Liza Destiny arrives in Guyana

…another significant milestone on road to first oil – ExxonMobil

The Liza Destiny, Guyana’s first oil production vessel, has finally arrived in the country after travelling nearly 11,000 nautical miles for 42 days from the Keppel Shipyard in Singapore.
This Floating, Production, Storage and Offloading (FPSO) vessel is a significant component of the Liza Phase 1 development, which involves four undersea drill centres with 17 production wells.
The vessel has a production capacity of 120,000 barrels of oil per day and an overall storage volume of 1.6 million barrels. During normal operations, there will be at least 80 persons living and working on-board the vessel.
Commenting on the arrival of this first FPSO, Country Manager Rod Henson said “It’s exciting to have another significant milestone completed as we continue on the road to first oil”.
“While we still have a great deal of work ahead of us, I’m extremely proud of our entire team, both onshore and offshore, and their focus on working safely and being protective of the environment in all that we do”.

After clearing customs, the vessel will be connected to the spread mooring before hook-up and installation begins in preparation for production, storage and offloading of Guyana’s oil.
Before its departure from the Keppel Shipyard in Singapore, the Liza Destiny was commissioned by First Lady Sandra Granger, who was accompanied by Dr Bynoe.
The Liza Destiny FPSO was converted from oil tanker, “Tina”, a 1999 Very Large Crude Carrier (VLCC). The conversion included upgrading of the hull and integration of 14 topside processing modules, totalling 16 thousand metric tonnes.
ExxonMobil Guyana remains on target for first oil by early 2020.

Pride and expectation
Energy Department Director Dr Mark Bynoe said the arrival of the Liza Destiny should stimulate a new spirit of nationalism, pride and expectation.
“The FPSO’s arrival means that we are no more just talking about first oil. First oil is on the horizon,” Dr Bynoe is quoted as saying in a statement from the Ministry of the Presidency.

“As Guyanese, we should begin to recognise that it is a vessel that will be paid for by Guyanese, pumping Guyanese fuel which will be bringing in revenue for Guyanese to help our country to ultimately be transformed positively from an economic development perspective,” Dr Bynoe expressed.
He further noted that it is “imperative that as Guyanese, we begin to appreciate that the direct and the indirect benefits that emanate from this sector goes far beyond anything that we have seen thus far”.
Liza Phase 1 remains on track to achieve first oil by the first quarter of 2020. It will produce up to 120,000 barrels of oil per day at peak rates utilising the Liza Destiny FPSO.
With 13 lucrative discoveries offshore Guyana, ExxonMobil anticipates a potential for at least five FPSO vessels producing more than 750,000 barrels of oil per day by 2025.

Future plans
Phase 2 of the Liza development is expected to start up in mid-2022 and will develop approximately 600 million barrels of oil through the “Liza Unity”, the second FPSO in the series.
ExxonMobil had stated that a total of six drill centres are planned as well as approximately 30 wells, including 15 productions, nine water injection and six gas injection wells.
Liza Phase 2 is expected to cost $6 billion, including a lease capitalisation cost of approximately $1.6 billion, for the Liza Unity FPSO.
The company is evaluating additional development potential in other areas of the Stabroek Block, including at the Turbot area and Hammerhead.
By the end of 2019, ExxonMobil will have four drillships operating offshore Guyana. Following well completion activities at the recently announced Yellowtail discovery, the Noble Tom Madden will move to the Hammerhead-2 well. The Stena Carron is completing a well test at the Longtail-1 discovery, and will then move to the Hammerhead-3 well.
Later in 2019, the Stena Carron will drill a second well at the Ranger discovery. The Noble Bob Douglas drillship is completing development drilling operations for Liza Phase 1. ExxonMobil will add another exploration drillship, the Noble Don Taylor, in the fourth quarter of 2019.
ExxonMobil affiliate Esso Exploration and Production Guyana Limited is operator and holds 45 per cent interest in the Stabroek Block. Hess Guyana Exploration Ltd holds 30 per cent interest and CNOOC Petroleum Guyana Limited, a wholly-owned subsidiary of CNOOC Limited, holds 25 per cent interest.