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The consortium led by Exxon Mobil on the oil-rich shores of Guyana has hit a grand oil production milestone of 645,000 barrels per day. This marks a substantial surge from approximately 400,000 barrels per day in late 2023, depicting an impressive escalation in the nation’s oil output. The announcement came resoundingly on Tuesday, showcasing the phenomenal strides made by the company in boosting production levels in the region.
Exxon (XOM) has distinctly stated that all three currently operational platforms have not only met but surpassed their initial capacity estimates. The platforms, namely Liza Destiny, Liza Unity, and Prosperity, are now yielding an astounding 160,000, 250,000, and 230,000 barrels per day, respectively. This surpassing of initial capacity estimates is a testament to the ingenuity and efficacy of Exxon Mobil’s operations on the Guyanese coast.
This feat is just the tip of the iceberg, as the consortium, which includes Hess (HES) and China’s Cnooc, has ambitious plans for expansion. The upcoming fourth, fifth, and sixth oil projects – Yellowtail, Uaru, and Whiptail – are anticipated to individually boast a production capacity of approximately 250,000 barrels per day. This strategic move is poised to elevate Guyana’s total oil output well beyond 1.2 million barrels per day by 2027, signifying a momentous stride in the region’s oil production landscape.
This impressive surge in production is not devoid of substantial investments, as the consortium has committed significant financial resources for further developmental endeavors. Contemplating the future, the consortium has expressed aspirations to develop as many as 10 projects offshore Guyana. In line with this vision, it has already proposed budgets amounting to around $40 billion for the first six projects. Of this substantial amount, Exxon (XOM) reveals that approximately $29 billion has been diligently invested, underlining the immense financial commitments associated with the ventures.
