Latest update April 25th, 2024 12:59 AM
Feb 02, 2021 News
Kaieteur News – Cognisant of the reality that the oil and gas sector is one that is constantly evolving, Guyana’s local content laws must cater for those changes. Making these and other critical points is Arthur Deakin, an analyst at the American Market Intelligence (AMI).
For those readers unaware, AMI, which is a United States management consultant firm, is known for providing its insights which unlock opportunities in Latin America via market intelligence, research and analysis.
Deakin, during his first appearance on the Kaieteur Radio programme Guyana’s Oil & You two weeks ago, was reminded of an article, which he wrote on Guyana’s local content. In that piece, Deakin had warned that Guyana should ensure that whatever rules it is putting in place, so that it does not find itself in a position where it is biting off more than it can chew.
“That’s definitely an important aspect of Guyana’s oil development, this local content rule,” the analyst said, “I think that, you know, what Guyana needs is something, a law that is constantly evolving in the sense that it has certain clauses that adjust according to the sector, the level of development in the sector.”
In pointing to an example of where these evolving laws exist, Deakin referenced our neighbouring Brazil.
To this he articulated, “In some countries, like Brazil, we’ve seen in the past that the original local content rules for its pre-salt oil production had disproportionate fines for non-compliance and even bottlenecks that hurt the construction of FPSOs. So, if you don’t have local content that can’t adjust to the development of the sector, that you know, is sort of stuck in the past.”
He continued, “That’s going to hinder the growth at the appropriate speed of the sector. That’s kind of what I mean by that. You need something that is adequate to the situation, and I think that Guyanese participation is vital for not only the growth of the sector but the growth of the country in conjunction.”
But now, as it stands, Deakin indicated that Guyana does not have the volume to address one Floating Production Storage and Offloading (FPSO) vessel. In light of this foregoing and with more FPSOs to come, Deakin pointed out that what Guyana still needs is proper training for its citizens, as well as more resources invested in educating its citizens regarding the oil sector.
Jagdeo giving Exxon 102 cent to collect 2 cent.
Apr 25, 2024
By Rawle Toney Kaieteur Sports – The French Diplomatic Office in Guyana, in collaboration with the Guyana Olympic Association and UNICEF, hosted an exhibition on Tuesday evening at the...Kaieteur News – Dr. Bharrat Jagdeo, the General Secretary of the People’s Progressive Party, persists in offering... more
By Sir Ronald Sanders Waterfalls Magazine – On April 10, the Permanent Council of the Organization of American States... more
Freedom of speech is our core value at Kaieteur News. If the letter/e-mail you sent was not published, and you believe that its contents were not libellous, let us know, please contact us by phone or email.
Feel free to send us your comments and/or criticisms.
Contact: 624-6456; 225-8452; 225-8458; 225-8463; 225-8465; 225-8473 or 225-8491.
Or by Email: [email protected] / [email protected]