Guyana’s Environmental Protection Agency (EPA) has started a review of an application from ExxonMobil Guyana for an environmental permit to develop Hammerhead oil field in Stabroek block offshore Guyana.
In 2018, ExxonMobil Corp. affiliate Esso Exploration & Production Guyana Ltd. encountered 197 ft of high-quality, oil-bearing sandstone following the drilling of the Hammerhead-1 well (OGJ Online, Sept. 10, 2018). The well was drilled to 18,057 ft in 3,373 ft of water.
ExxonMobil’s seventh oil project could push Guyana’s output past 1.5 million bbl by 2029, the country’s official department of public information said mid-July. ExxonMobil's Stabroek partner, Hess Corp., confirmed the submission in its second-quarter earnings report July 31.
Pending government and regulatory approval and project sanctioning, the development is expected to have production capacity of 120,000-180,000 gross b/d of oil and 60-120 MMcfd of gas with first oil anticipated in 2029.
Hammerhead development plan
In its project summary, ExxonMobil noted it would look for opportunities “to safely optimize that capacity” after initial start-up.
Development plans currently include drilling 14-30 production and injection wells, installation of subsea equipment, and a floating, production, storage and offloading (FPSO) vessel.
“The vessel will be capable of storing approximately 1.4-2 million bbl of oil. Third-party oil tankers will be scheduled to offload the oil from the FPSO, making the oil available for export to the international market,” according to the project summary.
The FPSO will also process associated gas from the reservoir, the management of which is being evaluated.
