The world of oil leaves some very curious data. A good example is Guyana, a small country of just over 800,000 inhabitantslocated between Venezuela, Brazil and Suriname, which produces large quantities of oil and does not surprise the markets by exceeding all production expectations. The latest September data released by ExxonMobil reveals that Guyana alone produced enough oil, for example, to satisfy the entire demand of Spain (48 million inhabitants) for 20 days. Or, what amounts to the same thing, Guyana produces more than 50% of the crude oil needs of all of Spain every day.
ExxonMobil, the oil company exploiting Guyana’s treasures, is gradually increasing its deepwater production to an average of 660,000 barrels per day (bpd). Liza Blocks 1 and 2 averaged around 160,000 b/d and 251,000 b/d, while Payara averaged 249,000 b/d, all belonging to the giant Stabroek block. These production levels resulted in pumping of nearly 19.79 million barrels in Septemberthe highest monthly production in its history.
During the first three quarters of 2024, ExxonMobil produced more than 165 million barrels of crude oil at an average rate of 604,000 b/d on the Stabroek block. All projects produced above their planned targets, thanks to the success of decongestion activities. Liza 1 and 2 averaged 146,000 b/d and 227,000 b/d, while Payara averaged 231,000 b/d.
ExxonMobil continues to perform additional optimization work on the Liza 2 project since its partial closure in July. The company is expected to increase production in this block after getting the regulatory green light. The government projects that production in 2024 will reach around 228 million barrels per day. This requires average production of 680,000 b/d in the fourth quarter, a new record.
It doesn’t stop there. Next year, Exxon is expected to bring the Yellowtail project online, increasing production capacity to more than 900,000 barrels per day (bpd). Guyana’s oil boom is unprecedented. All experts’ predictions of future production levels are being exceeded by ExxonMobil thanks to the investment in innovation and the permissiveness of the Guyanese government to operate in the country’s vast domain.
In the space of three or four years, Guyana has become one of the largest oil producers in South America and the world’s largest producer of crude oil per capita. ExxonMobil, the company that works closely with Guyana to extract its most valuable treasure, pumped 660,000 barrels of crude oil every day at its recent peak, or nearly a barrel per capita.
In addition, this oil has become a blessing for a Europe (even surpassing Venezuela in terms of exports) which had to look for new partners after the sanctions applied to Russia. Now, Guyana’s crude oil will be one of the few that can contribute to global supply amid OPEC cuts and growing tensions in a market under threat on several fronts.
“Guyana has significantly increased its oil production during its very short history as a major producer. After first discovering crude oil in 2015 and commencing production in late 2019, the rapid development of the Liza project and, more recently, the Payara project has increased Guyana’s crude oil production. production to 660,000 barrels per barrel by the end of 2024. We anticipate that the commissioning of the Yellowtail project will help increase Guyana’s petroleum liquids production by an additional 100,000 b/d in 2025, and that total production of Guyana’s petroleum liquids will exceed 800,000 barrels per barrel. day in the fourth quarter of 2025,” the EIA said.
One of the elements that had the greatest importance is that the discoveries are located in the mar, which significantly streamlines administrative procedures, which are supported by the Government of Guyana, which encourages and facilitates this type of work and investment, sector experts explain to elEconomista.es.
In 2024, Guyanese oil will become more important than ever. Even though the EIA estimates that its production contributes 300,000 “new” barrels per day, this small country could even surprise on the upside. Unlike Venezuela, Nigeria or Libya (countries that always seem to surprise with increasing production that never happens), Guyana, when it publishes data, usually surprises with actual production that exceeds the “expected” one. .
