Almost US $618 million credited to NRF in second quarter of 2025

Aug 25, 2025

The Natural Resource Fund received deposits totaling US$617,955,248 (GY$126 billion) from oil revenues during the second quarter of 2025 for the Stabroek block operation. The NRF receipt on July 4, showed 8 profit oil payments for lifts between March 10 and May 31 2025 were credited to the NRF between April 1 and June 30. Profit oil receipts represent the Government’s share of crude earned as profit, while royalty payments are made on a quarterly basis, 30 days after the close of each calendar quarter.

During the second quarter, one royalty payment of US$85.4 million to the NRF was for the 2025 first quarter production. The profit oil payments were made from revenues generated from the first three Floating Production Storage and Offloading (FPSO) vessels producing oil.

For March, the NRF received US$64.7 million for profit oil from the Liza Destiny FPSO, US$71.7 million for-profit oil from the Prosperity FPSO and US$74.3 million for profit oil from the Liza Unity FPSO.

For April, Guyana received US$66.2 million from the Prosperity FPSO and US$63.8 million from the Liza Unity FPSO. For May, the NRF US$63.1 million from the Liza Destiny FPSO, US$64.4 million from the Prosperity FPSO and US$64.2 million from the Liza Unity FPSO.

ExxonMobil Guyana Limited (EMGL) is the operator of the Stabroek block, and holds 45 per cent interest. The other block partners are Hess and CNOOC with 30 per cent and 25 per cent respectively.

The Production Sharing Agreement (PSA) governing the Stabroek block allows oil companies to recover cost of up to 75 per cent from revenues generated from oil production, this is considered cost oil, the remaining 25 per cent is considered profit oil and this is split equally between Guyana and the consortium, giving each 12.5 per cent. From their half, the consortium pays a 2 per cent royalty to Guyana and Guyana from its 14.5 per cent total take, must pay the oil companies’ taxes.

During the first quarter of 2025, the country’s oil account received US$605,462,893, related to all petroleum revenues made during the period January 1, 2025 and March 31, 2025.  profit oil payments were made and one royalty payment, amounting to US$84,167,953. The royalty payment was made for the fourth quarter of 2024. Two of the profit oil payments made in the first quarter of 2025 were related to lifts in December 2024. Guyana thus received US$375,411,909.46 for its oil produced in the first three months of this year.

 

 

 

ExxonMobil begins production from One Guyana FPSO

Fabio Palmigiani South America Correspondent ,

Rio de Janeiro 8 August 2025

Floater is the fourth to enter operation in the Stabroek block offshore Guyana

US supermajor ExxonMobil has started output from its fourth floating production, storage and offloading vessel in the prolific Stabroek block offshore Guyana.

As hinted earlier this month by ExxonMobil chief executive Darren Woods, the company began production from the One Guyana FPSO in the Yellowtail field.
The unit, able to process 250,000 barrels per day of oil and 450 million cubic feet per day of natural gas, joins the Liza Destiny, Liza Unity and Prosperity FPSOs, bringing total installed capacity in Guyana to more than 900,000 bpd.

“Yellowtail’s ahead of schedule start-up is a significant milestone for ExxonMobil and the people of Guyana,” said ExxonMobil upstream president Dan Ammann.

Over the next few years, ExxonMobil intends to deploy several floaters in Guyana, including the Errea Wittu FPSO in the Uaru field in 2026, the Jaguar FPSO in the Whiptail field in 2027 and an unnamed FPSO in the Hammerhead field in 2029.

ExxonMobil also plans to contract a super-sized FPSO to tackle massive amounts of gas from the Longtail field, which will be the country’s first gas-driven project with a high condensate-to-gas ratio.
Output from Longtail is earmarked for 2030, when ExxonMobil expects total production capacity of 1.7 million barrels of oil equivalent per day from its eight developments.

ExxonMobil operates the Stabroek block with a 45% stake and is partnered by US major Chevron on 30% (following the Hess merger), and CNOOC Ltd on 25%.

(Copyright)

 

 

 

FPSO One Guyana produces first oil

10 August 2025

SBM Offshore announces that FPSO ONE GUYANA produced first oil on August 8, 2025 and is formally on hire. FPSO ONE GUYANA is based on SBM Offshore’s industry leading Fast4Ward® program that incorporates a new build, multi-purpose hull combined with standardized topside modules. FPSO ONE GUYANA is the fourth and largest FPSO that SBM Offshore operates in Guyana and builds on the excellent operational performance of FPSOs Liza Destiny, Liza Unity and Prosperity.

The FPSO is designed to initially produce an annual average of 250,000 barrels of oil per day, with associated gas treatment capacity of 450 million cubic feet per day and water injection capacity of 300,000 barrels per day. The FPSO is spread moored in water depth of about 1,800 meters and can store 2 million barrels of crude oil.

The FPSO is part of the Yellowtail development, the fourth development within the Stabroek block, circa 200 kilometers offshore Guyana. ExxonMobil Guyana, an affiliate of Exxon Mobil Corporation, is the operator and holds a 45 percent interest in the Stabroek block, while Chevron (Hess) holds a 30 percent interest and CNOOC Petroleum Guyana, a wholly owned subsidiary of CNOOC Limited owns 25 percent.

FPSO ONE GUYANA is the Company’s third major unit brought into operation in 2025, following the first oil of FPSO Almirante Tamandaré and FPSO Alexandre de Gusmão. Collectively, these three Fast4Ward® FPSOs increase installed capacity by 655,000 barrels of oil per day.

Source: SBM Offshore

 

 

 

 

Yellowtail Field yields first oil for ExxonMobil consortium

9 August 2025

ONE GUYANA FPSO began operations 4 months ahead of schedule.
ExxonMobil reports that it has started production at the Yellowtail Field, the fourth oil development in offshore Stabroek Block.
Yellowtail’s ONE GUYANA FPSO vessel joins the Destiny, Unity and Prosperity FPSOs, bringing total installed capacity in Guyana to above 900,000 bbl/d of oil.
Dan Ammann, president of ExxonMobil Upstream Company said,

“Yellowtail’s ahead-of-schedule startup is a significant milestone for ExxonMobil and the people of Guyana. With Guyanese making up over 67% of the oil-and-gas workforce and over 2,000 local businesses engaged, this project reflects our deepening roots in the country and our shared commitment to long-term, inclusive growth.”

