LAST week, more details emerged from the Environmental Impact Assessment (EIA) submitted by ExxonMobil for its sixth oil project in the Stabroek Block. The Whiptail project will see Exxon and its co-venturers, Hess and CNOCC, spend roughly US$13 billion to bring the project to life. With an expected production of 250,000 to 263,000 barrels per day, Whiptail will push Guyana’s daily oil production to more than 1.2 million bpd by 2028.

Whiptail is expected to be identical to the Uaru development announced earlier this year, with a similar production capacity, and similar costs to the US$12.7 billion investment. First oil from the Whiptail development is anticipated for either late 2027 or early 2028, and its announcement further earmarks deepwater Guyana as an investment boon and driver of economic growth in the region. These new projects represent significantly larger investments than earlier ones like the Liza Phase 1 and 2 projects, and will tap into more difficult-to-access reservoirs in deeper waters.

Building upon the success seen in 2022, during which the oil sector employed over 5,000 Guyanese workers, Whiptail will increase local-content opportunities for Guyanese-owned-and-operated businesses.
The EIA estimates the project will require a workforce of around 800 persons. The project will involve drilling 33 to 72 development wells, tapping into three major reservoirs: Whiptail, Pinktail and Tilapia.

During a diaspora forum held at the University of London’s Chancellor Hall, Alistair Routledge, President of ExxonMobil Guyana highlighted the company’s commitment to local-content opportunities, and reiterated that it is a partner in Guyana’s development.

“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,” Routledge said in a statement earlier this year.
The filing of the Whiptail EIA and anticipated submission of a final field development plan this October extend the runway for Guyana’s oil-and-gas industry that has thus far boasted a world-leading pace of discoveries. Finds to date total more than 11 billion barrels of oil equivalent. The five already-sanctioned projects in the Stabroek Block represent more than US $40 billion in investments.

Investment from Exxon and its co-venturers speaks to the overall success of the regulatory and legislative frameworks that have attracted and sustained international interest in a highly-competitive space. The fact that Guyana continues to attract some of the industry’s biggest headline investments is further reassurance that Guyana is on the right path.
In contrast, Dr. Dax Driver, president of the Trinidad and Tobago Energy Chamber recently cautioned that the twin-island republic is not moving quickly enough to attract investment, and faces dire consequences as a result.

Urging faster, less-siloed decision-making, Driver noted, “If we are unable to secure new investment for upstream production of ‘green’ electrons, gas or oil, and new investment in decarbonising our downstream plants, our economy is going to contract hugely, and the standard of living for Trinidad and Tobago’s entire population is going to plummet.”
The competition for investment dollars in offshore oil-and-gas exploration is expected to heat up in the coming years, and Guyana stands to gain handsomely.
The country continues to avoid the mistakes made by so many oil producers, while working to leverage revenues to diversify its economy, and improve the quality of life of its people.