Inspenet, August 16, 2023.
Guyana’s Vice President, Bharrat Jagdeo, stated last Saturday that there will be no further extension beyond September 12, 2023 for the bidding for 14 oil blocks off the country’s coast . According to Jagdeo, a regulatory framework has been established that will facilitate the process.
During a conversation with the participants in a Guyana Chamber of Commerce conference, Jagdeo noted that since the Government has implemented a new model Production Sharing Agreement and a new Law on Petroleum Activities approved by the National Assembly, next month’s deadline will be final.
Likewise, Guyana’s National Assembly recently approved the new Petroleum Activities Act with the aim of paving the way for the implementation of various government projects in the oil and gas sector.
The measure gave the Minister of Natural Resources broad powers and replaced the 1986 Petroleum Law, which was the country’s main oil regulation.
“We have had to extend the deadline several times due to our inability to finalize these two vitally important documents, but now that they are complete, I don’t see the need to change the deadline again,” Jagdeo said.
Extensions granted by the Guyana government
The bidding round was officially launched on December 9, 2022 and originally set a deadline of April 14, with the intention of awarding the contracts in May. However, on April 12, the natural resources ministry extended the deadline for submitting bids to July 15.
Similarly, on July 26, the Government announced that it had set the new deadline for September 2023.
At stake are 11 shallow-water oil exploration blocks, along with 3 deep- and ultra-deep-water blocks.
For his part, Guyana’s President Irfaan Ali announced in mid-July that oil production from Guyana’s Stabroek block is expected to average 1.2 million barrels per day by the end of 2027 .
The country’s total recoverable oil reserves amount to more than 11 billion barrels, which ranks the country 17th worldwide and 3rd in Latin America and the Caribbean .
Since the discovery of oil off the coast of Guyana in 2015, international interest in the country has increased significantly. The Government has started an important round of tenders to develop 14 oil exploitation blocks.
Furthermore, Guyana is projected to experience an average annual growth of 25% between 2023 and 2026, with growth in the non-oil sector estimated at 7.9% for this year.
Source: https://www.bancaynegocios.com/guyana-prorrogas-licitaciones-petroliferos/
Loading...