The ONE GUYANA vessel is the largest FPSO on the Stabroek Block to date with an initial annual average production of 250,000 bbl/d of oil and a storage capacity of 2 MMbbl.

Oil produced from the FPSO will be marketed as Golden Arrowhead crude.

By 2030, ExxonMobil says that it expects to have total production capacity of 1.7 MMboe/d from eight developments offshore Guyana.

Within five years the company launched four complex “mega-projects” offshore Guyana, under budget and ahead of schedule – while simultaneously advancing plans for four additional projects by the end of the decade.

ExxonMobil Guyana Ltd. operates the Stabroek Block with 45% interest. Chevron, formerly Hess Guyana Exploration Ltd. holds 30%. CNOOC Petroleum Guyana Ltd. holds 25%.

 

 

 

SBM Offshore FPSO up and running

First oil gushes from ExxonMobil’s Yellowtail field

August 11, 2025 by Melisa Cavcic

Netherlands-based SBM Offshore, a provider of design, construction, installation and operation of offshore floating facilities, put its new floating production, storage and offloading vessel into production mode, for ExxonMobil’s fourth oil project at the Stabroek block to come online offshore.

ExxonMobil disclosed the start-up of oil production from Guyana’s newest FPSO, One Guyana, on August 9. The fourth such unit delivered brings Guyana’s total installed capacity to over 900,000 barrels of oil a day. Arriving from Singapore on April 15, 2025, the vessel achieved a mooring milestone in the following month.

FPSO One Guyana brings online the ExxonMobil-operated Yellowtail field, sanctioned in April 2022 as the oil major’s fourth project in the Stabroek block, which encompasses six drill centers and up to 26 production and 25 injection wells. The operator describes the project as the largest Guyana development to date, with an initial annual average production of 250,000 bopd.

Production start-up was achieved four months ahead of schedule, allowing the FPSO One Guyana with a storage capacity of two million barrels to join other units, FPSOs Liza Destiny, Liza Unity, and Prosperity, in the oil production business at Stabroek block. Oil produced from the FPSO will be marketed as Golden Arrowhead crude.

ExxonMobil expects to have a total production capacity of 1.7 million oil equivalent barrels per day by 2030 from eight developments.   Dan Ammann, President of ExxonMobil Upstream Company, said: “Yellowtail’s ahead-of-schedule startup is a significant milestone for ExxonMobil and the people of Guyana. With Guyanese making up more than 67% of the country’s oil-and-gas workforce and over 2,000 local businesses engaged, this project reflects our deepening roots in the country and our shared commitment to long-term, inclusive growth. Thanks to the hard work and dedication of our team, we achieved startup 4 months ahead of schedule and under budget, making this our fourth FPSO online just 10 years after discovery.”

The U.S. player fired up four complex offshore mega-projects under budget and ahead of schedule in a record five years, while simultaneously advancing plans for four additional projects by the end of the decade. ExxonMobil Guyana operates the Stabroek block with 45% interest. Hess Guyana Exploration, now part of Chevron, holds 30% and CNOOC Petroleum owns 25%. The.operator, which is set on deploying six FPSOs with a gross production capacity of over 1.2 million barrels of oil per day at the Stabroek block by 2027-end, hinted at the possibility of up to ten FPSOs being employed to develop the estimated gross discovered recoverable resources of over 11 billion boe.

 

 

 

ExxonMobil Guyana commences Yellowtail production

The ONE GUYANA FPSO is the largest FPSO in the Stabroek block to date.

GlobalData August 11, 2025

ExxonMobil Guyana commenced production at Yellowtail, its fourth project in the offshore Stabroek block. This new venture is expected to significantly boost the country’s oil output and joins three other projects already in operation. The Yellowtail development’s infrastructure includes one floating production, storage and offloading (FPSO) vessel, ONE GUYANA and a subsea production system. At a water depth of 1,600–2,000m, the project will commission 26 production wells and 25 injection wells to maximise oil extraction. ExxonMobil Upstream Company president Dan Ammann said:

“Yellowtail’s ahead-of-schedule start-up is a significant milestone for ExxonMobil and the people of Guyana. With Guyanese making up more than 67% of the country’s oil-and-gas workforce and over 2,000 local businesses engaged, this project reflects our deepening roots in the country and our shared commitment to long-term, inclusive growth.”

The ONE GUYANA FPSO, part of the Fast4Ward programme by SBM Offshore, is said to be the largest FPSO in the Stabroek block to date and is moored in approximately 1,800m of water. It is designed to produce an average of 250,000 barrels of oil per day (bopd) initially, with a storage capacity of two million barrels (mbbl). The oil produced will be marketed under the name Golden Arrowhead crude. The FPSO’s capabilities include treating 450 million cubic feet of associated gas per day and injecting 300,000 barrels of water per day to support reservoir pressure.

Looking ahead, ExxonMobil Guyana anticipates that by 2030, the combined production from eight developments will reach 1.7mbbl of oil equivalent per day. ExxonMobil Guyana operates the Stabroek block with a 45% interest, followed by Hess Guyana Exploration, (now Chevron) with 30% and CNOOC Petroleum Guyana with 25% interest.

In a seminal regional initiative, Trinidad and Tobago awarded ExxonMobil exploration rights to an ultra-deep superblock comprising seven blocks. in Atlantic waters at depths ranging from 2,000–3,000m, north-west of the Stabroek block.  The unprecedented scale and scientific significance of the episode, highlighting Exxon’s Second Coming after 22 years, will catapult Trinidad and Tobago towards the forefront of energy supremacy with potential to redefine the entire region, on the cusp of a dramatic economic boom.

“ExxonMobil Guyana commences production at Yellowtail development” was originally created and published by Offshore Technology, a GlobalData owned brand.

