Page 5 - LatAmOil Week 31 2022

LatAmOil COMMENTARY LatAmOil

Hans van Gaalen, commercial director for Van combined-cycle TPP rather than supervising
Oord, expressed similar sentiments. “Van Oord the work directly. Members of the govern-
is honoured to have been selected for the Guy- ment believe that this approach is necessary, he
ana Gas-to-Energy project in co-operation with explained, because Guyana has not yet devel-
Subsea 7,” he said. “Developing the coastal infra- oped the capability in-country to ensure that
structure for the project will allow our Subsea the project is implemented properly.
7 and Van Oord consortium to positively con- “We will go to tender in a matter of weeks for
tribute to the development of Guyana’s electric- an international project management group that
ity supply, which in turn will reduce Guyana’s will manage the contract on our behalf to see
dependence on imported fuels.” that the quality is maintained and that it comes
in on budget and on time, because we don’t have
Subsea risers and pipelines that capability even at GPL [Guyana Power and
The second contract went to Technip FMC Light],” he said, referring to the national power
(France/US), and it too concerns the pipeline. provider.
On August 1, the company said in a state- Jagdeo said in mid-June that Georgetown
ment that it had struck a separate deal with had sent a request for proposals (RFP) for the
EEPGL on engineering, procurement, con- project management contract to nine pre-qual-
struction and installation (EPCI) services for ified construction companies. He did not
subsea risers and pipelines. These services will name any of the nine but said the government
cover work on a system that pumps associated expected to receive responses to the RFP by the
gas from the Liza Destiny and the Liza Unity, end of July. ExxonMobil is
the floating production, storage and off-loading The vice president also said later in June that building the GTE
(FPSO) vessels installed at the Liza-1 and Liza-2 the project manager would oversee construction
oilfields, to shore for delivery to a thermal power of the TPP and of a natural gas liquids (NGL) pipeline, while
plant (TPP) that will use it to generate electricity, plant. There has been some debate in Guyana
it explained. The TPP will, in turn, supply elec- as to whether to build the NGL plant in com- Guyana will be
tric power to Guyana’s domestic market, it said. bination with the power station or wait until
Like Subsea 7 and Van Oord, TechnipFMC later, when the gas value chain becomes more responsible for
did not reveal the exact value of its contract. established in the country, but Jagdeo indicated the onshore
However, it did define the project as “substan- that the question had been settled. “[The] two
tial,” putting its value at $75-250mn. It also have been combined because we believe that the facilities
noted that it already had more than 85 Guyanese synergy will save us,” Kaieteur News quoted him
nationals on its staff and said it expected to hire as saying.
and train additional local employees in order to Then in early July, Guyana’s Ministry of Nat-
carry out the new project. ural Resources revealed that it had issued a sep-
Jonathan Landes, president of subsea pro- arate RFP for consultancy services related to the
jects at TechnipFMC, commented: “The Gas-to- GTE project. It said it was seeking a consultant
Energy project is another example of how we are that could assist the government, via the GTE
helping deliver the energy the world needs, and task force, in supervising the development of
we are thrilled to be supporting another project the TPP and NGL plant. The contract will cover
in Guyana. We remain proud of our dedicated design review, construction, supervision and
Guyanese employees and are committed to the general project management services related
continued development and expansion of local to development of the two integrated plants,
capabilities.” as well as contract administration during pro-
ject implementation and thereafter during the
Project management defects liability period, it stated. Project imple-
In the meantime, Guyana’s government is also mentation will take place over a period of about
seeking a project manager and related consult- 42 months from the date of signing, while the
ing services for its part of the GTE initiative. defects liability period is likely to last about 12
(EEPGL will be responsible for building the months, it said.
pipeline, while the government will be respon- As of press time, it was not known if the gov-
sible for onshore facilities, including but not lim- ernment had received responses to these RFPs.
ited to the gas-fired TPP.) Even so, Georgetown appears to be making
Vice President Bharrat Jagdeo had said in good progress on the GTE project and should
mid-June that Georgetown would appoint a pro- be in a position to make the FID by the end of
ject manager for construction of the 300-MW the year as scheduled. ™

The pipeline will carry associated gas from the Liza Destiny (above) and the Liza Unity FPSOs (ExxonMobil)

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