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207 days later… Govt. still to release report on Exxon’s US$19.6B audit
(Kaieteur News) – The largest audit of ExxonMobil’s expense has been completed over 207 days ago but the report on the findings remains hidden from the public with no word from officials on when the document will be released.
The review of the company’s financial activities is crucial in ensuring that Guyana received its rightful share of profits from the Stabroek Block. In accordance with the terms of the 2016 Production Sharing Agreement (PSA), ExxonMobil and its co-venturers invest in developing the resources discovered in the block. Guyana has taken a back-seat approach where spending by the Stabroek block partners is concerned. The government has agreed to review business transactions after the company spends billions of US-dollars which must be paid back by Guyana with its oil. This process is known as cost recovery.
Minister of Natural Resources, Vickram Bharrat
Each month, Exxon is allowed to take 75% of the oil produced in the Stabroek Block for its expenses. Increased oil production also equates to higher cost recovery for the company. The remaining portion of revenue is then split with Guyana as profit. This arrangement has often been criticized with stakeholders demanding not only a reduction in the cost recovery percentage, but a seat at the table where large contracts especially are negotiated. In this manner, Guyana can ensure it gets the best value for its money, prior to the signing of an agreement, as compared with verifying costs after a contract is awarded.
The third audit was conducted by VHE consulting, a local consortium comprising Ramdihal & Haynes Inc; Eclisar Financial; and Vitality Accounting & Consultancy Inc. The arrangement commenced in secret with the contract signing taking place in the absence of media personnel, a notable deviation from the previous process.
Prior to the US$19.6B audit, the same company was contracted to conduct the second audit through a more transparent process where media personnel were not only invited to attend the signing, but scrutinize the arrangement.
To date over 207 days have elapsed since it was first reported that the audit was completed. VHE reviewed some US$19.6B costs incurred by the contractor during the period 2021 to 2023.
On May 15, 2025 the minister of Natural Resources, Vickram Bharrat revealed that the audit was completed and the report handed over to government for review. Five months later, in October, Bharrat informed this newspaper that the Guyana Revenue Authority (GRA) was still conducting a technical review of the report and would make the document public after the process was completed. Recently, Bharrat was asked again about the report and directed all questions to the tax agency.
Notably, the GRA has not responded to any queries from this newspaper relating to the audit.
As government remains tightlipped on the audit findings of the largest review completed to date of the company, former Member of Parliament, David Patterson previously expressed concern. He noted, “This is the same government that reduced the amount from US$214M to US$3M, so they have no interest really in trying to upset Exxon. I think they are more pro-operators than the operators themselves.” According to him, Guyanese should be worried that the government is acting in the shadows when dealing with the multinational corporation.
Previously, minister Bharrat said he was hesitant to disclose the initial sum that was flagged by the auditors. He explained, “The auditors would flag a figure and then it goes back to the company and the company might be able to produce evidence or receipts for everything so it keeps adjusting all the time so it’s no use I give you a figure and then it might raise questions all around.”
The minister at the time urged that the GRA be granted a few more days to complete the process with the oil company. “Remember they would give the company time to provide evidence of spending and so,” he said while assuring that the third audit report will be made public on the website upon completion of the ongoing exchanges between Exxon and the GRA.
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