Last Updated on Tuesday, 18 August 2026, 21:32 by Writer
Guyana will now rake in more barrels of oil now that ExxonMobil and its co-venturers have recovered the almost US$40 billion in costs for exploration and other operations, President Irfaan Ali said Tuesday.
He told a news conference that the formula of cost oil and profit oil remains in keeping with the 2016 production sharing agreement between the government and the ExxonMobil-led joint venturers.
However, he said that the allocation of barrels of oil has changed now that the remaining US$5 billion in expenditure has been off.
Simplifying the calculation, he explained that instead of 75 out of every 100 barrels of oil produced going to cost recovery, now only 20 barrels would be assigned to operating and other costs.
As a result, the remaining 80 barrels would be split amongst Guyana with 39.8% up from 12.5%, and ExxonMobil, China National Offshore Oil Corporation (CNOOC) and Chevron.
ExxonMobil Guyana earlier this year said it was able to accelerate its recovery of expenses due to the spike in world oil prices in recent months.
The US-Iran conflict has seen oil prices soar above US$100 per barrel up from about US$45 per barrel.
Meanwhile, he said Guyana was poised to increase its production from the Stabroek Block to 1 million barrels per day, up from between 900,000 and 920,000 barrels with the arrival of the fifth floating production, storage and offloading vessel from Singapore later this month.
He said the 1 million barrel mark is expected to be achieved during the October-December fourth quarter.