 

 

 

 

ExxonMobil Consortium Producing Yellowtail Oil

by Jov Onsat August 11, 2025

Guyana’s oil production capacity has grown to over 900,000 barrels per day (bpd) as Exxon Mobil Corp. consortium in the Stabroek block put the Yellowtail project into operation. The fourth and biggest development in the offshore Stabroek, Yellowtail can produce up to 250,000 bpd through floating production, storage and offloading vessel (FPSO) ONE GUYANA.

Dan Ammann, president for upstream at ExxonMobil, said in an online statement ,
“Yellowtail’s ahead-of-schedule startup is a significant milestone for ExxonMobil and the people of Guyana, making up more than 67 percent of the country’s oil and gas workforce and over 2,000 local businesses engaged.

This project reflects our deepening roots in the country and our shared commitment to long-term, inclusive growth”.

ExxonMobil said, “By 2030, ExxonMobil Guyana expects to have total production capacity of 1.7 million oil equivalent barrels per day from eight developments”.

Spring, Texas-based ExxonMobil operates Stabroek with a 45 percent stake through ExxonMobil Guyana Ltd. Chevron Corp. owns 30 percent through Hess Guyana Exploration Ltd., following the recent completion of Chevron’s acquisition of Hess Corp. CNOOC Petroleum Guyana Ltd., under state-owned China National Offshore Oil Corp., holds 25 percent.

ExxonMobil and CNOOC tried to prevent Chevron’s entry into Stabroek by initiating arbitration, asserting their preemption rights. Preemption would have prevented Hess from selling its stake to Chevron without first offering the stake to its co-venturers.

In a watershed moment, the ruling favored Chevron.

Yellowtail reached a FID (final investment decision) 2022, with ExxonMobil announcing an investment of $10 billion. Exploiting the Yellowtail and Redtail discoveries, the project consists of 26 production wells and 25 gas injection wells.

ONE GUYANA, chartered from SBM Offshore, has an oil storage capacity of two million barrels, 450 million cubic feet a day of capacity for associated gas treatment and a water injection capacity of 300,000 bpd, according to the Amsterdam-based owner.

It joins FPSOs Destiny, Prosperity and Unity. The three were initially owned by SBM Offshore but acquired by ExxonMobil in 2023 and 2024 under the companies’ Operations and Maintenance Enabling Agreement.

Oil produced from ONE GUYANA will be marketed as Golden Arrowhead crude. ExxonMobil said,

“ExxonMobil Guyana’s deepwater developments are the most successful in the world. In five years, the company has started up four complex offshore mega-projects under budget and ahead of schedule – while simultaneously advancing plans for four additional projects by the end of the decade”.

The fifth development, Uaru, would add about 250,000 bpd. ExxonMobil expects the project to go online 2026. Investment would be $12.7 billion when announcing a FID April 2023.

Tokyo-based MODEC Inc. was awarded the build and operating rights for Uaru’s FPSO Errea Wittu.

The sixth development, Whiptail, would add around 250,000 bpd. ExxonMobil expects the project to go onstream 2027. Investment is also expected to be $12.7 billion, according to the FID in April 2024.

Whiptail’s FPSO Jaguar has been awarded to SBM Offshore under SBM Offshore’s Operations and Maintenance Enabling Agreement with ExxonMobil.

 

 

 

 

 

One Guyana FPSO launches production

Daily output up to over 900,000 barrels per day

August 8, 2025

Following arrival in April of ONE GUYANA Floating Production, Storage and Offloading vessel,  Guyana Ministry of Natural Resources announced that the fourth and largest FPSO operating within the Stabroek Block offshore, started producing oil today. It will produce approximately 250,000 barrels of oil per day (bpd), a bonanza with which
total daily crude output will exceed 900,000 barrels per day.

The previous combined average across the other three FPSOs was 670,000 barrels of oil per day. ONE GUYANA will develop Yellowtail and Redtail fields, discovered in 2019 and 2020.

ExxonMobil indicated that the Yellowtail project ahead-of-schedule startup represents a significant milestone for ExxonMobil and Guyana. The landmark completion reinforces the unsurpassed leadership, sterling discipline,  clever organisation, technical capability and sheer ingenuity of an exemplary energy operator.

President of ExxonMobil Upstream Company, Dan Ammann revealed the project reflects the company’s deepening roots and its shared commitment to long-term, inclusive growth, with over 67% of the workforce comprising citizens and over 2,000 local businesses engaged. By 2030, ExxonMobil Guyana expects a total production capacity of 1.7 million barrels of oil equivalent per day from eight developments.

ExxonMobil said Guyana deepwater developments  are the most successful in the world, indicating that in five years, the company launched four complex offshore mega-projects under budget and ahead of schedule – while simultaneously advancing plans for four additional projects by the end of the decade.

 

 

 

Oil flows to FPSO at fourth and largest ExxonMobil project

August 8, 2025 Financial Times

• • • • -Yellowtail brings Guyana’s total installed capacity to above 900,000 barrels of oil per day (bopd)
      • -Largest Guyana development to date with an initial annual average production of 250,000 bopd
      • -Startup four months ahead of schedule, demonstrating industry-leading project execution

GEORGETOWN – ExxonMobil Guyana started production today at Yellowtail, the fourth oil development in Guyana’s offshore Stabroek block. Yellowtail’s ONE GUYANA floating production storage and offloading (FPSO) vessel joins the Destiny, Unity and Prosperity FPSOs, bringing total installed capacity in Guyana to above 900,000 barrels of oil per day.Dan Ammann, president of ExxonMobil Upstream Company, said,

“Yellowtail’s ahead-of-schedule startup is a significant milestone for ExxonMobil and the people of Guyana. With Guyanese making up more than 67% of the country’s oil-and-gas workforce and over 2,000 local businesses engaged, this project reflects our deepening roots in the country and our shared commitment to long-term, inclusive growth.”

ONE GUYANA is the largest FPSO on the Stabroek block to date with an initial annual average production of 250,000 bopd and a storage capacity of two million barrels which will be marketed as Golden Arrowhead crude.

By 2030, ExxonMobil Guyana expects total production capacity of 1.7 million oil equivalent barrels per day from eight developments.

ExxonMobil Guyana’s deepwater developments are the most successful in the world. In five years, the eminent explorer initiated four complex offshore mega-projects under budget and ahead of schedule – while simultaneously advancing plans for four additional projects by the end of the decade, a magnificent monument to efficiency calibre, genius, stature and flair of a world-class company.

