— says VP Jagdeo with regards to talks on establishment of National Oil Company here

VICE-PRESIDENT, Dr Bharrat Jagdeo, on Friday, said that the government will make a decision on whether to establish a National Oil Company, based on what is in the best interest of citizens.

He made these remarks at a recent press conference at the Office of the President and noted an article which reportedly stated that the International Monetary Fund (IMF) had advised against going this route.

He said while those in authority listen to advice from these organisations, the only decision that will be made will be one that is best for the country and its people.

“Often the IMF doesn’t look out for our people and I make this clear, the IMF has a different mandate; they were set up, designed as an institution to deal with balance of payment problems around the world when they were set up. They’re not a development institution, they don’t even have expertise in oil and gas,” he said.

Jagdeo noted, too, that the government has made it clear that no foreign company will enjoy getting allocations of oil blocks offshore or onshore Guyana prior to oil being found as was done previously.

He said the People’s Progressive Party/Civic (PPP/C) has been debating since in opposition the possibility of taking the remaining oil blocks offshore and onshore and putting same into a company. As it is currently, he noted that the government is trying to navigate a number of variables before a decision is made.

It is possible that a decision can be made later in the year, he said and told reporters that in September, the authorities will decide what will be done with the other offshore blocks and at a later time decide on what will be done in relation to exploring onshore oil blocks.

During the country’s International Energy Conference in February, Dr Jagdeo had said that the government was yet to make a decision on whether the blocks will be utilised for the establishment of a national oil company or tendered for independent oil and gas explorations.

At that time, he noted too that the idea for a national oil company was still active as several “large operators” had submitted expressions of interest to partner with the government for the establishment of such a company here.