2024 News

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—renews calls for referendum on Exxon’s deal

Kaieteur News- Businessman and advocate for a better oil deal, Glenn Lall has accused Vice President, Bharrat Jagdeo of selling out the country’s natural resources to foreigners and he chastised Leader of the Opposition (LOO), Aubrey Norton for doing little or nothing to arrest the situation.

Lall has used his weekly radio programme and social media platforms to advocate for major reforms in the oil and gas sector – among them being the renegotiation of the lopsided oil contract which the Coalition government signed with ExxonMobil in 2016. However, despite during the 2020 elections campaign, Jagdeo and the PPP/C had promised to renegotiate the contract once elected, since returning to government, the administration has reneged on the promise.

Speaking during last Friday’s programme, Lall told his listeners that much of the problems the country faces must be laid at the feet of Jagdeo, who is also general secretary of the ruling PPP/C and a two-term president. “Let me tell you this tonight, that man Bharrat Jagdeo does not care for any Guyanese, Bharrat Jagdeo is not there to safeguard our pockets or to defend our God-given blessings – that oil out there. Bharrat Jagdeo is one of the main men selling out this entire nation’s wealth with generations to come. It’s not that he doesn’t know, Bharrat Jagdeo is one of the smartest leaders you have in this country, but for whatever reason you want to describe it as, he is not using that smartness to benefit the Guyanese people,” Lall said.

Further, Lall referenced an interview he had with the former president in early days of the President Irfaan Ali government. “I played the interview for you on my Wednesday night programme – you heard his answers on simple, straightforward questions, issues that he ‘cuss’ out the PNC about, he went in there and did worse. I asked him about what he would have gotten for Guyana had he been in Raphael Trotman’s shoes negotiating that oil deal, he couldn’t even answer that question and still doesn’t want to answer that question to this day. You know why; he would have left it at that one percent…” Mr. Lall said.

Among some of the flaws of the 2016 contract, which governs Exxon’s operations in the rich Stabroek Block are: the paltry two percent royalty, lack of ring-fencing, no taxes among other things. Lall told his radio audience, the much anticipated seventh project of ExxonMobil will be signed without any improvements. “Wait, watch and see he will not ring-fence that 7th project, he will not get a cent tax or do anything in that 7^th project to put more money in the Guyanese pockets for their children. Just like the other oil projects, Guyana will remain with that good-for-nothing 2 percent royalty with that same 12.5 percent profit share. You and your children, me and my grandchildren, will see nothing more from any other oil project this man approves.”

Meanwhile, turning his attention to Norton, who he said has also been non-commital to making changes to the contract, Lall referenced the LOO restating last week that he needed data to say whether or not he will ring-fence the projects, although stating that he supports it in principle. “Ring-fencing is not an option; ring-fencing is not a game; ring-fencing is a must. Every oil-producing country knows this. You don’t need data or information about this, you don’t need any record for this. Ring-fencing puts money right away in your pockets, ring-fencing is like royalty – you must have that, ring-fencing you must have, it does not depend on any information,” Lall stressed. Lall said with estimates showing that ExxonMobil collected US$9B already because of a lack of ring-fencing, Norton does not need any data to make a clear position on this issue.

“Look what these men engaging in, running an oil-rich country where they are not ring-fencing the projects, they are not capping the interest rates on the oil companies’ investments, not collecting a cent in taxes, not ensuring that the nation is fully protected from an oil spill, accepting next-to-nothing for royalty with a 12.5% profit, not having a single of our own meters at the pumps, refusing to put in place oil experts to help us manage the oil industry, not thoroughly checking Exxon’s expenses, not verifying these project costs with oil experts and not telling this nation nothing about what is going on in the oil sector, if not asked.”

Lall said given the shortcomings of the two leaders, the call for a referendum on the oil contract becomes more urgent. “You see why we must vote on what we want from this oil blessings, before we go into any other elections–that is the reason. Bharrat Jagdeo and Aubrey Norton will not change that contract arrangement and they will not hire experts to manage this oil industry. You and I are seeing it, you and I are hearing it, and it’s crystal clear under these two men’s leadership, Guyana is doomed…”

(Glenn Lall flays Jagdeo, Norton for indifference to lopsided oil contract)

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• Exxon’s deal, Exxon’s operations, lopsided oil contract, President Irfaan Ali government, referendum

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