Exxon and partners to spend $12.93 billion for sixth Guyana offshore oil project

Exxon Mobil Corp and its partners are gearing up to invest $12.93 billion in the development of their sixth offshore oil project in Guyana. The project, known as Whiptail, is part of a consortium led by Exxon and includes partners Hess Corp and CNOOC Ltd. The plan entails deploying a floating production platform, set to begin operations in 2027, which will contribute to the consortium’s oil production output in Guyana, aiming to exceed 1.2 million barrels per day (bpd).

Guyana has recently emerged as a major player in the global oil industry with substantial discoveries totaling over 11 billion barrels of oil and gas. Exxon and its partners have already achieved an output of 400,000 bpd from two vessels in the region. The new Whiptail project, following the model of the Uaru project, is anticipated to add to this production capacity, contributing significantly to the country’s growing oil revenue.

Exxon, Hess, and CNOOC have committed substantial financial resources to the development of Guyana’s offshore oil sector. The investments have also led to substantial direct revenue for the country, totaling $2.8 billion, and the creation of job opportunities for thousands of Guyanese citizens.

Whiptail’s plan does not involve the production of natural gas due to concerns that reducing injected gas could adversely impact oil recovery. The consortium plans to drill around 72 wells and commence development drilling by late 2024, with subsea component installation beginning in the second half of 2025 or early 2026. The project is expected to generate employment opportunities for up to 540 people during the drilling and installation phase, and around 100 to 180 people during the production operations phase.

Elevate your business with QU4TRO PRO!

Gain access to comprehensive analysis, in-depth reports and market trends.

Interested in learning more?

Sign up for Top Insights Today

Top Insights Today delivers the latest insights straight to your inbox.

You will get daily industry insights on

Oil & Gas, Rare Earths & Commodities, Mining & Metals, EVs & Battery Technology, ESG & Renewable Energy, AI & Semiconductors, Aerospace & Defense, Sanctions & Regulation, Business & Politics.

By clicking subscribe you agree to our privacy and cookie policy and terms and conditions of use.

Read more insights

US accelerates battery storage expansion to power green energy transition

The United States has made significant strides in boosting its battery storage capacity and developing electric vehicle (EV) battery manufacturing capabilities, resulting in the emergence of several massive battery projects across the country. This progress comes in the wake of the Biden Administration’s Inflation Reduction Act…

ONEOK nearing completion of $18.8 billion Magellan Midstream acquisition

Magellan Midstream Partners, a significant player in the energy pipeline sector, has received approval from its unitholders for the sale of the company to ONEOK Inc. This sale, valued at $18.8 billion, holds great significance as it will lead to the creation of one of the largest energy pipeline companies in the United States.

US and Saudi Arabia nearing defense pact, including civil nuclear component

The United States and Saudi Arabia have made significant progress toward finalizing a defense pact, including a civil nuclear component. However, hurdles remain for a broader regional deal that would normalize relations between Israel and Riyadh. While the bilateral deal between the U.S. and Saudi Arabia…

Stay informed

error: Content is protected !!