Exxon’s trouble with gas compressor did not affect Guyana’s crude lift – Natural Resource Ministry

ExxonMobil Guyana’s latest trouble with its flash gas compressor did not affect Guyana’s second oil lift for 2021, the Government of Guyana (GoG) said in a statement on Wednesday.

“…this occurrence has not affected GoG’s crude oil lift which was safely and successfully completed yesterday [Tuesday] at the planned quantity and in keeping with the Crude Lifting Agreement and Lifting Schedule,” a release from the Ministry of Natural Resources noted.

However, the government noted that it was expectedly “highly disappointed” with the Stabroek Block operator’s inability to remedy the situation to date.

ExxonMobil Guyana announced on Tuesday that it slashed production to 30,000 barrels because of another problem with the gas compressor system aboard the Liza Destiny Floating Production Storage and Offloading (FPSO) vessel offshore Guyana.

Production was at 120,000 barrels per day. Presently, the flash gas compressor, after being fully installed on April 2, remains offline with production and flaring volumes being closely monitored, the government statement noted.

“The GoG will continue to monitor the levels of daily crude oil output and flaring to best allow for an economically feasible level of production during this period.

“The GoG is currently examining the implications of the loss of output, and consequently loss of income and revenue, including measures that it may have to institute to protect national interest.”

While ExxonMobil Guyana and its contractors, SBM and MAN Energy Solutions are actively investigating the failure and assessing repair requirements, the government said it has been receiving regular updates through the Natural Resources Ministry, Guyana Geology and Mines Commission (GGMC), and the Environmental Protection Agency (EPA) since the matter has arisen.

It said that a meeting was also held with ExxonMobil Guyana to discuss the findings and plans for the expeditious resolution of this issue.