Dominican Republic signs contract for 10% stake in Berbice Block

May 15, 2026 News

(Kaieteur News) – The governments of Guyana and Dominican Republic (DR) on Thursday inked an agreement that could see the Spanish-speaking nation exploring, developing and eventually producing oil or natural gas from the Berbice Block offshore Guyana.

The agreement was signed in the presence of Presidents Irfaan Ali and Luis Abinader at State House in Georgetown.

Dominican Republic signs contract for 10% stake in Berbice Block

Map showing Berbice and Corentyne Blocks.

The Guyanese government, in a statement said that building on the 2023 Memorandum of Understanding (MOU), which outlined cooperation in the areas of energy, oil refining, agriculture, tourism and petrochemicals, the two countries have decided to partner on operations in the Berbice Block.

Through the MOU, which allows for private sector collaboration in both countries, several initiatives have already advanced across a range of sectors.

The government in its statement said that the Dominican Republic, through Refineria Dominicana de Petróleo S.A. (Refidomsa), is considering investments relating to the Berbice Block, which was previously held by CGX Energy subsidiary On Energy. The block was returned to the State in 2023 after it was relinquished.

Several exploration wells were drilled in the Berbice Block: Rosehall-1, L’Esperence-1, Yakusari, Albion, L’Esperence-1, Hermitage-1 and Skeldon-1.

Meanwhile, Refidomsa in a social media post said that as the Dominican Republic continues to create strategic alliances to benefit its country and ensure fuel supply, an agreement was signed with Guyana for the exploration and production of oil or natural gas from the Berbice Block.

(From left) Minister of Natural Resources Vickram Bharrat, President Irfaan Ali, President Luis Abinader of the Dominican Republic (DR) and President of Refidomsa, Samuel Pereyra in Georgetown on Thursday.

“This important step consolidates bilateral cooperation between the two nations and projects our refinery towards a stage of greater integration and growth in the regional energy sector. In Refidomsa, we assume this commitment with pride and vision for the future, betting on initiatives that contribute to Energy Security and the progress of the Dominican Republic. We will continue to create connections that transcend borders and generate value for our country and our people,” the company said.

Meanwhile, Dominican Today reported that under the deal, Refidomsa will represent the Dominican State and receive a 10% stake in the project without requiring an upfront capital investment. It was also stated that if commercially viable reserves are discovered, the Dominican Republic would gain access to crude oil or natural gas under preferential terms, strengthening the country’s long-term energy security.

The exploration licence is expected to be officially granted by the GoG soon. Notably, this publication contacted Minister of Natural Resources, Vickram Bharrat for clarification on the terms of the agreement signed on Thursday in relation to the Berbice Block, but up to press time, there was no response.

For its part, government underscored that the engagements align with the Ali administration’s long-term vision of enhancing national and regional energy security while positioning Guyana as a key energy partner within the Caribbean.

It was also stated that during the meeting, both presidents welcomed increasing collaboration between private sector entities in both countries, including efforts to form partnerships and consortia in agriculture, energy and petrochemicals. Both governments also expressed satisfaction with the progress being made under the framework of the 2023 MOUs and reaffirmed their commitment to advancing initiatives that strengthen economic ties and create mutual opportunities for the people of Guyana and the Dominican Republic.

Moreover, just last month, President Ali highlighted discussions he held with President Abinader on advancing plans for the establishment of a local oil refinery as part of a broader strategy aimed at shielding the region from external shocks.

Since the signing of the MOU, there have been deliberations about establishing an oil refinery in Guyana capable of refining approximately 50,000 barrels of oil daily. It was reported that DR is poised to hold a controlling stake of 51% in this collaborative endeavour.

Discover more from Kaieteur News

Subscribe to get the latest posts sent to your email.

Berbice Block, Dominican Republic, offshore Guyana, oil contract

Latest News