Suriname and Guyana have initiated discussions for the joint exploitation of gas reserves located offshore, focusing on the development of gas condensate extraction. Staatsolie and other stakeholders are collaborating on a development strategy with an emphasis on increasing scale and efficiency. Recent oil discoveries, particularly by Petronas in Block 52, further underscore the economic potential of their partnership, with projections for oil production beginning as early as 2030 and gas development targeted for 2031.
Suriname and Guyana are advancing towards a collaborative approach for the exploitation of gas reserves situated offshore between the two nations. Annand Jagesar, the director of Staatsolie, expressed the importance of the recent confirmation from both governments to work in concert, stating that while immediate outcomes are not anticipated, it is crucial to establish a development framework. A delegation from Suriname, which included Albert Ramdin, Minister of Foreign Affairs, International Business and International Cooperation, met with Guyana’s Vice President, Bharrat Jagdeo, to deliberate on potential collaborative efforts. Jagesar revealed that they will explore a development strategy that is conducive to the extraction of gas condensates from discoveries located near their mutual border, namely Makka and Kwaskwasi in Suriname, alongside Haimara and Pluma in Guyana. He highlighted the benefit of collaboration, noting that scale could be significantly enhanced. Ramdin echoed a positive sentiment regarding the discussions, emphasizing the shared understanding of the necessity for cooperative engagement in the gas sector. The exchange aims to outline potential strategies and scenarios for this partnership within the next few months. These discussions gain further significance as Staatsolie moves towards a second final investment decision (FID) in Block 52, where the Malaysian company Petronas has reportedly discovered recoverable oil reserves, estimated at over 400 million barrels. There are plans to facilitate a daily production of 100,000 barrels, with initial announcements of the FID potentially occurring by 2027, followed by production commencement in 2030. Additionally, notable quantities of natural gas have been identified in this block, prompting negotiations for a fast-tracked gas development project targeted for operational readiness by 2031. This joint initiative between Suriname and Guyana marks an important step towards leveraging shared resources effectively, fostering greater economic potential for both nations.
The collaborative effort between Suriname and Guyana emerges against the backdrop of increasing discoveries of hydrocarbon reserves in their respective waters. Both countries are members of the Caribbean Community (CARICOM), and their partnership signifies a strategic move to maximize resource utilization while enhancing bilateral relations. Recent developments in oil production decisions, particularly by international oil companies, amplify the urgency and importance of their cooperation in exploring and exploiting gas reserves effectively. This cooperation is expected to benefit both economies significantly and enhance regional energy independence.
In conclusion, the recent summit between Suriname and Guyana marks a pivotal moment in developing joint gas exploitation strategies in the Caribbean. With both nations aligning their efforts towards a cooperative framework, the outlined timelines for oil and gas production are promising. These initiatives not only reflect a commitment to sustainable resource management but also highlight the potential for enhanced economic development in both countries.
Original Source: www.guardian.co.tt
