ELEVEN years after ExxonMobil’s Liza discovery set Guyana on the path from frontier exploration prospect to one of the world’s fastest-growing oil producers, the country now stands at the beginning of a new phase of its energy story.
When production began at the Liza 1 project in December 2019, Guyana entered the ranks of oil-producing nations with an initial target of 120,000 barrels per day (bpd). Since then, ExxonMobil and its co-venturers have steadily and safely optimised production beyond original expectations. Liza 1 has produced as much as 160,000 bpd, while Liza 2 and Payara, both initially designed for 220,000 bpd, have each reached production levels near 270,000 bpd.
Yellowtail, which started production in 2025 with a target of 250,000 bpd, has already exceeded that threshold. ExxonMobil has even indicated the project could eventually reach about 290,000 bpd, pending regulatory guidance and approvals.
These gains are significant because they demonstrate how operational optimisation can unlock production equivalent to an entirely new offshore development without requiring the full cost of another floating production vessel and subsea network.
The result has been extraordinary growth in production capacity, revenues and investor confidence.
Global energy companies, including ExxonMobil, Chevron, SLB, Halliburton and TechnipFMC, have all positioned themselves in Guyana’s rapidly expanding offshore sector. The scale of investment has been immense. ExxonMobil and its co-venturers have already committed more than US$60 billion to developments offshore Guyana, with recent projects carrying price tags exceeding US$10 billion each.
That level of investment reflects confidence not only in Guyana’s resource base, but also in the country’s political stability, regulatory environment and long-term potential as a strategic energy supplier.
As geopolitical conflicts continue to disrupt traditional supply routes and energy markets, Guyana has emerged as an increasingly important source of stable, low-cost crude supply. Its growing visibility at global events such as the Offshore Technology Conference in Houston shows how rapidly the country’s international profile has evolved.
Yet the second decade of Guyana’s oil story will likely be defined more and more by what happens onshore.
The country is now transitioning from an oil development story into a broader gas and industrial development story.
The Gas-to-Energy project at Wales represents a major part of that transition. By transporting natural gas from the offshore Liza field to an integrated gas processing facility and 300-megawatt power plant, the project will create the conditions for reducing Guyana’s dependence on imported heavy fuel oil while significantly lowering electricity costs.
Cheaper and more reliable power could reshape Guyana’s economy by improving competitiveness, supporting manufacturing, agro-processing and private sector expansion, while creating opportunities for industrial growth that have long been constrained by high electricity rates.
Future developments in Berbice tied to the proposed Longtail and Haimara gas projects could accelerate that transformation on an even larger scale through industries such as fertiliser production, data centres and heavy manufacturing.
At the same time, oil revenues are already financing major infrastructure expansion, from roads and bridges to housing development and public sector investment.
The local content framework is creating opportunities for Guyanese businesses and workers to participate more meaningfully in the sector, though the long-term success of that effort will depend on continued access to financing and increased technical expertise.
Guyana’s challenges remain significant. Inflationary pressures, infrastructure demands, oil price volatility and the risks of overdependence on a single sector will require disciplined governance and careful planning.
Ultimately, the next decade of Guyana’s oil story will be about whether the country can succeed in making its wealth last, through stronger institutions and national development that is sustainable and beneficial for future generations.
DISCLAIMER: The views and opinions expressed in this column are solely those of the author and do not necessarily reflect the official policy or position of the Guyana National Newspapers Limited.