ExxonMobil Guyana Limited operates the Stabroek block with 45% interest. Chevron/ Hess Guyana Exploration Ltd. owns 30% and CNOOC Petroleum Guyana Limited has 25%.

 

 

 

Saipem vessels conclude Yellowtail subsea installations offshore

19 August

At the Yellowtail development Saipem delivered EPCI services of the SURF system, with ongoing support from  vessels like Normand Samson for pre-commissioning and light construction activities.

The FDS2 J-lay vessel completed the installation of the rigid flowline and steel lazy wave risers in an early 2024 campaign.

Saipem has completed its work scope for the deepwater Yellowtail development in the Starbroek Block.

Last week operator ExxonMobil started operations through the field’s ONE GUYANA FPSO, moored in 1,800 m water depth.

Saipem’s contract, awarded in 2022, covered engineering, procurement, construction and installation (EPCI) of the subsea umbilical, riser and flowline (SURF) system.

Early last year the FDS2 J-lay vessel installed the rigid flowline and steel lazy wave risers, the company said on 18 August. Work continued this year with the Saipem Constellation installing flexible risers and umbilicals, and connecting the pre-laid rigid riser to the FPSO.

The chartered support vessel Normand Samson was drafted in for the offshore campaign from mid-2024, performing subsea pre-commissioning, surveys and light construction, and installing flowline jumpers that Saipem manufactured at its yard in Georgetown.

Previously the company supported ExxonMobil on the Liza Phase 1 and 2, Payara projects in the same block, along with Uaru, the offshore phase which started this year.

 

 

 

Saipem sheds light on its role in early Yellowtail start-up

August 18, 2025, by Melisa Cavcic

Italy’s engineering, drilling and construction services giant, Saipem has landed a helping hand to U.S.-headquartered ExxonMobil to bring online its fourth oil project on the Stabroek block off the coast of Guyana.

Building upon the experience gained from previous large-scale deepwater developments with ExxonMobil Guyana, such as Liza Phase 1 and 2, Payara, and Uaru, Saipem contributed to an advanced production start-up of the Yellowtail field by nearly four months at Guyana’s Stabroek block.

Following a final investment decision (FID), the Italian player secured a contract award in 2022 to undertake the engineering, procurement, construction, and installation (EPCI) of the subsea umbilical, riser, and flowline (SURF) system for the project.

Afterward, the firm’s FDS2 J-lay vessel completed installation of the rigid flowline and steel lazy wave risers in an early 2024 campaign, which concluded in 2025 with the Constellation vessel executing the installation of flexible risers, umbilicals, and the connection of the pre-laid rigid riser to SBM Offshore’s FPSO One Guyana.

The Normand Samson multi-support vessel (MSV) was involved throughout the offshore campaign from mid-2024, delivering subsea pre-commissioning, surveys, light construction, and installation of flowline jumpers fabricated at Saipem’s yard in Georgetown.

 

The Italian firm underlined: “All offshore and onshore activities adhered to the highest standards of safety and quality and were completed on schedule. Saipem remains committed to delivering innovative engineering and technological solutions in challenging geological settings such as the Stabroek Block.

“The company integrates acquired expertise with a focus on sustainability and local development and will continue to collaborate closely with local communities and stakeholders, fostering economic growth and the development of specialised skills onsite.”

ExxonMobil intends to have six FPSOs with a gross production capacity of over 1.2 million barrels of oil per day at the Stabroek block by the end of 2027. The operator hinted at the possibility of employing up to ten FPSOs to develop the estimated gross discovered recoverable resources of over 11 billion barrels of oil equivalent.

 

 

 

 

 

 

Merging with Hess team will revamp Chevron exploration strategy

Kevin Crowley and David Westin- (Bloomberg) August 19, 2025

Chevron plans to merge Hess’ exploration team with its own to challenge “conventional thinking” and make new discoveries,

Chief Executive Officer Mike Wirth told Bloomberg. Chevron is cutting about 650 Hess jobs after completing its $53 billion takeover last month, but exploration is one area likely to be spared.

“We’re going to bring their talent, their experience, their insights and blend it with ours.” Chevron will have “a stronger team as we move forward to challenge some of our conventional thinking.”

Chevron’s exploration team struggled to find new discoveries in recent years. A highly-anticipated well in Namibia failed to find oil and gas this year.  Wirth declared himself “not happy” with the team’s results on the company’s last earnings call earlier this month and vowed to make changes.

Hess, spurred on by its geologists, bought a 30% stake in Guyana’s Stabroek Block months before ExxonMobil drilled its first well, leading to the biggest oil discovery in a generation. The block now has 11 billion barrels of recoverable resource, and was the main reason why Chevron bought Hess in its largest-ever deal.

“Hess has some very talented people in exploration who’ve been quite involved in the identification and appraisal of the resource in Guyana,” Wirth said.

Chevron has several exploration targets in South America, West Africa and the Eastern Mediterranean. It plans to drill an exploration well in Suriname later this year.

 

 

 

John B. Hess joins Chevron Board of Directors

July 29, 2025

Chevron announced the appointment of John B. Hess to its Board of Directors .

Hess, 71, served as CEO of Hess Corporation from 1995 to 2025 and as Chairman from 1995 to 2013. He led the company through its strategic transformation from an integrated oil company into a focused global independent exploration and production company. Mike Wirth, Chevron’s Chairman and CEO, said,

“We are excited to welcome John Hess to Chevron’s Board. John not only built a great company, he is a highly respected industry leader, and our Board will benefit from his global experience, relationships and expertise.”

John Hess said, “I am delighted to join Chevron’s Board of Directors at such an important time for the energy industry. I look forward to working with the Board and leadership team to advance the company’s mission to meet the world’s growing energy needs safely and responsibly and to create significant value for shareholders.”

