Published On: Mon, Aug 6th, 2018

CCJ President says rule of law crucial for a new oil-rich Guyana

oil-rigGEORGETOWN - The rule of law and the Caribbean Court of Justice (CCJ) influence will play an important part in making sure the benefits of Guyana’s emerging oil and gas sector are widespread and sustainable.

That’s the opinion of the Trinidad-based CCJ’s new President, Justice Adrian Saunders.

“The CCJ has particular relevance to Guyana at this time, as the country is poised for a significant economic take-off…The economic prospect of this country could easily make it the envy of its CARICOM sister states, and some Latin American states as well….The basic ingredients are present for this to occur—your large and fertile landmass, your oil deposits, and precious metals, the abundance of rivers and country’s natural beauty,” he said as he addressed the Guyana Manufacturing and Services Association business luncheon yesterday.

Justice Saunders said that economic progress can either be thwarted or significantly enhanced with good governance and faithful adherence to the rule of law. The latter, he said, will increase business confidence, attract investments and ensure respect for and enforcement of property rights and freedoms.

Oil giant ExxonMobil has made eight discoveries out of the 10 wells it has drilled in the Stabroek Block, and oil production is planned to begin in early 2020.

It was announced today that ExxonMobil has added a third drillship to its Guyana basin with the Noble Tom Madden to join the Stena Carron as the oil major ramps up exploration activities.

The announcement came by way of Noble Corporation’s second quarter report which stated: “Following the close of the second quarter, the drillship Noble Tom Madden was awarded a contract for work offshore Guyana, which includes two firm wells, plus three optional wells. Re-activation of the rig from its warm stacked status has begun, with the contract expected to commence in October 2018.”

Local operator, ExxonMobil’s affiliate, Esso Exploration and Production Guyana Limited (EEPGL) is operator of the Stabroek Block, holding a 45 per cent interest, Hess Guyana Exploration Ltd. holds 30 per cent interest and CNOOC Nexen Petroleum Guyana Limited holds 25 per cent interest.

This will be Noble’s second rig under contract to ExxonMobil in the Guyana basin. The Noble Bob Douglas is currently developing the Liza 1 Field for production. ExxonMobil says it has 19 targets to drill in what has become a world-class oil field.

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