Gas monetisation: US company to develop Guyana’s LNG infrastructure

– considers engaging Guyanese investors

Fulcrum LNG was selected by the Guyanese Government to design, finance, construct, and operate the required gas infrastructure to provide gas monetisation solutions and support the acceleration of upstream gas developments in Guyana.
This is part of the Government’s plans to safely and timely develop its gas resources and create an open-access infrastructure system, providing additional monetisation alternatives to upstream developers.
Fulcrum LNG in a release stated that its selection underscores the company’s commitment to advancing energy infrastructure solutions and represents a critical step in bolstering Guyana’s energy sector. The project will play a pivotal role in transforming Guyana’s natural gas sector, enhancing energy security, and boosting the country’s economic growth.
“We are honored to be selected to undertake this strategic energy infrastructure project,” Chief Executive Officer (CEO) of Fulcrum LNG Jesus Bronchalo stated while adding, “This opportunity aligns perfectly with our mission to deliver innovative, reliable, and sustainable energy solutions to develop gas resources. We look forward to working closely with the Government of Guyana and other key stakeholders to ensure the success of this endeavor.”
The release added that the main feature of Fulcrum LNG’s solution will involve the development of state-of-the-art gas processing and modular, scalable facilities to produce Liquified Natural Gas (LNG) and NGLs/LPGs for Guyana as well as regional and global markets.
Fulcrum LNG has partnered with some of the industry’s leading global firms leveraging advanced technology and industry expertise to deploy the most robust, efficient, and sustainable infrastructure solutions.
The company on Wednesday further related that this undertaking will provide all upstream developers, in Guyana and regionally, with additional optionality beyond their current contractual arrangements by investing in the development of the necessary open-access infrastructure to monetise their gas resources and thus incentivise the development of those resources.
“Fulcrum’s proposed infrastructure solutions, in close collaboration with upstream developers, aim to increase the economic viability of current and future upstream gas discoveries, increasing the overall value proposition for the entire basin,” the release added.
“Additionally, substantial economic benefits, including job creation, significant foreign investment, and enhanced energy trade relationships are expected from this venture. In keeping with our project proposal, Fulcrum LNG is considering Guyanese investors in various components of the project.”
Fulcrum LNG stated that its comprehensive approach to the project will include environmental stewardship, community engagement, and adherence to the highest safety standards.
“Additionally, the company is committed to ensuring that the development of this strategic infrastructure proceeds in a manner that is both sustainable and aligns with national priorities, delivering tangible benefits to the Guyanese people.”
Meanwhile, last June, the Natural Resources Ministry reported that Fulcrum LNG’s proposal was considered by the evaluators as the most comprehensive and technically sound proposal from the 17 bids that were received.
The ministry further added that Fulcrum LNG’s submission was very detailed and comprehensive, and outlined a structured approach to gas development; hence the evaluators were satisfied based on the submission of its competency which resulted in the company being ranked No. 1.
“The evaluation report was then submitted to the Cabinet with no objection. The Cabinet deliberated and examined the report and granted it no objection for Fulcrum LNG to be engaged. Following the Cabinet’s consideration of the matter, the Ministry of Natural Resources has engaged the company along with ExxonMobil to begin the process. These discussions are at a preliminary stage and are ongoing,” the ministry had stated.
The ministry has further dispelled recent questions surrounding the Chief Executive Officer of Fulcrum LNG’s Jesus Bronchalo, who is indeed a former senior employee of ExxonMobil.
“At the time of the evaluation, Bronchalo’s involvement in Fulcrum LNG was known, and his previous relationship with ExxonMobil was not seen as presenting a conflict of interest, since he had severed all ties with the company.”