Hess is a member of the Board of Directors of Goldman Sachs and the Board of Trustees at the Center for Strategic and International Studies. He previously served on the Secretary of Energy Advisory Board Quadrennial Review Task Force and as Chairman of the Board of the American Petroleum Institute. Hess is also a member of The Business Council, the Trilateral Commission and the Council on Foreign Relations. He serves on the Board of Directors of the Lincoln Center for the Performing Arts and the New York Philharmonic and on the Board of Trustees at Mount Sinai Hospital.

Hess holds a bachelor’s degree from Harvard College and an MBA from the Harvard Business School. A member of the Board of Dean’s Advisors at Harvard Business School, he was also Chairman of the Harvard Business School Campaign.

 

 

 

As $53 billion Chevron-Hess merger crosses the finish line, fusion of assets follows

July 25, 2025, by Melisa Cavcic

U.S dynamo Chevron cleared all the hurdles in its path to bring compatriot Hess Corporation, into its fold. As a result, the companies are taking steps to blend operations, enabling Chevron to expand its oil and gas arsenal.

Production capacity of 1.3 million barrels of oil per day is expected by the end of 2027.
With arbitration proceedings that followed in the wake of Chevron’s $53 billion all-stock deal to acquire Hess Corporation, now out of the way, Chevron is the new partner in Stabroek block, where ExxonMobil and CNOOC are its partners. The Hess acquisition is Chevron’s third upstream deal since 2020, following Noble Energy in 2020, REG in 2022, and PDC Energy in 2023.

ExxonMobil and CNOOC initiated the arbitration process, believing they should have a right to a first refusal over any sale of Hess’ 30% interest in Guyana’s oil-rich offshore block under the existing joint operating agreement.

This delayed the Chevron-Hess merger, originally announced in 2023, dragging the business combination closure date into 2025. Despite obstacles in its path, the U.S. duo still managed to progress the merger by securing Hess stockholder approval and clearing the Federal Trade Commission (FTC) antitrust review, convinced that preemptive rights in the Stabroek block joint operating agreement do not apply.

Following the arbitration win, Chevron stated:

“With the merger complete, Chevron and Hess are moving forward with integrated operations—and looking forward to a quick, efficient transition. When two companies come together, the result should be more than just bigger—it should be better, too.

With Hess joining Chevron, the company can now capitalize on a combined 240 years of experience. The merger broadens Chevron’s resource base and will help Chevron continue working to meet the world’s growing demand for energy.”

The four regions where this merger will have the most impact have been identified as Guyana, Bakken, the Gulf of America (former Gulf of Mexico) and Southeast Asia. While describing Guyana as “a world-class offshore resource,” Chevron claims that the Stabroek block is one of the top oil discoveries of the 21st century.

Stabroek is named after the Dutch colony of Stabroek, the original name of what is now Georgetown, Guyana.  The block in the Atlantic Ocean contains highly desirable crude oil that is cost-effective to refine. The company now has 30% ownership in the region, which holds over 11 billion barrels of oil equivalent discovered recoverable resources.

Moving from Guyana to America, Hess has a longstanding presence in North Dakota’s Williston Basin, home to the prolific Bakken Formation, perceived as a top source of U.S. shale oil production. When this is added to the Permian and DJ Basins, where Chevron operates, the company’s shale and tight portfolio now exceeds 2.5 million net acres in some of the most prolific onshore oil-producing regions in North America.

Shifting focus to the Gulf of America, another strategic region, Chevron emphasizes that it has now become the largest acreage holder, with access to global shipping lanes and the U.S. Gulf Coast, one of the world’s largest energy markets. Before this business combination, Chevron and Hess had been partners in deepwater assets for many years.

Chevron is under the impression that the adjacent and complementary nature of these assets can enhance operational synergies and value chain efficiency.

Moreover, the Hess acquisition enables Chevron to acquire the former’s natural gas assets in Southeast Asia, including Malaysia, where it has been present since the 1930s. The energy baron also has exploration and production assets in Thailand. ..

With the merger now complete, Chevron underlined that it is proceeding with integrating operations to build on Hess’s history in regions where it was active, ensuring “a smooth transition and maintaining focus on safe and responsible operations.”

 

 

 

 

One Guyana FPSO produces 250,000 bopd

Daily oil output to rise 37% as Yellowtail flows

August 1, 2025

Guyana’s daily oil production is set to increase by 37% with the imminent startup of its fourth offshore development, the Yellowtail project, operated by ExxonMobil. The project will add 250,000 barrels per day (bpd) to national output, raising production from June’s estimate of 664,000 bpd to over 900,000 bpd.

ExxonMobil CEO Darren Woods made the announcement during the company’s second-quarter earnings call on August 1, confirming that the Yellowtail development is on track to achieve first oil next week.

“Our fourth development is the largest to date. Yellowtail is next in line and anticipated to achieve first oil next week, delivered four months ahead of schedule and under budget,” Woods said.

The project is being brought online through the ONE GUYANA floating production, storage and offloading (FPSO) vessel, built by SBM Offshore. The Dutch company delivered multiple FPSOs for Guyana’s offshore developments, consistently ahead of schedule.

Yellowtail will mark a major milestone not only for Guyana but also for the region. With its startup, Guyana will become the world’s largest oil producer per capita.

ExxonMobil operates the Stabroek Block with a 45% stake, while Chevron, following its acquisition of Hess, holds 30%, and CNOOC owns 25%. Together, the consortium has driven a rapid scale-up of oil production offshore Guyana since first oil in 2019.

Yellowtail is the fourth project in this series. Three prior developments — Liza Phase 1, Liza Phase 2, and Payara — are currently producing. Two more 250,000 bpd developments are expected to begin production between 2026 and 2028, while another two are undergoing the application process with potential startup between 2029 and 2030. These future projects are expected to broaden the production space beyond oil, to include natural gas and condensate.

ExxonMobil Guyana has been a notable contributor to global oil supply growth in recent years. With the addition of Yellowtail, Woods said the Texan tycoon remains on track to help bring production in Guyana to 1.7 million bpd by 2030.

 

 

 

Lindsayca Guyana Inc. rebranded for gas-to-energy project

2025, 08/06

The contractor leading the gas-to-energy project in Guyana, says effective immediately, it will now operate under the name, Lindsayca Guyana Inc.

