Page 9 - LatAmOil Week 06 2021

LatAmOil GUYANA LatAmOil

It has also pushed back against calls for the The US major is working with Hess, a
imposition of fines for burning off gas at levels US-based independent company, and China
above the 14 mmcf (396,500 cubic metre) per National Offshore Oil Corp. (CNOOC) to
day limit imposed by Guyana’s Environmental develop Stabroek, which lies in the deepwater
Protection Agency (EPA), on the grounds that section of Guyana’s offshore zone. To date, the
it expects average flaring volumes not to top the partners have discovered oil in 18 sections of the
legal limit. block, which appears to hold around 9bn barrels
For its part, the Guyanese government has of oil equivalent (boe) in recoverable reserves.
indicated that it will not penalise ExxonMobil Liza-1 became the first section to begin com-
on this front, Stabroek News has reported. mercial production in December 2019. ™

Guyana’s VP says work on gas

pipe studies will begin this year

BHARRAT Jagdeo, Vice-President of Guy- looking at a significant reduction in energy cost.
ana, said earlier this week that the government [It’s] huge,” he said. “We are working through the
intended to carry out several studies this year numbers, and the project is still in the prepara-
in order to move forward with a gas-to-power tory stage. We are just doing studies so these are
(GTP) scheme. just estimates now, but this is the magnitude of
Speaking to reporters on February 9, Jagdeo the studies.”
said that Georgetown would carry out several Jagdeo also stated that the government had
studies, including an environmental impact decided where the 160-km pipeline linking the
assessment (EIA), for the project before the end Stabroek block to shore would make landfall. He
of 2021. He did not say exactly when work would named the site as Wales, a port facility on the
begin or which organisations would conduct the West Bank of the Demerara river, but did not say
studies, but he did stress that the government whether work on the pipe would begin before
would make additional information on its plan the end of the year as previously discussed. ™
to use associated gas from the offshore Stabroek
block as fuel for electricity generation public.
He also said that the scheme, which will
entail the construction of a pipeline and a 300-
MW thermal power plant (TPP), would carry
a price tag of $500-800mn. The exact cost will
depend on factors such as the size of the pipe-
line and the extent of the geotechnical surveys
needed, he stated. “Then when we go out to ten-
der, that is the time we will know the actual cost
of it,” he was quoted as saying by Stabroek News.
The vice-president went on to say that the
switch to domestically produced gas might
bring the price of electric power down to $0.03-
0.06 per kWh for Guyanese consumers. “You are Vice President Bharrat Jagdeo (Image: Headline News Guyana)

BRAZIL
Chinese firm joins LNG-to-power project

CHINA’S State Power Investment Corp. (SPIC) been finalised. As a result, they said, the Chinese
has completed its acquisition of a stake in Gas company will acquire a 33% stake in GNA’s two
Natural Açu (GNA), Latin America’s largest thermal power plants (TPPs), both of which are
LNG-to-power project. currently under construction, and the infra-
Members of the GNA joint venture said in a structure facilities that make up the Açu Gas
statement earlier this month that the deal had Hub complex. .

Week 06 11•February•2021 www. NEWSBASE .com P9