GEORGETOWN, Feb 28 - A consortium led by U.S. major Exxon Mobil in Guyana had recovered $33.9 billion of the $41.1 billion spent at its Stabroek offshore block by the end of January, according to Guyana's Vice President Bharrat Jagdeo.
Since discovering oil in Guyana a decade ago, the Exxon-led group has rapidly developed resources in the small South American nation, with crude output surpassing 600,000 barrels per day (bpd) last year.
The consortium, having control over all the country's output, can retain and export up to 75% of the crude produced as "cost oil" under the cost recovery mechanism in the production sharing agreement. The Guyanese government is entitled to half of the remaining barrels.
The total expenditure, as outlined by the Vice President, encompasses the consortium's investment in exploring over 30 wells in the block and developing six government-approved oil and gas projects.
While Guyana scrutinizes these expenses, some audits are still pending.
With the consortium advancing towards approving and developing new projects – currently planning the eighth project, Longtail – additional costs will be incurred across the entire block. However, the companies are also recuperating at an accelerated pace annually due to the rise in production speed.
Government officials in Guyana anticipate a growth in their share of profit oil in the years ahead.