Latest update January 17th, 2025 6:30 AM
ExxonMobil bullish about seizing remaining opportunities in Stabroek Block before license expires in 2027
Kaieteur News- ExxonMobil is confident it will capture all remaining opportunities in the Stabroek Block offshore Guyana before its exploration license expires in October 2027. This is according to Liam Mallon, President of ExxonMobil Upstream Company.
Liam Mallon, President of ExxonMobil Upstream Company
There are over 30 significant discoveries made by Exxon in the Stabroek Block since 2015. Currently, oil is being produced from three developments: Liza Phase 1, Liza Phase 2 and Payara. Next year, Exxon’s largest deepwater project to date in Guyana will commence oil production.
Reflecting on the company’s progress since the initial 2015 oil discovery, Mallon recently highlighted the remarkable pace of development. “It is absolutely extraordinary. You know, my smile beam…when I talk about this, but it is extraordinary to think about 2015 was the discovery and here we are today, producing 660,000 barrels a day, gross at an incredible pace, on an incredible resource with credible people,” Mallon stated.
The license, originally set to expire in October 2026, was extended by one year to 2027. This extension allows ExxonMobil and its partners, Hess Corporation and CNOOC Petroleum Guyana Limited, to continue exploration and development activities. The Stabroek Block Petroleum Agreement requires relinquishment of non-commercial areas at the end of the exploration period. Mallon assured that this obligation is manageable. “We feel very confident that the area that is subject to relinquishment, which, as a reminder, excludes all the areas we’ve declared commercial and excludes the inaccessible, 30%, is relatively small and very manageable,” he explained.
He underscored that ExxonMobil has been operating a six-rig drilling program in the Stabroek Block, with two to three rigs focused on exploration and appraisal. This effort ensures that all necessary data is gathered to optimize resource capture before relinquishment.
“We’ve been running a six-rig program, roughly, for the last few years, at least a couple of which varies a bit two or three have been focused on ensuring we can make that decision with all of the data available to us, and we’re comfortable with that decision,” he said. With continued collaboration with the Guyanese government, Mallon said that ExxonMobil remains on track to meet its obligations while advancing its ambitious projects in the block.
Notably, current production capacity has reached 660,000 barrels per day, and plans are in place to exceed 1.3 million barrels per day by 2027 with the addition of Yellowtail, Uaru, and Whiptail developments.
(ExxonMobil bullish about seizing remaining opportunities in Stabroek Block before license expires in 2027)
(ExxonMobil bullish)
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