04 /17 Closing Prices / revised 04/18/2024 07:51 GMT 04/17    OPEC Basket    $89.64    -$0.58  | 04/17     Mexico Basket (MME)   $76.44  -$2.48 | 04/12    Venezuela Basket (Merey)  $70.98    +$3.71  | 04/17      NYMEX WTI Texas Intermediate May CLK24   $82.69  -$2.67   | 04/17    ICE Brent June  BRNM24      $87.29   -$2.73    | 04/17     NYMEX Gasoline May RBK24   $2.73   -3.3%   |  04/17    NYMEX  Heating Oil May  HOK24   $2.57  -2.9 %   | 04/17     Natural Gas May NGK24    $1.71  -1.2% | 04/12    Active U.S. Rig Count (Oil & Gas)    617   -3  | 04/18    USD/MXN Mexican Peso  16.9479  (data live) | 04/18   EUR/USD    1.0685   (data live)  | 04/18    US/Bs. (Bolivar)   $36.32650000 ( data BCV)  

Guyana Suspends Order Over ExxonMobil Dispute – Argus

Canute James, Argus

EnergiesNet.com 06 09 2023

An appeal court judge in growing oil producer Guyana today suspended an order by a lower court that US major ExxonMobil provide by 10 June an unlimited guarantee to cover any oil spill at its Liza 1 project on the deepwater Stabroek block.

The suspension of the order will prevent the company from losing its permit for the Liza-1 well that is producing about 150,000 b/d.

But the appeal court judge ordered ExxonMobil to make a $2bn security deposit within 10 days.

The dispute will be adjudicated by the country’s full court of appeal on a date to be set.

Neither the company nor the government — that opposed the order for an unlimited guarantee — has commented on today’s ruling.

Both had sought a stay of the order to suspend the company’s permit to operate for failing to provide an unlimited guarantee which will safeguard against the dangers of an oil spill.

ExxonMobil and its partners already have “the right measures” in place to prevent, mitigate and pay for a clean-up in the event of an oil spill, the company argues.

The challenge to ExxonMobil’s Liza 1 project was filed in September 2022 by environmental lobbies that contended the company was not providing adequate guarantees to compensate for any oil spill.

ExxonMobil was involved in “a disingenuous attempt” to reduce its obligations under its environmental permit for the Liza 1 project, Guyana’s high court had ruled.

The company had been allowed to do this because of “the omissions of a derelict, pliant and submissive environmental protection agency,” it said.

The dispute involves only the company’s Liza 1 project and not Liza 2 that is also on the Stabroek block.

ExxonMobil started production in 2019 from Stabroek in which it has a 45pc stake, with US independent Hess holding 30pc. Chinese state-owned CNOOC unit Nexen has a 25pc share. The consortium is the only producer in the country.

The consortium’s crude output in the first quarter averaged 378,340 b/d against 121,100 b/d in the corresponding 2022 period.

argusmedia.com 06 08 2023

Share this news

Support EnergiesNet.com

By Elio Ohep · Launched in 1999 under Petroleumworld.com

Information & News on Latin America’s Energy, Oil, Gas, Renewables, Climate, Technology, Politics and Social issues

Contact : editor@petroleuworld.com

CopyRight©1999-2021, EnergiesNet.com™  / Elio Ohep – All rights reserved

This site is a public free site and it contains copyrighted material the use of which has not always been specifically authorized by the copyright owner.We are making such material available in our efforts to advance understanding of business, environmental, political, human rights, economic, democracy, scientific, and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit to those who have chosen to view the included information for research, information, and educational purposes. For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use’, you must obtain permission fromPetroleumworld or the copyright owner of the material.

Scroll to Top