ExxonMobil Moving into Phase Two of Oil Development Off Guyana

GEORGETOWN, Guyana, Monday May 6, 2019 – ExxonMobil is moving ahead with a second phase of oil development offshore Guyana.

It said it has funded the Liza Phase 2 development after receiving government and regulatory approvals.

The company said the Phase 2 startup, which is expected in mid-2022, will produce up to 220,000 barrels of oil per day and further capitalize on the development potential of the Stabroek Block, where ExxonMobil estimates it could produce more than 750,000 barrels of oil per day by 2025.

A total of six drill centres are planned, as well as approximately 30 wells, including 15 production, nine water injection and six gas injection wells. Liza Phase 2 is expected to cost US$6 billion.

Exxon said a final investment decision is expected later this year for a third phase of development, Payara, which is expected to produce between 180,000 and 220,000 barrels per day with startup as early as 2023.

Liza Phase 1, meantime, remains on track to achieve first oil by the first quarter of 2020. It will produce up to 120,000 barrels of oil per day at peak rates.

ExxonMobil says it is also evaluating additional development potential in other areas of the Stabroek Block, including at the Turbot area and Hammerhead.

The Stabroek Block is 26,800 square kilometres. The current discovered recoverable resources are estimated at more than 5 billion barrels of oil equivalent. The 13 discoveries on the block to date have established the potential for at least five floating production, storage and offloading (FPSO) vessels producing more than 750,000 barrels of oil per day by 2025.

ExxonMobil’s affiliate, Esso Exploration and Production Guyana Limited is the operator and holds 45 per cent interest in the Stabroek Block. Hess Guyana Exploration Ltd. holds 30 per cent interest and CNOOC Petroleum Guyana Limited, a wholly-owned subsidiary of CNOOC Limited, holds 25 per cent interest.

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