Page 9 - LatAmOil Week 14 2022

LatAmOil EL SALVADOR LatAmOil

This makes it the biggest private-sector invest- 230-kV transmission line.
ment initiative ever undertaken in El Salvador. EDP has pointed out that the LNG-to-power
Eventually the TPP will be able to turn out project will help El Salvador reduce its carbon
enough electricity to cover around 30% of El footprint by expanding domestic natural gas
Salvador’s demand. It will also be connected to consumption.
the Central American Electrical Interconnec- The joint venture’s new gas-fired TPP is
tion System (known as CAIES), which links the slated to replace older power stations that burn
power grids of El Salvador, Guatemala, Nicara- a dirtier type of petroleum-based fuel – namely,
gua, Honduras, Costa Rica and Panama via a residual fuel oil. ™

GUYANA
ExxonMobil takes FID on Yellowtail project

EXXONMOBIL (US) announced on April
4 that it had made a final investment decision
(FID) on Yellowtail, its fourth development pro-
ject at the Stabroek block offshore Guyana.
In a statement, the US-based super-ma-
jor said it had opted to move forward with the
project after securing all necessary government
and regulatory approvals for work at Yellowtail.
The oilfield is due to begin production in 2025
and will eventually yield 250,000 barrels per day
(bpd) of crude, making it the largest upstream
initiative undertaken so far at Stabroek, the
company noted.
The cost of developing Yellowtail is expected
to reach $10bn, ExxonMobil said. The project
will involve the establishment of six drill centres
and the drilling of up to 26 production wells
and 25 injection wells, it noted. Development
of these facilities will be supported by a floating
production, storage and off-loading (FPSO)
vessel that will be known as the One Guyana,
it added.
Hess, the US independent firm that has a
non-operating stake in Stabroek, said in its own
statement that the Yellowtail project would tar-
get a resource base estimated to contain 925mn
barrels of crude oil.
Liam Mallon, the president of ExxonMobil ExxonMobil will use another FPSO based on SBM Offshore’s Fast4Ward® design
Upstream Co., expressed satisfaction with the to support development operations at the Yellowtail field (Photo: SBM Offshore)
FID, noting that his company was working to
launch production as quickly as possible. “Yel- stakeholders. The world will need these low-cost
lowtail’s development further demonstrates the oil resources to meet future energy demand and
successful partnership between ExxonMobil help ensure an affordable, just and secure energy
and Guyana and helps provide the world with transition.”
another reliable source of energy to meet future Equity in the Stabroek block is split between
demand and ensure a secure energy transition,” affiliates of ExxonMobil, the operator, with 45%;
he stated. “We are working to maximise bene- Hess, with 30%; and China National Offshore
fits for the people of Guyana and increase global Operating Corp. (CNOOC), with 25%. The
supplies through safe and responsible develop- partners made their first oil discovery at the
ment on an accelerated schedule.” Liza field in 2015 and have made more than
Meanwhile, John Hess, CEO of Hess, added: 20 commercially viable finds to date. They
“We are excited to sanction our fourth oil devel- launched their first development project, Liza-1,
opment and the largest FPSO to date on the in December 2019 and then brought the second,
Stabroek block. We look forward to continuing Liza-2, on stream in February 2022. The third
to work with the government of Guyana and our development project, Payara, is slated to begin
partners to realise the remarkable potential of production in 2024, and the fifth, Uaru, may fol-
this world-class resource for the benefit of all low suit in 2026. ™

Week 14 07•April•2022 www. NEWSBASE .com P9