Exxon Plans to Greenlight Giant Guyana Oil Discovery in 2017

By
Joe Carroll
Updated on
  • Liza field would employ floating production and storage vessel
  • SBM Offshore contracted for engineering and design of ship

Exxon Mobil Corp. plans to formally approve investing in the 1.4-billion barrel Liza oil discovery off the coast of Guyana by the end of 2017.

Exxon hired SBM Offshore NV to design a floating production and storage vessel that will handle crude pumped from the field 120 miles (193 kilometers) off Guyana’s coast, the Irving, Texas-based explorer said in a statement on Tuesday.

If Exxon’s board ultimately approves moving forward with the project, SBM would construct, install and operate the vessel, according to the statement. In the initial phase of development, Exxon envisions the field producing 100,000 barrels a day, Jeffrey Woodbury, vice president of investor relations, said during an Oct. 28 conference call with analysts.

Exxon owns a 45 percent stake in the Liza field. Its partners include Hess Corp., which owns 30 percent, and CNOOC Ltd. with a 25 percent interest. Exxon is drilling additional wells near the Liza discovery with Stena AB’s Stena Carron drillship, Woodbury said during the call.

You might like:
  1. U.S. Stocks Decline on Tech Woes, Treasuries Slide: Markets Wrap
  2. Billionaire Banking Heir Matthew Mellon Dies at 54
  3. Deutsche Bank Inadvertently Made a $35 Billion Payment in a Single Transaction
  4. Down $1 Trillion, World’s Worst Stocks Near Make-or-Break Level
  5. China’s $1 Billion White Elephant