ExxonMobil to triple Guyana’s oil production next year

  -Liza Unity arrives early

ExxonMobil’s local subsidiary, Esso Exploration and Production Guyana Limited (EEPGL) announced Tuesday, that the Liza Unity floating production, storage and offloading (FPSO) vessel has arrived in Guyana’s waters ahead of schedule.

This means that Guyana’s daily oil production, currently just over 100,000 barrels per day, is set to triple early next year.

ExxonMobil said the vessel, which was dedicated by First Lady Arya Ali, took 53 days to travel more than 11,000 nautical miles from Singapore. Now that it is here, it will be connected to the spread mooring before preparation for testing and commissioning.

Liza Unity floating production, storage and offloading vessel

“I’m so proud of the Unity team,” EEPGL’s production manager, Mike Ryan said. “The sail itself is long. The advent of COVID-19 was challenging, but the team was resilient, pushed through and delivered a beautiful FPSO that’s here in Guyana. We’re all really excited that she’s joined the neighbourhood next to Liza Destiny, and we’re really looking forward to the next few phases as we bring this FPSO online into 2022.”

The vessel will be used for the start-up of the Liza Phase Two operation. Phase one came into play in December 2019 when the Liza Destiny began production. In the first half of 2021, Phase one produced 111,767 barrels of oil per day.

Liza Unity floating production, storage and offloading vessel

The Liza Phase Two development will produce up to 220,000 barrels of oil per day. The vessel will be supported by six drill centres and approximately 30 wells. This includes 15 production wells, nine water injection wells and six gas injection wells.

The Phase Two development targets approximately 600 million barrels of oil, and is expected to cost US$6 billion, including a lease capitalisation cost of approximately $1.6 billion, for the FPSO.

Ryan said the standard for operational excellence set with the construction of the Liza Unity demonstrates the level of quality that ExxonMobil aspires to meet on every aspect of its projects.

Liza Unity floating production, storage and offloading vessel

The Liza Unity is the world’s first FPSO to achieve such recognition for sustainability for its design, documentation and operational procedures. The SUSTAIN-1 class notation recognises energy efficiency management, mitigation of ozone depleting substances and management of hazardous materials throughout the development life cycle.

To make these determinations, the design and construction of units are assessed against their adherence to the requirements of the American Bureau of Shipping (ABS) Guide for Sustainability Notations, aligned with the applicable United Nations Sustainable Development Goals (SDGs).

 “We remain committed to producing the energy which is essential to modern life and economic development, in a way that helps protect people and the environment,” Ryan added.

ExxonMobil has other multiple development projects in the pipeline. The Payara project, which was approved last year, is scheduled for first oil in 2024. It is also awaiting approval from the government for the Yellowtail project for start-up in 2025.