–bank’s Chairperson optimistic about future developments as US-Guyana further strengthen partnership

IN a significant step towards advancing its energy infrastructure, Guyana has officially signed a loan agreement with the US Export-Import (EXIM) Bank for its ambitious Gas-to-Energy (GTE) Project.
The contract was officially signed on Friday afternoon at the GTE project site at Wales, West Bank Demerara, where the US EXIM Bank’s President and Chairperson, Reta Jo Lewis highlighted the significance of the project which aims to reduce the cost of electricity, enhance energy security and promote environmental sustainability.

Jo Lewis said: “Together, we are taking bold steps to strengthen energy security, enhance environmental sustainability and unlock economic opportunity.”
She further pointed out that this multimillion-dollar collaboration is just the first of many, emphasising the long-standing relationship between Guyana and the US.

The Exim Bank Chairperson said: “We’re not just talking about US businesses and workers in the United States, we’re talking about businesses and workers right here in Guyana.”
She dubbed the project a ‘game changer,’ highlighting the opportunities that lie ahead for citizens, businesses and the shared aspiration of Guyana and the United States.

Jo Lewis said: “I want to thank the Guyanese government for its vision and collaboration…together we will demonstrate that partnerships rooted in shared values and shared benefits yield results that are greater than the sum of their parts.”

Guyana’s Prime Minister, Brigadier (Ret’d) Mark Phillips said that the secured funding will allow the country to modernize its energy infrastructure, positioning it to meet the growing demand for an increasing dynamic economy.

“This project will be the backbone of a strong economy that is prepared to compete on the global stage. But as we consider transition to an energy mix of cleaner natural gas, achieving a dramatic reduction in emissions is also a testament to the understanding respect for the environment”, the Prime Minister said.

He reminded that the project will create thousands of jobs and support economic growth while prioritising environmental sustainability.
According to the Prime Minister, the GTE also symbolises the potential the country holds in harnessing its resources to bring real and lasting benefits to the people.

He added: “Let us not forget that this moment would not have been possible without the margins of Guyana as a key player in the global energy landscape. Our oil and gas industry provided the means to envision such transformative projects, and this agreement stands as a proof that we’re building a future beyond the extraction of resources.”

Senior Minister in the Office of the President with Responsibility for Finance and the Public Service, Dr. Ashni Singh, further highlighted the shared values of the two nations, pointing to the economic trade and commercial dimensions of the two countries’ partnerships.

The project, he said, is a visible example of Guyana entering a historic dimension in its trade and bilateral ties, which reflects the country’s continued push for building a resilient and diverse economy.
“But importantly, as Guyana navigates this period in our economic history, notwithstanding those historic dimensions and origins of our special and strong relationships, we hold the view of this government for this relationship that is entering new phases, that you see new dimensions, emergently and greater importance,” Dr. Singh said.

The Senior Minister further issued a call to the US official to support more of Guyana’s endeavours in building a sustainable future.
“We want to see much more done, medium, small size projects. We are going to do much, much more with EXIM on every size point the along the spectrum,” Dr. Singh said.

Back in December, the financial institution granted its final approval for the US$526 million loan at their Board Meeting, after having completed the 35-day congressional notice period.
The benefits of this project go beyond cheaper electricity. It was highlighted that there could be additional revenue potential from gas liquids extracted during the process.

This, Vice-President, Dr. Bharrat Jagdeo had said, spawn by-products like cooking gas which could generate some $250 million annually if sold at current market price.
The pipeline installation for the project was completed in 2024 with the government expecting the integrated gas processing facility to be completed by the fourth quarter of 2025 while partial start-up is planned for earlier in the year.