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Guyana’s economy is expected to expand by 500% by 2030 as companies continue to exploit their offshore oil and gas reserves, a government official said Wednesday.
The small South American country has become one of the world’s oil exploration hot spots after a group led by Exxon Mobil Corp discovered more than 9 billion barrels of oil and gas, transforming an impoverished Guyana economy that had depended on of agriculture and mining.
“We expect to grow 500% between now and 2030,” said Chancellor Hugh Todd at the Offshore Technology Conference in Houston, adding that Guyana will use the proceeds it receives from oil sales to diversify its economy and stimulate development in the Caribbean in general. region.
“We know that oil is finite. It will end, but we have traditional sectors that have been driving the economy for decades,” Todd said.
Guyana is producing around 125,000 barrels per day of crude from the Liza-1 offshore project through a consortium that includes China’s Exxon Mobil, Hess Corp and CNOOC Ltd, with other projects expected to come online soon.
Other companies, including TotalEnergies and APA Corp, are drilling off the coast of neighboring Suriname.
Tim Chisholm, Hess’s vice president for Guyana and Suriname, said the US oil producer expects there to be 10 active platforms in the basin of the countries combined over the next year.
Chisholm, speaking at the same conference, added that the hydrocarbons present in the Guyana-Suriname basin were “low-carbon oil and gas,” meaning it was important to continue exploration despite the ongoing transition from fuels. fossil fuels to reduce greenhouse gas emissions.
“This type of crude that we have here is very advantageous and worth it,” he said.
(Reporting by Luc Cohen in New York Edited by Marguerita Choy and Paul Simao)