Internet Radio

Trinidad, Suriname offer to refine Guyana’s oil

The Liza well has 800 to 1.2 billion barrels of recoverable oil.

Trinidad and Tobago, and Suriname have offered to refine Guyana’s oil, although ExxonMobil reserves the right to take its portion elsewhere for processing, authorities said Thursday.

Minister of Natural Resources, Raphael Trotman said  Trinidad and Tobago’s oil refinery, which has a capacity to process 175,000 barrels per day, has been operating “below optimum” even with the importation of oil from Nigeria and elsewhere for blending, refining and export.

ExxonMobil plans to begin commercial oil production at a rate of 100,000 barrels per day from wells offshore Guyana around mid 2020.

Trotman said he was informed on Tuesday that Suriname’s refinery, which is also operating below capacity, is available to refine Guyana’s oil.

“They (Suriname), too, have a refinery, which is operating under part, which raises the question: Should Guyana have a refinery, spend two billion dollars on a refinery and in about twenty years, assuming that we have is from the Liza, that in about twenty to twenty-five years we have to be looking elsewhere to do some refining,” he said.

Minister Trotman said ExxonMobil might want to refine some of the oil and Guyana could decide if it wants to take its portion and refine it locally or in either of the sister-Caribbean Community (Caricom) countries. “Exxon may wish to do some of its own refining, but the Government of Guyana under the terms of the agreement, can also determine whether it wishes to receive its portion in oil and, therefore, may wish to use the available facilities nearby- either Suriname or Trinidad or, as I said, build one here, but we haven’t come to that decision as yet,” he said.

Guyana has commissioned a feasibility study to determine whether an oil refinery should be built here.

  • rudeo

    build a refinery here?…..with yesterday’s piece that govt is cash strapped?….

  • Gtloyal

    A refinery will need more electricity than GT.

  • rudeo

    half of the 25%…read Exxon’s release

  • Fedup / GT

    I will recommend Suriname.
    Although we have a border problem with Suriname they treat us better than the Trinidadian do.
    Take that refinery money and build bridges and roads to link the whole of Guyana.

  • andyycapp

    Of course T& T and Suriname wants to refine Guyana”s oil. Makes perfect sense for them, none for Guyana. Why is Trotman even considering the idea? Instead build your own refinery and negotiate the other way, to refine some of Exxon’s. It’s not just about a refinery, there are spin off jobs in many sectors that a refinery would generate. On the flip side, you don’t build the refinery from the beginning, it would never be feasible down the road. Don’t be foolish and lazy Mr. Trotman!!

  • Christopher Wilson

    Refinery at home may be best option in future. But for now they could choose caricom countries. But they need cal all expenses and if it is beneficial to Guyana in the short term.

  • ray raufman

    Guyana would be at an advantage over Trinidad and Surinam and can get a great deal for Guyana because their refineries are not preforming to full capacity
    Guyana could build a small cheap refinery to supply Guyana and Northern Brazil market ie Manaus(pop 1 million) once the Lethem road is built . Yes Brazil have plenty oil but the cost of shipping uo the Amazon river would also put Guyana at an advantage over Brazil. Build that road quick Guyana !

  • Watching On…

    Based on the feasibility study that 2 billion dollars can go to developing renewable power, hydro solar and wind.