ExxonMobil raises resource estimate for offshore Guyana

ExxonMobil Corp. has increased its estimate of the discovered recoverable resources for the Stabroek block offshore Guyana to more than 4 billion boe. The new estimate, up from 3.2 billion boe, supports a third phase of development and the consideration of two additional phases, the company said.

The increase follows testing at the Liza-5 appraisal well, a discovery at Ranger, incorporation of the eighth discovery, Longtail, into the Turbot area evaluation and completion of the Pacora discovery evaluation (OGJ Online, Jan. 5, 2018; Feb. 28, 2018; June 20, 2018).

Guyana’s first development, Liza Phase 1, will use a floating production, storage, and offloading vessel to produce 120,000 b/d starting by early 2020 (OGJ Online, June 12, 2018). Liza Phase 2, which is targeted for sanctioning by yearend, will use an FPSO vessel designed to produce up to 220,000 b/d and is expected to be producing by mid-2022.

The Liza-5 well successfully tested the northern portion of Liza field and, along with giant Payara field, will support a third phase of development in Guyana. The Payara development will target sanctioning in 2019 and will use an FPSO vessel designed to produce about 180,000 boe/d as early as 2023.

The Longtail well established the Turbot-Longtail area as a potential development hub for recovery of more than 500 million boe. Additional prospects to be drilled in this area could increase this estimate, ExxonMobil said.

The collective discoveries on the Stabroek block to date have established the potential for up to five FPSOs producing more than 750,000 b/d by 2025. There is potential for additional production from undrilled targets and plans for rapid exploration and appraisal drilling, including at the Ranger discovery, the company said.

Esso E&P Guyana is operator and holds a 45% interest in the Stabroek block. Hess Guyana Exploration Ltd. holds 30% interest and CNOOC Nexen Petroleum Guyana Ltd. holds 25% interest.