ExxonMobil seeks EPA clearance for 9th Stabroek development

Exxon Mobil Corporation (XOM), a multinational energy giant, has filed an application with Guyana’s Environmental Protection Agency (“EPA”) for authorisation to proceed with the development of the Haimara discovery in the Stabroek Block, offshore Guyana. This would be the ninth discovery to be developed by the ExxonMobil-led consortium. XOM is the operator of the Stabroek Block and the largest stakeholder, with a 45 per cent stake. The scope of the project covers well drilling and completion, as well as the installation of subsea equipment and flowlines for transporting hydrocarbons. Additionally, the project would involve the commissioning of a new floating production, storage and offloading (FPSO) vessel.
However, the EPA has stated that the project will require a full environmental impact assessment to evaluate the environmental risks associated with it before arriving at a decision. The regulatory body has highlighted that the project’s timeframe and scale may have lasting environmental and socioeconomic impacts. Offshore exploration activities typically involve significant risks and can potentially have extreme impacts on the ecosystem and coastal communities.
The Stabroek Block, offshore Guyana, is one of ExxonMobil’s advantaged assets, with low production costs and lower emissions. The Guyana deep-water development is expected to be one of the most successful developments to date and is crucial to XOM’s long-term production growth and cash flows. The company is consistently working to increase production from the Stabroek Block through new discoveries and FPSO additions. (Yahoo Finance)