Tiny Guyana becomes the world's fastest growing economy and a major oil exporter.

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Cypress

Well-known member

How Guyana Is Feeding the Profits of the Largest U.S. Oil Company​

Exxon’s oil discovery in Guyana's offshore waters more than a decade ago ranks among this century’s most significant finds, catapulting Guyana, a former British colony with 1 million inhabitants, into the world’s fastest-growing economy.

Much of Guyana’s oil flows to Europe, replacing a portion of what the continent used to get from Russia, and some has been making its way to Asia during the Iran war, according to Kpler, a maritime data firm.

As important as Exxon has been for Guyana, the country has also been transformational for the largest U.S. oil company, giving it a lucrative new growth engine at a critical time. Rapidly accelerating production in Guyana helped push Exxon’s overall production to its highest level in more than 40 years last year, contributing an estimated 15 percent of the company’s operating income.

“Guyana has a terribly bad deal,” said Thomas Singh, an economist at the University of Guyana, referring to the 14.5 percent take that Guyana was getting from the consortium Exxon leads. He and other critics point out that oil-producing countries like Norway or Brazil get a much higher cut.

Alistair Routledge, who leads Exxon’s Guyana operations, said the contract was fair.

“We take all the financial risk,” Mr. Routledge said. “If we don’t find oil and end up developing commercial projects, we never recover that money.”

Attractive as Guyana may now be, Exxon considered dropping the project before striking oil in 2015, worried that investing in a country riddled with failed wells wasn’t worth it, former employees said.

Mr. Routledge also emphasized that while Guyana’s initial take may seem low, the deal includes an escalation mechanism: Exxon’s consortium recently recouped development costs, meaning Guyana’s proceeds will rise, potentially doubling or more from earlier levels.


www.nytimes.com

How Guyana Is Feeding the Profits of the Largest U.S. Oil Company

Exxon Mobil found a coveted growth engine in Guyana. Now it must navigate Guyana’s fractious politics and a territorial dispute with Venezuela.
www.nytimes.com www.nytimes.com
 
Cypress said:

How Guyana Is Feeding the Profits of the Largest U.S. Oil Company​

Exxon’s oil discovery in Guyana's offshore waters more than a decade ago ranks among this century’s most significant finds, catapulting Guyana, a former British colony with 1 million inhabitants, into the world’s fastest-growing economy.

Much of Guyana’s oil flows to Europe, replacing a portion of what the continent used to get from Russia, and some has been making its way to Asia during the Iran war, according to Kpler, a maritime data firm.

As important as Exxon has been for Guyana, the country has also been transformational for the largest U.S. oil company, giving it a lucrative new growth engine at a critical time. Rapidly accelerating production in Guyana helped push Exxon’s overall production to its highest level in more than 40 years last year, contributing an estimated 15 percent of the company’s operating income.

“Guyana has a terribly bad deal,” said Thomas Singh, an economist at the University of Guyana, referring to the 14.5 percent take that Guyana was getting from the consortium Exxon leads. He and other critics point out that oil-producing countries like Norway or Brazil get a much higher cut.

Alistair Routledge, who leads Exxon’s Guyana operations, said the contract was fair.

“We take all the financial risk,” Mr. Routledge said. “If we don’t find oil and end up developing commercial projects, we never recover that money.”

Attractive as Guyana may now be, Exxon considered dropping the project before striking oil in 2015, worried that investing in a country riddled with failed wells wasn’t worth it, former employees said.

Mr. Routledge also emphasized that while Guyana’s initial take may seem low, the deal includes an escalation mechanism: Exxon’s consortium recently recouped development costs, meaning Guyana’s proceeds will rise, potentially doubling or more from earlier levels.


www.nytimes.com

How Guyana Is Feeding the Profits of the Largest U.S. Oil Company

Exxon Mobil found a coveted growth engine in Guyana. Now it must navigate Guyana’s fractious politics and a territorial dispute with Venezuela.
www.nytimes.com www.nytimes.com
Click to expand...
Oh, jeebus, don’t tell Trump, he’ll invade
 
Cypress said:
He has an international reputation as a war monger!

But as long as an American company like Exxon holds the concession rights, Trump will undoubtedly refrain from war...
Click to expand...
yes. you people are happy to profit from Trump's aggressive nature.

hypocrites and snakes
 
Cypress said:

How Guyana Is Feeding the Profits of the Largest U.S. Oil Company​

Exxon’s oil discovery in Guyana's offshore waters more than a decade ago ranks among this century’s most significant finds, catapulting Guyana, a former British colony with 1 million inhabitants, into the world’s fastest-growing economy.

Much of Guyana’s oil flows to Europe, replacing a portion of what the continent used to get from Russia, and some has been making its way to Asia during the Iran war, according to Kpler, a maritime data firm.

As important as Exxon has been for Guyana, the country has also been transformational for the largest U.S. oil company, giving it a lucrative new growth engine at a critical time. Rapidly accelerating production in Guyana helped push Exxon’s overall production to its highest level in more than 40 years last year, contributing an estimated 15 percent of the company’s operating income.

“Guyana has a terribly bad deal,” said Thomas Singh, an economist at the University of Guyana, referring to the 14.5 percent take that Guyana was getting from the consortium Exxon leads. He and other critics point out that oil-producing countries like Norway or Brazil get a much higher cut.

Alistair Routledge, who leads Exxon’s Guyana operations, said the contract was fair.

