THIS past week, ExxonMobil Guyana announced new data on spending in the local economy and the latest employment figures for the oil and gas industry. In the release, the company states that combined spending amounted to GY$83 billion (US$400 million) locally in 2022, with more than 1,500 Guyanese businesses, and over 5,000 Guyanese workers employed by the company and its contractors.

ExxonMobil Guyana also stated that the number of Guyanese workers offshore continues to grow, with over 1,300 Guyanese committed to supporting operations and making up about 48 per cent of the total offshore workforce.

“We believe that the true measure of our success lies not only in the barrels produced but also in the positive impact we create for our people and the communities in which we operate. By prioritising local talent, partnerships, and investments, we aim to cultivate a thriving and sustainable environment that benefits everyone,” President of ExxonMobil Guyana, Alistair Routledge said.

The past year was a prime example of the impact that strong but achievable local content policies can have on the economy. It is expected that with more Guyanese training in the crucial skills needed for the oil and gas sector, the overall number and percentage of Guyanese employed will continue to grow—especially in more technical and higher-level roles.

Back in December 2021, the Government of Guyana passed the Local Content Act. The law ensures that companies operating in the country hire a certain percentage of local workers and use a certain percentage of local goods and services.

Since then, it has published several related guidelines designed to maximise the participation of Guyanese companies wherever they have the skills and capacity to get involved. That starts with services such as office space rental, janitorial services, laundry and catering services, pest control services, insurance services, supply of food and accounting services and extends through long-term involvement in highly skilled subsectors like subsea installation, geophysical analysis, marine welding and engineering.

Recently, ExxonMobil Guyana received its letter of approval from the Ministry of Natural Resources for its 2023 Local Content Annual Plan and the Certificate of Compliance for its 2022 plan.
The 2023 plan indicates that the company plans to execute more projects and continue to accelerate the development of local content in Guyana this year. This annual strategic plan will build upon last year’s growth and progress in the industry and the workforce as the company aims to integrate more Guyanese into the process.

The impact of the local content policy was complimented by a rapid expansion of training opportunities and certification programmes for local companies early on through the industry-funded Centre for Local Business Development (CLBD). This initiative has received praise regionally and locally and continues to expand. The CLBD was operational in Guyana before the first oil, helping companies align their operations with the services that would be needed in Guyana’s oil and gas sector.

It is significant to note that more than GY$180 billion (US$900 million) has been spent with local businesses since first oil in 2015. As long as development continues, that thriving sector of the economy should only continue to grow.

Guyana is already doing the work to avoid some of the pitfalls of other emerging oil and gas producing countries and local content is high atop that list.

Guyanese individuals and businesses are in a prime position to continue supporting this thriving industry, while being equipped with the skills to make the country into a globally competitive energy centre.