ExxonMobil stacks up almost US$500 million for decommissioning fund

Last Updated on Tuesday, 9 June 2026, 21:40 by Writer

As negotiations with the government on a decommissioning fund for the safe removal of equipment and sealing of depleted wells continues, ExxonMobil on Tuesday said it had accumulated GY$102,799,831,705 (US$489,523,008.119) as its share for the exercise. 

“Talks are underway between ExxonMobil, Guyana Limited, as well as the government, on what the terms and conditions of that fund might look like,” ExxonMobil Guyana’s Vice President and Business Services Manager John Colling told a news briefing.

The GY$102,799,831,705 was listed as “asset retirement obligation” in the 2025 financial statement that was submitted to Guyana’s Corporate Registry.

The money covers the balances for 2023, 2024 and 2025. 

Mr Colling says there was no timeline for completing negotiations but described the talks as “very productive”.

He said the company wanted an agreement on the decommissioning fund that would be investor-friendly.

“Ultimately what we’re looking for is a fund that is consistent with the Petroleum Act as well as international best practices that ultimately provides the financial assurance required by the government of Guyana and is also industry best practice to encourage future investors to continue to do business here in Guyana,” he said. 

The ExxonMobil Vice President said, consistent with his company’s 45 percent stake in the Stabroek Block, that American supermajor would contribute the amount to decommissioning costs.

China National Offshore Oil Corporation (CNOOC) has 25 percent and Chevron (formerly Hess’ stake) has 30 percent stake in the Stabroek Block.

Guyana began commercial oil production for the first time in its history in 2019 from the Liza 1 well.