Consultant to begin review of Exxon’s 5th oil development in December

…contract being financed from US$20M World Bank allocation

The Government has gone out to tender for a consultant to review the Field Development Plan (FDP) for ExxonMobil’s fifth oil development, the Uaru Field, with the expectation that the consultant will begin their work in December of this year.

It was explained in a recent notice that the Government is seeking a consultant to review and evaluate the Uaru Field Development Plan. Firms were invited to submit their expressions of interest for the contract, which is expected to last for 52 weeks from December 2022.
The contract will be financed from the US$20 million allocation from the World Bank, for the Guyana Petroleum Resources Governance and Management project. The consultant’s tasks will include a detailed assessment of the Uaru FDP, as well as management and oversight of the plan.
A detailed assessment of the environmental and social impact will also have to be done, as well as training and institutional strengthening. It was explained that the consultant will have to provide advisory services to a number of agencies.
“The objective of the assignment is for the Consultant to provide advisory services, technical support and training and capacity strengthening services to the GoG, through the Ministry of Natural Resources (MNR), and the Sector Regulator – the Guyana Geology and Mines Commission (GGMC) or the Petroleum Commission (PC) once established – and other attendant Ministries,” the tender states.
According to the tender, this is with the aim of the consultant enhancing the country’s core capacity to independently review, approve, authorise, and oversee, monitor and report on the implementation of Field Development Plan(s).
“The estimated duration for the assignment is for fifty-two (52) weeks commencing in December 2022 during which time the consultant is expected to be physically present in Guyana for an agreed time,” the tender goes on to state.
“The GPRGMP now invites eligible consulting firms (“consultants”) to indicate their interest in providing the aforementioned services. Interested consultants should provide information demonstrating that they have the required qualifications and relevant experience to perform the services, such as, description of similar assignments, experience in similar conditions, and availability of appropriate skills among staff.”
Earlier this year, it was announced that $88 million had been approved for a consultancy firm to review the Uaru FDP – Exxon’s fifth oil development. Natural Resources Minister Vickram Bharrat had made that revelation during the consideration of estimates and expenditures for the Natural Resources Ministry in the Committee of Supply.
Exxon has said it expects first oil from the Uaru development by late 2026 or early 2027. Oil is already being produced at the Liza Phase 1 and 2 developments, while Payara and Yellowtail will be Exxon’s third and fourth oil developments, respectively.
Meanwhile, even though Uaru is still in the planning stage, ExxonMobil has already indicated its fifth development will be similar to the Yellowtail project as it relates to production, water injection and gas re-injection wells, and other development features. This was indicated in the Environmental Impact Assessment (EIA) for the Yellowtail project.
With first oil expected in 2025, Yellowtail will be the largest development to date on the Stabroek Block, with an estimated resource base of approximately 925 million barrels of oil and a gross production capacity of approximately 250,000 barrels of oil per day.
So far, Exxon’s total investments in Guyana total GY$1.3 trillion on its own and over GY$3 trillion with its partners. Additionally, the joint-ventures exploration and production plans up to 2025 will likely increase their investments to more than GY$6 trillion. (G3)