The decision follows a corporate consolidation process aimed at aligning the company’s identity with its long-term strategic vision and the ongoing advancement of the project into its next phase of implementation.

LNDCH4 Guyana says the name change does not alter the company’s core mission, scope, or objectives, reaffirming its “unwavering” commitment to supporting Guyana’s energy development by delivering solutions that are affordable, reliable and sustainable for both present and future generations.

“The gas-to-energy project continues to progress steadily, with construction activities, equipment delivery, and logistics advancing  in accordance with established timelines.”

As the lead engineering, procurement, and construction (EPC) contractor, Lindsayca Guyana Inc is proud to be spearheading one of the most transformative infrastructure projects in the modern history of Guyana with far-reaching implications for economic growth, energy security and national development.

“The rebranding follows an internal restructuring that has strengthened the company’s technical and operational capabilities through the onboarding of highly qualified professionals. This organisational evolution enhances Lindsayca’s ability to deliver the project with the highest standards of quality, safety and compliance, without impacting the established schedule.”

In April, the government said that it received seven bids for the second phase of the project, which includes the design,  construction and operation of a 300-megawatt (MW) combined cycle power plant and a natural gas liquids (NGL) facility with a capacity to produce about 5,800 barrels per day (b/d).

The bids were from companies in the United Arab Emirates, the United Kingdom, Luxembourg, Guatemala and Guyana.

The project will utilize about 70 million cubic feet per day (cf/d) of natural gas—the remaining capacity of a pipeline being constructed to transport about 120 million cf/d from ExxonMobil’s Liza field offshore Guyana to the Wales Development Zone on the western bank of the Demerara River.

Together, the two phases are expected to deliver a total of 600 MW of power, significantly reducing Guyana’s dependence on
imported fuels and lowering electricity costs, among the highest in the region.

The project is also expected to generate roughly 9,800 b/d of natural gas liquids (cooking gas) from a fractionation facility, which will reduce the cost of the commodity.

The project is being financed by a guaranteed loan from the US Export-Import Bank amounting to US$527 million.

The US-based company has the responsibility of completing the integrated facility that will process the gas and convert it into power.

Indian company Kalpataru Projects International is tasked with establishing transmission lines and substations needed to deliver the electricity to the national grid. This work is currently ongoing.

Before this, ExxonMobil completed its portion of the project by laying the pipeline that will allow the gas to be transported from the offshore Stabroek Block to the power plant, which will be located in the Wales Development Zone, West Bank Demerara.

The GTE project will double the country’s generating capacity whilst simultaneously reducing the cost of electricity by 50 per cent. The government said that the cost reduction is expected to significantly increase manufacturing activity, pushing Guyana closer to a self-sufficient nation.

Last month, Guyana’s vice president, Bharrat Jagdeo, said the Guyana government had been assured that the decision to split the contractors engaged in the multi-million dollar gas to energy project was to ensure that it will be delivered within the stipulated deadline of the second quarter of 2026.

(CMC)

 

 

 

 

Frontera Energy and CGX Energy provide update on Corentyne Block

3 August 2025

Frontera Energy Corporation and CGX Energy Inc. have provided an update on the Corentyne block license.

As previously disclosed on May 9, 2025, Frontera and its subsidiaries, Frontera Petroleum International Holding B.V. and Frontera Energy Guyana Holding Ltd, submitted a notice of intent to the Government of Guyana on March 26, 2025.

The notice alleges breaches of the United Kingdom – Guyana Bilateral Investment Treaty and the Guyana Investment Act by the Government of Guyana, and initiated a three-month consultation and negotiation period aimed at resolving the dispute amicably.

On July 23, 2025, the Government of Guyana, through its legal counsel, responded to the Investors, rejecting their claims regarding the Corentyne block license. The Government of Guyana reaffirmed its view that the Joint Venture’s interest expired on June 28, 2024, but noted that it may consider a final meeting with the Investors, on a without prejudice basis, in October 2025, and the Joint Venture would be informed as to whether such a meeting will occur in September 2025.

Frontera Energy Guyana Corp and CGX Resources Inc. remain firmly of the view that its interests in, and the license for, the Corentyne block remain in place and in good standing and that the Petroleum Agreement has not been terminated.

 

Although the three-month consultation and negotiation period derived from the Notice of Intent has now expired, the Joint Venture and its stakeholders continue to invite the Government of Guyana to amicably resolve the issues affecting the Joint Venture’s investments in the Corentyne block. Should the parties not reach a mutually agreeable solution, the Joint Venture and its stakeholders are prepared to assert their legal rights.

The Joint venture holds a 100% working interest in the Corentyne block, located offshore Guyana. Frontera Guyana and CGX Resources have agreed that their respective participating interests are 72.52% and 27.48%, which includes a 4.52% interest which CGX Resources agreed to assign to Frontera Guyana in 2023. The assignment of this 4.52% participating interest remains subject to the approval of the Government of Guyana, but is believed to be enforceable between Frontera Guyana and CGX Resources.

Source: Frontera Energy

 

 

 

Eco Atlantic seeks partner for Orinduik Block

Exxon’s move for 7th project is positive

July 31, 2025

Canadian explorer  Eco (Atlantic) Oil & Gas Ltd  confirmed its search for a partner in an update on its global operations. Audited Results for the Year Ended 31 March 2025 and Operational Update stated, “An active farmout process continues for the offshore Orinduik Block.”

 The oil company had long disclosed that it has initiated a formal farm-out process to attract partners for the next phase of exploration in the Orinduik Block, covering 1,354 square kilometers, located 170 kilometers offshore Guyana, adjacent to the prolific Stabroek Block, estimated to hold 11.6 billion barrels of oil.

Eco has until January 2026 to drill an exploration well on Orinduik Block, in keeping with its petroleum agreement. As operator, it entered the Second Phase of the Second Renewal Period of the Orinduik License on January 14, 2024 which requires the drilling of one exploration well targeting the Cretaceous formation before the licence term ends on January 13, 2026.

Eco is advancing plans for a 2025 drilling campaign at the Orinduik Block , targeting stacked Cretaceous reservoirs similar to those found in the prolific Stabroek Block.

