"Exxon Mobil authorized a $6.8 billion expansion offshore of sparsely populated Guyana,it announced Sept. 22. The project is its seventh in just a decade within the massive South American oil development. The new project, named Hammerhead, is Exxon's first with archrival Chevron as its largest partner in Guyana after Chevron in July closed on its $53 billion acquisition of Hess."
"Hess' 30% stake in the Guyana development-arguably the largest oil discovery of the century-was considered the crown jewel of Chevron's acquisition. Exxon made the Guyana discovery 10 years ago in partnership with Hess and a Chinese company, CNOOC. Chevron and Hess prevailed with their argument that Exxon's right of first refusal over Hess' Guyana stake did not apply to an acquisition of Hess in its entirety."
"Hammerhead is expected to produce 150,000 barrels of oil per day when it comes online in 2029. The total Guyana development from the offshore Stabroek Block currently produces about 650,000 barrels daily, ramping up to more than 900,000 barrels by the end of this year. By 2030, Exxon (No. 8 on the Fortune 500) expects total production capacity of a staggering 1.7 million barrels daily of oil equivalent from eight projects."
Exxon Mobil approved a $6.8 billion offshore expansion in Guyana called Hammerhead, marking its seventh project in the Stabroek Block in a decade. Hammerhead will be the first project with Chevron as the largest partner following Chevron's $53 billion acquisition of Hess, which held a 30% stake. Hammerhead is expected to produce 150,000 barrels per day when online in 2029. The Stabroek Block currently produces about 650,000 barrels daily and is set to exceed 900,000 by year end. Exxon projects 1.7 million barrels of oil equivalent daily capacity by 2030 from eight projects. Chevron declined comment and Exxon highlighted local economic benefits.
Read at Fortune
Unable to calculate read time
Collection
[
|
...
]