Guyana’s production helps Exxon end 2023 with US$36 billion profit

Increased production in Guyana and the Permian Basin, found in the southwestern part of the United States (US), has helped ExxonMobil net US$36 billion (or about G$7.5 trillion) profit for 2023.

ExxonMobil’s Chief Executive Officer Darren Woods and Chief Financial Officer Kathryn Mikells spoke about the US oil major’s performance last year. They both referenced developments in Guyana as a solid contributor to Exxon’s 2023 success.

“In our upstream business, we set production records in both Guyana and the Permian, growing combined volumes by more than 18% in 2023.

“We started up the Payara project offshore Guyana in November and reached nameplate capacity of 220,000 barrels of oil per day in late January, well ahead of schedule,” Woods said.

The Prosperity, the third Floating Production Storage and Offloading (FPSO) vessel operating in the prolific Stabroek Block offshore Guyana, started oil production at the Payara project in November. That was about three months ahead of schedule.

With the Prosperity, total production capacity in Guyana will increase to about 620,000 barrels of oil per day since the Liza Destiny and Liza Unity FPSOs were already operating in the Stabroek Block.

Meanwhile, Mikells pointed out that ExxonMobil’s full-year gross production guidance of 380,000 barrels of oil per day was increased last year. It went up to 390,000 barrels per day.  This, alongside the hike in production in the Permian Basin, helped ExxonMobil.

Reflecting on ExxonMobil’s financial performance, Mikells said, “The driver was an improved mix, essentially a greater proportion of high-margin barrels from assets like the Permian and Guyana and lower costs across our portfolio.”

Looking ahead, ExxonMobil has its eye on more “high-value” projects around the world. According to Woods, the Yellowtail development- which would be ExxonMobil’s fourth development in Guyana’s Stabroek Block- is among those high-value projects.

“Yellowtail will be our fourth development in Guyana and our largest development yet, with a nameplate capacity of 250,000 barrels per day.

“We expect to have six Guyana projects online, with a capacity of more than 1.2 million barrels per day in aggregate, by year-end 2027,” he said, adding that these Guyana developments have a low cost of supply and strong returns.