Eco was encouraged by recent developments in the Stabroek Block, where ExxonMobil is preparing for a seventh oil development at the Hammerhead discovery. Exxon is the operator of the Stabroek Block. To date, oil production has grown to 650,000 barrels per day (bpd) from three sanctioned projects: Liza Phase 1, Liza Phase 2, and Payara.

This output is expected to increase with the start-up of Yellowtail, the fourth development, later this year. Exxon has two other sanctioned projects under its belt: Uaru and Whiptail. It has also submitted an Environmental Impact Assessment (EIA) for its seventh project, Hammerhead, with production targeted for 2029. Additionally, the company has filed an application for an eighth development, Longtail.

Gil Holzman, President and Chief Executive Officer of Eco Atlantic said, “Guyana continues to be one of the most prolific hydrocarbon regions in the world and our farm-out process for the Orinduik Block remains ongoing, including a reassessment by our team of the Jethro discovery parameters.”

Orinduik Block demonstrated a working petroleum system, with two confirmed discoveries, Jethro-1 and Joe-1 in 2019 in the Lower and Upper Tertiary formations. While both finds contained heavy oil, further analysis is ongoing to determine development feasibility. The company continues to evaluate discoveries while assessing deeper Cretaceous prospects, believed to hold potential for lighter crude.

“The remainder of 2025 and into 2026 has the potential to be a highly exciting period for Eco. We have farm-out processes underway, data analysis ongoing and a drilling campaign to plan for. All of which has the potential to deliver significant value for all of Eco’s stakeholders in due course.”

 

 

 

 

 

ExxonMobil actively seeking acquisitions (can acquire CNOOC stake in Stabroek)

Kevin Crowley, Bloomberg August 01, 2025

Exxon Mobil Corp. seeks opportunities to acquire smaller rivals, a year after buying Pioneer Natural Resources Co. for $60 billion, Chief Executive Officer Darren Woods said.

The Texas oil giant wants to acquire companies to create value through combining assets and expertise rather than simply buying to get bigger, Woods said on a call with reporters.

“It’s a high bar, but frankly, as we’ve demonstrated with Pioneer, it can work and you really deliver on this equation of one plus one equaling more than three,” he said. “There are opportunities out there for us, frankly still, and we’re working to see if we can’t bring some of those to fruition.”

This year’s oil price drop is putting pressure on producers to maintain the buybacks and dividends they ramped up since posting record profits in 2022. bp Plc, under pressure from activist investor Elliott Investment Management, has frequently been cited as a target for another supermajor.

Woods did not specify any targets or types of assets Exxon wanted to buy but he was clear that any deal must “drive more value for the combined shareholders, more value than either company on its own can achieve.” This contrasts with recent deals in the sector which are a “consolidation of volumes play,” he said.

“You won’t actually see us acquire a company and then fire a bunch of people. If you look at what we did with Pioneer, we really brought the best of both organizations together.”

Will XOM and CHEVRON acquire CNOOC Stabroek stake ?

 

 

 

PRC court sentences former president of state giant to jail for bribery

Xu Yihe Asia Correspondent Singapore 6 August 2025

A Chinese court sentenced a former president of China National Offshore Oil Corporation (CNOOC), Li Yong, to 14 years in prison for taking bribes on multiple occasions, in one of the most high-profile corruption cases in the country’s oil and gas industry in recent years.

The Intermediate People’s Court in Xiangyang, Hubei province, handed down the sentence on Tuesday and imposed a fine of three million yuan ($3.5 million) on Li., found to have accepted bribes totalling over 67.94 million yuan, directly or through intermediaries, during his term at CNOOC group companies.

The conviction marks a major step in Beijing’s sweeping anti-corruption campaign targeting powerful figures in the energy industry.

 

 

 

4 scholars to study Petroleum Sciences in PRC

July 30, 2025

A partnership between CNOOC Petroleum Guyana Limited (CPGL) and the Ministry of Natural Resources awarded 4 scholarships in Petroleum Sciences at leading Chinese universities in a ceremony hosted by CPGL at its Headquarters.

In attendance were Minister of Natural Resources, Mr. Vickram Bharrat, and China’s Ambassador to Guyana, Madame Yang Yang. A joint panel of MNR and CPGL experts selected Una Herman, Anna Jeffers, Rondel Rutherford, and Tanika Sam who will arrive in PRC next month to join two other cohorts of students who started studies over the previous two years

CPGL is one of the three major oil producing companies in Guyana. Its collaboration with the Ministry of Natural Resources (MNR) resulted in the award of four additional scholarships. In keeping with its Corporate Social Responsibilities, CNOOC will fully finance the costs of education, transportation and living expenses for the students while in China.

Upon completion of their degrees, all scholarship recipients will commence working in Guyana’s oil industry, ensuring that their newly acquired skills would benefit their country, themselves and their families. The initiative represents a joint effort between the Natural Resources Ministry and CNOOC to develop skills, build capacity and increase local content within the petroleum sector.

At the ceremony, President of CPGL, Mr. Lian Jihong, challenged the scholars to make full use of this unique opportunity. He reminded them that it would transform their lives, fulfil their aspirations and make a positive impact on society.

CNOOC introduces programs to create social benefits in all the countries where it operates. Education has always been a key pillar among these initiatives. CPGL initiatives in Guyana have been focused on creating a lasting impact on the students and society. The scholarships were a reaffirmation of CNOOC’s long term commitment to developing local content and capacity-building .

Chinese Ambassador, Madame Yang Yang, stated that there is a strong bond of friendship and cooperation between China and Guyana. The Ambassador commended CPGL for engaging in local community development programs. She highlighted the ongoing training and collaboration initiatives currently in place in agriculture, engineering, health and artificial intelligence. Contributions by Chinese companies to Guyana’s development include infrastructure, construction, IT and natural resources.

Minister Vickram Bharrat thanked CPGL for fulfilling its Corporate Social responsibilities through this scholarship program and numerous other initiatives . Guyana has one of the best managed Oil and Gas sectors in the world among new producers, which the Government was developing while ensuring strong local content with an emphasis on capacity building. He urged the scholarship winners to stay focused, study diligently, make their parents proud and return to serve their country.

