Most of the wells for Yellowtail project already drilled – Routledge

– Vreed-en-Hoop shore base to service Yellowtail, other upcoming projects

Yellowtail, oil giant ExxonMobil’s fourth planned development in the Stabroek Block, is on course for start-up later this year, and according to ExxonMobil Guyana’s President Alistair Routledge, most of the production wells needed for the project’s start-up have already been drilled.
Routledge made this disclosure during the commissioning ceremony on Saturday for the Vreed-en-Hoop shore base; the operators which have a 20-year contract with ExxonMobil to provide shore base services to the oil giant for its projects off Guyana’s coast.
“I look forward to more celebrations this year, as the Yellowtail project is itself (well advanced) for later this year. I was delighted to visit Singapore earlier this month and we were also able to see the partnership that was blooming there between SBM and ExxonMobil and the fabrication unit to make the FPSO (Floating Production, Storage and Offloading).”

We’re already well advanced in installing equipment with the Yellowtail project. We’ve drilled almost all the wells that are necessary for the project to start up. And so, we look forward with anticipation to the success of the Vreed-en-Hoop shorebase,” the oil executive said.
During his presentation, Routledge also revealed that the Vreed-en-Hoop shorebase will be servicing not only the Yellowtail development, but also the Uaru, Whiptail and Hammerhead projects, which are the fifth, sixth and seventh projects respectively.
Should the Longtail project become Exxon’s eight development in the Stabroek block, the Vreed-en-Hoop shore base will provide support services to that too.
“No major project can advance without some surprises, some challenges along the way. And the strength of the partnership, the shared partnership, for vision for what we were trying to achieve, is absolutely critical to delivering that vision. And that is what I could see in the teams that were working with the details. The leadership teams, the sponsorship groups, the management team,” Routledge said.
“That whatever hurdle was thrown at this project, there was a belief that we could find a path through. And indeed, we have found a path through. And we’re here to celebrate the delivery of the complete Vreed-en-Hoop shore base, that will support not just the Yellowtail project, but Uaru, Whiptail and hopefully the Hammerhead project and the Longtail project to follow.”
Guyana pumped out over 220 million barrels of oil for the entirety of 2024. It is estimated that when the Yellowtail development project comes on stream, production will climb to 810,000 barrels per day by 2027. Additionally, Exxon has already received approvals for and is advancing preparatory works on its fifth and sixth projects, Uaru and Whiptail.
Yellowtail, which will be located 126 miles offshore Guyana, was approved in April 2022. The project includes up to three drill ships drilling up to 67 wells, the FPSO vessel, and the Subsea Umbilicals, Risers, and Flowlines (SURF) production system, with tankers taking the oil to global markets.

The US$10 billion development project will target an estimated resource base of about 900 million oil-equivalent barrels and will utilise the One Guyana FPSO vessel, which will yield the largest production of 250,000 barrels of oil per day (bpd) during a 20-year period.
Esso Exploration and Production Guyana Limited (EEPGL), Exxon’s local subsidiary, is the operator of the Stabroek Block, and holds a 45 per cent interest then, while Hess Guyana Exploration Ltd holds a 30 per cent interest, and CNOOC Petroleum Guyana Limited, a wholly-owned subsidiary of CNOOC Limited, holds the remaining 25 per cent interest.
Currently, ExxonMobil is producing oil from three offshore developments in Guyana: Liza Phase One and Two, which utilise the Liza Destiny and Liza Unity FPSO units; and the Payara Project, which uses the Prosperity FPSO.
All these projects are located in the Stabroek Block.
The Prosperity FPSO vessel started pumping oil in November of 2023 and so far, its daily production rate has risen to above 200,000 barrels of oil. Combined, the Liza Destiny, Unity and Prosperity FPSO vessels produced over 625,000 barrels of oil per day.