ExxonMobil announces 13th discovery offshore Guyana

ExxonMobil has made a new oil discovery offshore Guyana at the Yellowtail-1 well, marking the 13^th discovery on the Stabroek block. The discovery adds to the previously announced estimated recoverable resource of approximately 5.5bn boe for the block.  Yellowtail-1 is the fifth discovery in the Turbot area, which ExxonMobil expects to become a major development hub, and is located 10 km north-west of the Tilapia discovery.

‘Similar to the Liza area, successive discoveries in the Turbot area have continuously grown its shared value,’ comments Mike Cousins, Senior Vice President of ExxonMobil Exploration and New Ventures.

Exploration and development activities continue at other locations on the Stabroek block. The Stena Carron is currently completing a well test at the Longtail-1 discovery and upon completion will next drill the Hammerhead-3 well. Later in 2019, the Stena Carron will drill a second well at the Ranger discovery. The Noble Bob Douglas drillship is currently completing development drilling operations for the Liza Phase 1 development. ExxonMobil is also evaluating plans to add another exploration drillship, bringing the number of drillships offshore Guyana to four.

ExxonMobil has previously said there is potential for at least five floating production, storage and offloading (FPSO) vessels on the Stabroek block, producing more than 750,000 b/d of oil by 2025. Start-up of the Liza Phase 1 development is on track to begin by 1Q2020 and will produce up to 120,000 b/d of oil, utilising the Liza Destiny FPSO, which is expected to arrive in country in the third quarter.

Liza Phase 2 is expected to start up by mid-2022. A final investment decision (FID) is expected soon, subject to government and regulatory approvals. Upon approval, the project plans to use the Liza Unity FPSO to produce up to 220,000 b/d. Sanctioning of a third development, Payara, is also expected in 2019, with start-up projected for 2023.

ExxonMobil affiliate Esso Exploration and Production Guyana is operator of the Stabroek block, holding a 45% interest. Hess Guyana Exploration holds 30% and CNOOC Petroleum Guyana 25%.