GYEITI and Department of Energy to collaborate on oil trading information

L-R: Dr. Rudy Jadoopat, Mr. Brian Gittens, Mr. Wallace Ng-See-Quan, Mr. Peter Dillon, Mr. Mike McCormack, Ms. Joanna Simmons, Dr. Mark Bynoe and Ms.Diane Barker

AS the Government of Guyana pushes to enhance transparency in the governance of the natural resources sector, the Department of Energy and the Guyana Extractive Industries Transparency Initiative (GYEITI) will be collaborating for the sharing of information with regards to the trading of Guyana’s oil.

A joint communique from the Department of Energy and the GYEITI Secretariat said that Guyana, as a new oil producing country and also a member EITI, is required to adhere to the requirement in the EITI 2019 Standard which speaks to transparency in First Trades in Oil.

As such, the local EITI body is mandated to collect the required information on the first trades in oil from the Department of Energy along with other government agencies as necessary.

Some of the information required Information required for the completion of the First Trades in Oil Report include: 1. Name of the seller 2. Name of the buyer 3. Oil quality grade 4. Oil quantity 5. Date of sale 6. Revenues received 7. Official selling price 8. Payment date 9. Payment account 10. Type of state-owned oil sold e.g. profit oil 11. Contract number 12. Invoice number 13. Beneficial owners of buyer 14. Load port, terminal and depot among other details.

“The GYEITI will receive data and information on the oil and gas sector, including on Guyana’s first trades in oil from the Department of Energy, the Ministry of Finance, Guyana Geology & Mines Commission, the Petroleum Commission, Environmental Protection Agency, Guyana Revenue Authority, National Insurance Scheme, and other government agencies which are recipients of revenues from entities operating in the Oil & Gas sector as per EITI Requirements,” the joint statement said.

It said the meeting between GYEITI and DE agreed that the two entities will collaborate and share relevant data and information, legally permissible, to support the ongoing effort to increase transparency and accountability in the extractive industries and contribute to improved governance of Guyana’s Oil, Gas, Mineral and other Natural Resources.

“The Department of Energy and the GYEITI committed to continuing their collaboration to ensure that compliance, transparency and accountability are resident within the country’s burgeoning oil and gas sector for the benefit of the people of the Cooperative Republic of Guyana. Joint Communique, Issued by Department of Energy, MOTP and Guyana Extractive Industries Transparency Initiative (GYEITI),” the statement said.

GYEITI is a small unit within the Ministry of Natural Resources with a mandate to administer Guyana’s activities as a member of the EITI international body. The body has coordinated the publishing of Guyana’s first EITI report in April 2019. The second report is due this year.