The four scholarship awardees will join the eight students who are already in the programme at the end of August 2025. The awardees pledged to be diligent in pursuing their studies and future careers. They expressed their gratitude and appreciation to the MNR and CPGL for the opportunity to develop their skills and to contribute to the development of Guyana.

 

 

Ireland’s role in Guyana’s high-stakes oil and climate debate

Joseph O’Connor August 12 2025

When UN International Court of Justice ruled last month that nations failing to curb fossil fuels could be liable for compensation and restitution, Guyana took notice. The fossil fuel and climate debate has been dominant in the South American oil hub since energy czar ExxonMobil struck oil offshore a decade ago. The discovery set the climate champion on a very different path from conservation of lush Amazon forests and strong environmental protection laws.

The government argues that oil extraction and environmental protection can coexist and it has a right to utilise resources for development but critics believe that Guyana is backing the wrong horse amid a worsening global climate crisis.

With what is viewed as a poorly negotiated contract with ExxonMobil, vulnerability to rising sea levels and rapid inflation, a complex landscape threatens the country’s stability and future prosperity.

Oil has been flowing since 2019 at a rate unprecedented in the industry.

Alistair Routledge, president of ExxonMobil Guyana said,

“When the fifth project comes online next year, we’ll reach a million barrels a day in just over 10 years. For most other basins, it takes 50 years.”

This speed of extraction concerns environmentalists lobbying the government to hold ExxonMobil to unlimited liability in the event of an oil spill. ExxonMobil posted a $2 billion guarantee while it appeals a court ruling on the political football, in advance of general elections in September.   Recent ICJ opinion that countries are legally liable for the actions of the private sector is all the more relevant.

While Routledge says ExxonMobil is “committed to delivering what society is looking for and ensuring we’re doing that in a way that protects the environment”, many take such assurances as empty promises.

One lawyer claims that renewables out-competing fossil fuels show the oil industry has no future, despite IMF data showing governments subsidised fossil fuels with $7 trillion in 2022 alone. Remove those subsidies and the oil industry will collapse. The government is living in the past and Guyana will be left with a mess to clean up.

Mike McCormack, of the Guyana Extractive Industries Transparency Initiative, echoes that view, dismissing the notion that Guyana has a right to use oil to catch up with the rest of the world. He wants oil to stay in the ground but if extracted, revenues should be used more progressively, helping the region mitigate risk of climate-related disasters.

“The way you are trying to catch up is the same reason you’re behind now. Exploitation from colonial countries got us in this mess. Instead, we’re doing nothing. We don’t even stop the flaring properly. We have no sense of restraint. Exxon wants it quicker because they can see the writing on the wall.”

One academic says the predicament of the petrostate is a living paradox, pursuing the promise of oil while confronting the potential peril of climate change. Concerned about how oil might affect the average citizen and cause ethnic division , he advises planning a new capital due to exposure to coastal flooding.

As Venezuela lays claim to Essequibo, loss of the region, which makes up 74 per cent of Guyana, will undermine the work for oil to develop the country. Most of Essequibo is Amazonian forest, the carbon sink that captures emissions from fossil fuels. The complexity extends to climate change dynamics. The ICJ will rule on the legitimacy of the existing borders and is expected to remove this albatross around Guyana’s neck before 2027.

Guyana, with a population of about 835,000, is of interest to Ireland because of the global impact of fossil fuel production and because €31 billion in fossil fuel investments flows through the country with ExxonMobil receiving the most investment from asset managers based in Ireland. A lot is at stake for Guyana and the world. While the ICJ opinion is not legally binding, it will carry weight as courts make more climate-related decisions than national parliaments.

 

 

 

Guyana’s high-stakes oil and climate debate – and Ireland’s role in it

The small South American country is ‘a living paradox’, pursuing the promise of oil while facing the potential peril of climate change

All this makes the recent ICJ opinion stating that countries are legally liable for the actions of the private sector all the more relevant.

[ The Irish Times view on the ICJ climate change decision: a far-reaching legal statement Opens in new window ]

While Routledge says ExxonMobil is “committed to delivering what society is looking for and ensuring we’re doing that in a way that protects the environment”, many take assurances such as these as empty promises.

Melinda Janki, a Guyanese international lawyer who was instrumental in persuading her government to include the right to a healthy environment as a fundamental constitutional right in the early 2000s, says that renewables out-competing fossil fuels shows the oil industry has no future.

That is, Janki says, despite IMF figures showing governments subsidised fossil fuels to the tune of $7 trillion in 2022 alone. “Remove those subsidies and the oil industry will collapse. The Guyanese government is living in the past, and Guyana will be left with a mess to clean up.”

Mike McCormack, a representative of the Guyana Extractive Industries Transparency Initiative, echoes that view, dismissing the notion that Guyana has a right to use its oil to catch up with the rest of the world.

“The problem is the way you are trying to catch up is the same reason you’re behind now,” he says. “Exploitation from colonial countries got us in this mess.”

McCormack believes the oil should stay in the ground, but if it is to be extracted, he says revenues should be used more progressively, for example by helping Caribbean countries mitigate risk of climate-related disasters.

“Instead, we’re doing nothing,” he says. “We don’t even stop the flaring properly. We have no sense of restraint. Exxon wants it quicker and quicker because they can see the writing on the wall.”

For Prof Ivelaw Griffith, author of new book Oil and Climate Change in Guyana’s Wet Neighborhood, the Guyana predicament is “a living paradox” – a nation pursuing the promise of oil while living the potential peril of climate change.

Speaking to The Irish Times, Griffith expresses concern about how the country’s gamble on oil might play out for the average Guyanese person and the ethnic division it could cause. He also believes planning for a new capital must begin due to Georgetown’s exposure to coastal flooding.

However, he says you cannot talk about the oil and climate debate in Guyana without addressing the Essequibo question – the region, which makes up 74 per cent of Guyana, that neighbouring Venezuela lays claim to.

“If you lose that to Venezuela, it undermines all the work you did for the oil to develop the country,” he says. “Most of Essequibo is Amazonian forest, which produces the carbon sink that captures all that bad stuff produced by fossil fuels. So, the complexity goes beyond oil, it extends to the climate change dynamics.”