Latest update April 7th, 2025 6:08 AM
US company looking to speed-up works on Gas-to-Energy project
Kaieteur News-Following the announcement by Head of the Gas-to-Energy (GTE) Taskforce, Winston Brassington, that the project is not likely to be completed within the stipulated timeline, the contractor, Lindsayca/CH4 on Thursday indicated that enhanced protocols have been implemented to allow for accelerated progress on the construction of two gas plants.
The state of the GTE project site in January this year
The consortium was contracted by the Government of Guyana (GoG) in December 2022 to build a Natural Gas Liquid (NGL) plant and a 300-megawatt natural gas fire plant at Wales, West Bank Demerara.
The construction was delayed following a late handover of the site to the contractor, which led to a dispute between the GoG and the contractor. While that matter was forwarded to the Dispute Avoidance and Adjudication Board (DAAB), government said the construction works were not put on hold.
In a statement to the media yesterday, Lindsayca/CH4 said it was informed of recent public statements about timeline adjustments for the Wales Gas-to-Energy Project. It said, “LNDCH4 Guyana recognises the strategic importance of this landmark project to Guyana’s energy security and economic development. We are actively collaborating with all stakeholders to address technical complexities and logistical considerations.”
The contractor added, “Following productive discussions with the Government of Guyana and other key stakeholders, we have implemented enhanced project management protocols and increased resource allocation to accelerate progress while maintaining the highest quality and safety standards.”
The consortium noted that U.S. Ambassador to Guyana, Nicole Theriot, recently reaffirmed the U.S. Government’s full support for the project and underscored the value the United States places on its partnership with Guyana.
In welcoming this endorsement, the company reaffirmed its commitment to Guyana’s energy transformation and the delivery of the gas plants, noting its appreciation for the GoG’s partnership in advancing the project.
Last week Kaieteur News reported that Brassington, while providing local energy updates at the Guyana Energy Conference, provided delegates with a progress report on the various components of the project.
With regard to the NGL and 300-megawatt powerplant he explained, “Contractually this is scheduled to be delivered in the second half of this year but we have seen a schedule that suggests this is going to take longer- so contractually this year, realistically we’re looking at some delays and a lot of this is, some of these matters are in dispute and therefore I can’t speak about it at this point.”
According to his visual presentation, the final cost of the two plants is “to be determined,” in light of the ongoing disputes with the joint venture. Brassington’s presentation indicated completion of the plants by 2026.
In the meantime, the pipeline element, constructed by ExxonMobil Guyana Limited (EMGL) has been completed, with nitrogen pumped into the structure as it awaits completion of the other components.
On January 31, the DAAB issued its ruling on the dispute between the GoG and the contractor. The Office of the President in a statement however, indicated that the parties to the dispute resolution process are bound by certain rules of “confidentiality”.
As such, Government did not specify the details of the decision made by the DAAB, following a complaint filed on September 19, 2024. It only revealed that the Parties have 28 days to determine if they wish to refer the decisions, or any part thereof, to Arbitration, which would be the next stage in the dispute resolution process.
It was explained, “The GOG will, therefore, in the next few weeks, in consultation with its partners, including Exxon/Mobil, as well as relevant legal and technical advisors, determine the best course forward for GOG.”
(US company looking to speed-up works on Gas-to-Energy project)
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