Opposition demands urgent meeting with ExxonMobil over ‘poor performance’

Apr 19, 2021 News

Kaieteur News-After noting several media reports that the Liza Destiny’s gas compressor has malfunctioned for a fourth time, along with queries about the safet

Opposition Leader, Joseph Harmon

y of operations offshore Guyana, Leader of the Opposition, Joseph Harmon, has requested an urgent meeting with ExxonMobil Guyana President, Alistair Routledge and his Executives.
Harmon informed the media that he took this course of action as he shared a letter that was dispatched to Routledge recently.
In the missive dated April 15, last, the Opposition Leader said, “This reported lingering malfunctioning of equipment that continues to delay the termination of excess flaring of produced gas, plus the significant reduction of operations to a bare minimum production level, are of considerable concerns to the APNU+AFC Opposition, which as you are aware, represents almost half of the Guyanese population in the National Assembly.”

Harmon added, “I am in receipt of numerous queries from our constituents, civil society and concerned citizens expressing their worry that EEPGL’s performance since inception appear to be far below expectations and is eroding their confidence in a safe and environmentally

The flaring that continues on the Liza Destiny FPSO

sound operation. Similar queries have been received by my colleague Members of Parliament and my office.”
Based on the foregoing, Harmon requested to have an urgent meeting at a time that is mutually convenient for both parties. The discussion on issues that have led to Exxon’s poor performance to date, will seek to understand the root cause(s) of equipment failures resulting in excessive flaring and reduced production, Exxon’s plan for permanently addressing these root cause(s), and the short and long term economic and environmental implications for Guyana.

ExxonMobil Guyana Head, Alistair Routledge

Furthermore, Harmon informed Routledge that he intends to be accompanied at the briefing by senior Members of Parliament including the Shadow Minister for Oil and Gas, David Patterson.
Kaieteur News would have reported almost one week ago that ExxonMobil’s gas compressor system for the Liza Destiny oil vessel had malfunctioned for the fourth time following the commencement of oil production in December 2019.
This latest mishap occurred even before the final test run could be completed on the equipment that had undergone “repairs and upgrades” in February, last. The new problem this time around, relates to the discharge silencer for the gas compressor.

Since this latest misfortune, ExxonMobil has reduced production from 120,000 barrels of oil per day (bpd) to 30,000 bpd. It is also flaring four to five million cubic feet of gas on a daily basis.
The Government has since noted that it is highly disappointed in the operator’s failure to resolve the matter once and for all. Vice President, Dr. Bharrat Jagdeo recently noted that he will be going after the agreements between ExxonMobil and the vessel’s manufacturer, SBM Offshore to determine liability.