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Guyana Approves Gas-to-Power Project Submitted by ExxonMobil

Inspenet.

November 30, 2022

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By : Inspenet, Nov 30, 2022

The Guyana Environmental Protection Agency (EPA) approved Gas-to-Energy’s landmark project, based on an environmental impact assessment (EIA) submitted by ExxonMobil Guyana.

“The Environmental Assessment and Statement relating to this project have been reviewed and found acceptable by the Environmental Assessment Board, pursuant to section 11 (13) of the Environmental Protection Act, Cap. 20:05”, said the regulator.

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The approval includes the development of a natural gas transportation pipeline, a materials unloading facility and a natural gas liquids plant.

1206 GUYANA 1 — CH4/Lindsayca will build the plant

The project has been declared environmentally sound and of public interest. This is based on technical reviews and recommendations from a team of independent international experts, public input and other relevant considerations, the EPA said.

Although the approval granted by the EPA to ExxonMobil provides for an NGL plant, the government is responsible for its construction.

The Guyana government recently issued a no objection for the US-based partnership of CH4/Lindsayca to build the 300 megawatt (MW) combined cycle power plant and natural gas liquids (LNG) facility. Management decided to build the two plants in an integrated facility, in order to save costs. The power plant was not included in ExxonMobil’s EIS and is expected to be evaluated in a separate permitting process. However, the power plant is considered as part of the cumulative impact assessment.

Gas-to-Energy will enable the transportation of natural gas from the Liza field in the Stabroek Block to the Wales Development Zone, where the onshore plants will be built. The project is expected to facilitate a government plan to cut consumer electricity rates by 50% and significantly reduce associated emissions. It will also allow the production of NGL and dry natural gas for use by third parties, an undertaking that the government expects to be highly profitable.