ExxonMobil still to make final investment decision

first_img… awaits approval of commercial licencesSeveral months after major oil discoveries were confirmed offshore Guyana, US-based ExxonMobil is still awaiting approval of their licences from local regulatory agencies to prepare for drilling.This disclosure was made by outgoing Country Manager for ExxonMobil, Jeff Simon, who told members of the local media on Tuesday that the company is yet to make a Final Investment Decision (FID).Outgoing Country Manager, Jeff Simon explaining for ExxonMobil’s operations which will take place offshoreAccording to Simon, the Environmental Impact Assessment (EIA) is being reviewed, while the production licence has to be granted by the Guyana Geology and Mines Commission (GGMC).While explaining that the company has been engaged in discussion with the authorities regarding the approval of these licences, Simon said Government in reviewing the application for the permits has sought additional information from ExxonMobil.“I think they have engaged some additional help and those parties have come back to us for a lot of additional information so it is still being analysed,” he said on Tuesday.In highlighting the enormousness of the investment that has to be made before the actual drilling commences, the country manager explained that there is need for some level of certainty that must be exercised on the part of the Government of Guyana in granting the licences and approvals.Simon said not only has ExxonMobil been engaged in a number of preparations, but its partners have also made steps to get prepared, explaining that once the FID is approved, the company would spend about US$5 billion before beginning production.Government has secured the services of overseas experts to review the applications submitted by ExxonMobil.Since 2015, ExxonMobil has announced three oil finds in Guyana’s offshore area. The most recent discovery came in April, 2017, when the company found 25 meters of high-quality oil-bearing sandstone reservoirs at its Snoek well in the Stabroek block.The company has also hit oil at Stabroek’s Payara and Liza fields. The latter is estimated to contain up to 1.4 billion barrels of light oil. According to the company, by the mid-2020s daily output from Stabroek could reach 450,000 barrels.At present, tenders are out for local suppliers and contractors that are able to support a number of projects for the company’s operation.last_img read more

Hopes high for Arnold’s speech

first_img 160Want local news?Sign up for the Localist and stay informed Something went wrong. Please try again.subscribeCongratulations! You’re all set! When Gov. Arnold Schwarzenegger gives his third state of the state speech Thursday, he will have two competing audiences.Local Democrats say they want to hear that he’s going to give schools more money, but the Republicans want to hear more details on some of the things he’s already proposed, such as a minimum wage increase.“I would like to hear him say there will be substantial increased funding for education,” said state Sen. Jack Scott, D-Pasadena. “We’re $700 per student below the national average.”But state Sen. Bob Margett, R-Glendora, said he wants more details on Schwarzenegger’s proposal to raise the minimum wage from $6.75 per hour to $7.75 per hour. Schwarzenegger vetoed a similar minimum-wage proposal in September.“I would like him to tell us the impact of a raise in the minimum wage,” Margett said. “(It) doesn’t necessarily mean it will be all bad. Whenever we do something to increase costs, we need to know what those economic impacts will be.”Margett said he also hopes that Schwarzenegger will discuss disaster funding as well as a way to improve flood control in Northern California.“We need a catastrophe insurance program that will take care of everything that will hit in our society,” he said.State Sen. Gloria Romero, D-Los Angeles, said what Schwarzenegger says is less important than how he does it.“I’m looking for the demeanor,” Romero said. “I’m looking to see a Gov. Schwarzenegger, not a terminator. I’m looking to see someone who wants to find common ground with the Legislature and move out of electioneering and sloganeering.”Assemblyman Bob Huff, R-Diamond Bar, said he wants Schwarzenegger to discuss his successes.“I’d like to hear him say that because he held the line on taxes and new programs, the economy is rebounding, new jobs are being created and our revenue is up by about $5.2 billion,” Huff said.Huff said the biggest challenge for Schwarzenegger will be to ensure that money goes to education and transportation and taxes are not raised.Assemblyman Rudy Bermudez, D-Norwalk, said he wants to hear details on the governor’s proposals, such as his proposed $50 billion transportation bond issue.“He throws the cliches out,” Bermudez said. “I want to hear how he’s going to deliver. I want to hear how the governor is going to create the reforms he said he’s going to do.”Assemblywoman Judy Chu, D-Monterey Park, said that Schwarzenegger in early reports appears to be supporting issues she supports, such as the minimum wage hike and a reduction in tuition.“But I am just holding my breath and hoping he does follow through,” Chu said. “This governor has a history of saying one thing and doing another. We want to see his actions following his words.” [email protected](562) 698-0955, Ext. 3022last_img read more