Dear Editor,
THOSE of us interested in the oil and gas sector deserve some clarifications on Charles Ramson’s recent statements regarding the size of our offshore blocks.
Ramson says that the blocks are too large and don’t allow us to “aggressively pursue an exploration and discovery programme.” But I don’t believe anyone paying attention to Guyana would say that the exploration hasn’t been aggressive enough! It feels like there is a new discovery announcement every other month, which means that the big producers are aggressively pursuing exploration. And while Ramson says the blocks are too large, a look at other “frontier” blocks (meaning that there are no prior discoveries there) shows that our blocks are not unique. Canada, Morocco, French Guiana, Suriname, South Africa, New Zealand and others have all created blocks of similar sizes.

The idea that the blocks are too large for companies to actually explore does not match with some of the data ExxonMobil has released on its exploration. Almost 40,000 sq km of data has been gathered across 7 blocks. Most of this data has been in the form of 3D seismic surveying, which is better and more expensive than 2D, which means Exxon and others are sparing no expense. Exxon has also announced that exploration will continue in 2019.

Say what you will about Exxon and other international companies, but two things are for sure: these companies are the only ones capable of doing this type of surveying, and they have every incentive and desire to get as much value as possible from the offshore acreage they’ve been awarded. Finally, Ramson seems to think it would be better to have smaller blocks. But I ask, do we not remember why these blocks were drawn the way they are? Our offshore blocks, and the Stabroek block, were drawn to help define our international maritime borders. This block, and the energy activity inside it, helps us to refute other countries’ claims to our territory.

Instead of attempting to find new and different ways to attack our oil industry, we should all be working on ways to harness the economic activity this industry brings to create long-term economic growth and a diversified economy.

Regards
Patrick Davis