US company planning major investment in O&G sector

A US-based company is planning a major investment in Guyana’s oil and gas sector, aiming to process 30,000 barrels of oil daily by the end of the year, President Dr Irfaan Ali announced.

Speaking at the opening ceremony of the Guyana Energy Conference and Supply Chain Expo on Tuesday at the Marriott Hotel in Kingston, Georgetown, the President stated that the initiative is expected to meet national demand while also extending services to neighbouring Brazil and the wider region.

“[It] will see refined products coming into Guyana at cheaper prices, and that will enable us to create a hub for the rest of the region here in Guyana,” the President disclosed.

In its first two years, the project will require a minimum investment of US$300 million, President Ali said. The government is finalising the details to ensure that Guyana and the region derive maximum benefits.

The venture goes beyond a commercial partnership, with plans to establish a storage facility outside Guyana, President Ali explained.

“Imagine us creating a refined product hub for the region, for northern Brazil, here in Guyana. Imagine the type of logistical, value-creation, and economic opportunities it will generate. These are the types of transformative investments we are pursuing,” he emphasised.

This initiative is expected to have a ripple effect across key sectors of the economy, including maritime, transport, and logistics, creating hundreds of jobs.

The government is also exploring the feasibility of a 30,000-barrel oil refinery in Berbice, allowing the country to sell different components of crude oil to various industries.

An oil refinery is a facility that processes crude oil into useful products, such as diesel, gasoline, lubricants, and heating oil. (DPI)