“We take all the financial risk,” Mr. Routledge said. “If we don’t find oil and end up developing commercial projects, we never recover that money.”

Attractive as Guyana may now be, Exxon considered dropping the project before striking oil in 2015, worried that investing in a country riddled with failed wells wasn’t worth it, former employees said.

Mr. Routledge also emphasized that while Guyana’s initial take may seem low, the deal includes an escalation mechanism: Exxon’s consortium recently recouped development costs, meaning Guyana’s proceeds will rise, potentially doubling or more from earlier levels.


www.nytimes.com

How Guyana Is Feeding the Profits of the Largest U.S. Oil Company

Exxon Mobil found a coveted growth engine in Guyana. Now it must navigate Guyana’s fractious politics and a territorial dispute with Venezuela.
www.nytimes.com www.nytimes.com
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Trump saves Europe once again....
 
Uncensored2008 said:
Trump saves Europe once again!
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You would literally suck Trump's dick, wouldn't you fan boy.

Trump had nothing to do with Exxon's exploration program in Guyanan offshore waters.

If you insist on bringing presidents into it, Exxon made the key Guyana oil discovery during the Obama administration, and large scale oil production started during the Biden administration.
 
Cypress said:
You would literally suck Trump's dick, wouldn't you fan boy.
Click to expand...

You would literally kill Trump for curing cancer, wouldn't you, Comrade?

Cypress said:
Trump had nothing to do with Exxon's exploration program in Guyanan offshore waters.
Click to expand...

Blatant lie, as usual from you. Trump lifted the Biden Junta restrictions on exploration - AND what country is directly north of Guyana - you know the one that is no longer attacking exploration ships and platforms?

This has everything to do with Trump policies - you're just too much of a hate filled hack to admit it.

 
Uncensored2008 said:
Trump lifted the Biden Junta restrictions on exploration!
Click to expand...
Wow, you are really dumb. Joe Biden has no authority over the sovereign nation of Guyana and cannot order them to shut down exploration.

Uncensored2008 said:
AND what country is directly north of Guyana
Click to expand...
Not North.
West. Or if I was being massively charitable, west-northwest.
Uncensored2008 said:
- you know the one that is no longer attacking exploration ships and platforms?
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The Stabroek block has been providing oil since the early 2020s during the Biden administration.

Post your proof from a reputable source that the Exxon oil platforms have been attacked by Venezuela.
 
Cypress said:
“Guyana has a terribly bad deal,” said Thomas Singh, an economist at the University of Guyana, referring to the 14.5 percent take that Guyana was getting from the consortium Exxon leads.
Click to expand...
This Thomas Singh is obviously a moron.
 
IBDaMann said:
This Thomas Singh is obviously a moron.
Click to expand...
I don't agree with him.
Before the Stabroek discovery Exxon took all the risk and spent all the money, without any guarantee of any return on investment. It's perfectly fair for them to retain a majority of the profits during the duration of this concession.
 
Cypress said:
Post your proof from a reputable source that the Exxon oil platforms have been attacked by Venezuela.
Click to expand...
Too funny! @Cypress will declare all such sources of proof as "not reputable." @Cypress needs someone to blame for his living under a rock and remaining clueless about Venezuela's very public dispute with Guyana over oil field territory. @Cypress might as well insist on proof that WWII occurred.
 
Cypress said:
I don't agree with him.
Before the Stabroek discovery Exxon took all the risk and spent all the money, without any guarantee of any return on investment. It's perfectly fair for them to retain a majority of the profits during the duration of this concession.
Click to expand...
More than that, Exxon and Guyana agreed on terms. Singh is acting like a Marxist who swoops in and declares one of the parties as being "exploited" when nobody asked his opinion in the first place.
 
IBDaMann said:
Too funny! @Cypress will declare all such sources of proof as "not reputable." @Cypress needs someone to blame for his living under a rock and remaining clueless about Venezuela's very public dispute with Guyana over oil field territory. @Cypress might as well insist on proof that WWII occurred.
Click to expand...
So.....no proof provided that Venezuela actually attacked Exxon platforms.
 
IBDaMann said:
More than that, Exxon and Guyana agreed on terms. Singh is acting like a Marxist who swoops in and declares one of the parties as being "exploited" when nobody asked his opinion in the first place.
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I'm sure he is not the only native Guyanan who wishes they were getting more than 18 percent royalties. But it wasn't Guyana who took all the risk and fronted all the exploration and development money.

Exxon could have lost billions of $$$ on this deal, if they discovered nothing.
 
Cypress said:
I'm sure he is not the only native Guyanan who wishes they were getting more than 18 percent royalties.
Click to expand...
I'm sure that Guyanese don't care unless they have a Marxist fomenting HATRED and dissatisfaction. Wherever petroleum exists, Marxists are on the scene trying to kill the global economy.

Cypress said:
But it wasn't Guyana who took all the risk and fronted all the exploration and development money.
Click to expand...
Regardless of what Exxon did, Guyana and Exxon agreed to terms and now Guyana has a healthy income stream without having to do anything. All Marxist greed-fueling cries of "EXPLOITATION" should be ignored.

Cypress said:
Exxon could have lost billions of $$$ on this deal, if they discovered nothing.
Click to expand...
That is called investment risk and it comes with the territory. I'm sure it played heavily in the negotiations that resulted in mutually agreeable terms.
 
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