Page 11 - LatAmOil Week 12 2023

LatAmOil GUYANA LatAmOil

The US super-major and its partners will exe- 220,000 bpd respectively, while Payara will yield
cute the Uaru project using a subsea system another 220,000 bpd and Yellowtail another
connected to a floating production, storage and 250,000 bpd.
offloading (FPSO) vessel called Errea Wittu. Liza-1 came on stream in late 2019, followed
The FPSO will handle crude oil from the Uaru, by Liza-2 in February 2022. The third develop-
Mako and Snoek fields, which contain estimated ment project, which will draw on the Payara
recoverable resources of 1.319bn barrels of oil and Pacora fields, is due to start production in
equivalent (boe), according to estimates from late 2023, and the fourth, which draws from the
Rystad Energy (Norway). Yellowtail and Redtail fields, will follow suit in
The vessel, which will be delivered by 2025. Uaru, along with Mako and Snoek, may
MODEC (Japan), will be able to produce then come on stream in 2026. It is likely to be fol-
250,000 barrels per day (bpd) of oil. It will be lowed by the sixth development project – involv-
capable of storing 2mn barrels of crude and ing the Whiptail, Pinktail and Tilapia fields – in
off-loading approximately 1mn barrels onto a 2028. Fangtooth is thought to be a likely target
tanker over a period of about 24 hours. for the seventh development project.
In combination with the other projects that ExxonMobil Guyana is serving as operator of
are anticipated to be operational by 2026, Uaru Stabroek and has a 45% stake in the block. The
will take crude oil production in Guyana’s off- remaining equity is divided between US-based
shore zone up to more than 1mn bpd. Liza-1 Hess, with 30%, and China National Offshore
and Liza-2 are already yielding 140,000 bpd and Oil Corp. (CNOOC), with 25%. ™

BRAZIL
Petrobras CEO reiterates commitment

to fossil fuels even as transition proceeds

JEAN Paul Prates, the CEO of Brazil’s national to boost output.
oil company (NOC) Petrobras, has reaffirmed Within the past 20 years, Brazil has emerged
his company’s continued commitment to crude as a major oil producer, gaining the edge over the
oil and natural gas even as the world continues rest of Latin America. It has been particularly
to move away from fossil fuels. effective at identifying and tapping into deep-
“We will get market share,” Prates told water and ultra-deepwater fields in the pre-salt
Bloomberg in an interview last week, insisting section of its offshore zone. Petrobras operates
that his company would go on producing hydro- the majority of these fields, with private interna-
carbons for decades to come. “We may be the tional oil companies (IOCs) such as Shell (UK)
last to produce oil in the world.” and Equinor (Norway) holding minority stakes.
Prates’ statements indicate that Brazil may be Prates, who was appointed to his role by Pres-
plotting a course similar to that of Saudi Arabia; ident Luiz Inacio Lula da Silva at the start of his
another country that has argued that oil produc- third term earlier this year, says that oil produc-
tion can be continued in tandem with the adop- tion remains a top priority of the president. Lula
tion of renewable energy sources and the pursuit has pledged to slow deforestation in the Amazon
of net-zero carbon emissions. But many global and continue the fight against climate change,
organisations disagree with this sentiment. but he also supports Brazil’s oil industry.
The International Energy Agency (IEA), for The South American country’s oil output
example, has claimed there is no room to pursue is projected to hit a record 3.4mn barrels per
increased usage of fossil fuels, including crude day (bpd) this year and is expected to continue
oil. According to the IEA, doing so would pre- growing consistently until 2030. ™
vent the world from meeting its climate goals.
Despite movements toward renewable
energy, numerous world leaders, including US
President Joe Biden, have called on oil producers
to raise supplies in a bid to combat the rise in
consumer energy bills and prices that followed
the outbreak of the global energy crisis last year.
Several of these leaders, including Biden, have
continued to reiterate their commitment to
green energy in the fight against climate change
even as they have urged hydrocarbon producers Prates, shown on March 23 (Photo: Petrobras)

Week 13 29•March•2023 www. NEWSBASE .com P11