‘25% royalty from oil must be on ballot at Sept. 1 polls’

Jun 11, 2025 News

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– Glenn Lall again calls for referendum on Exxon contract

Kaieteur News – As Guyanese prepare to head to the polls on September 1, businessman and advocate for a better oil deal, Glenn Lall, is again calling for a referendum on the current oil contract signed between the Government of Guyana and US oil major, ExxonMobil.

Lall said specifically, the referendum must allow citizens to vote on the demand for a 25% royalty instead of the current 2%, which the previous coalition government had negotiated with ExxonMobil back in 2016. There have been widespread calls for changes to the contract, and last year, some citizens had called for the matter to be put to a vote, but this was resisted by the government. A referendum is a general vote by the electorate on a single political question that has been referred to them for a direct decision. Vice President Bharrat Jagdeo had said then that while there might well be issues regarding bringing ExxonMobil to the table even with a successful referendum, he would prefer to deal with the matter after the general and regional elections.

He had said then, too, that the Guyana Elections Commission (GECOM) should focus on preparing for the 2025 general elections, and that any discussions on a referendum could be postponed until after the elections. “We have time enough to deal with that after the elections. But right now, GECOM must focus on one question, which is holding elections within the constitutionally prescribed timeframe,” Jagdeo had said.

The Vice President had highlighted that Exxon has made its position clear that it will not be up for a renegotiation of the oil deal. That deal waives all taxes and caters for it to be paid by the government out of its share. Guyana receives a 2% royalty; it allows Exxon and its co-venturers to recover up to 75% of production costs before the remaining 25% is shared between Guyana and the Stabroek Block partners. After accounting for the 2% royalty, cost recovery, and profit sharing, Guyana’s total take from the oil produced is 14.5% of the total value of the oil. Jagdeo added that any Guyanese, including himself, would want more out of the deal. “Would I like to have 75% instead of 52% in the future when all the costs are taken into consideration? We would love that. But the government of 2016 signed an agreement that says the only way you could have this amicably solved is with the agreement of the two parties,” he said.

However, Lall, who was at the forefront of that call then, has brought the matter back into the spotlight, saying Guyanese have had enough of the promises by the political leaders. Speaking during one of his social commentaries, Lall said the time for silence is over. “The days of begging these three political parties for dignity, decency, and honesty have long gone…Today, I am calling on every single Guyanese to demand that this Exxon oil contract be placed on the ballot paper come September 1.”

“Let your vote… let my vote… let every Guyanese vote for what we want from this wealth God has blessed us with. Let us choose,” he said. The businessman asked whether Guyanese want to continue to survive “on this miserable, shameful 2% royalty — the crumbs that the PPP, PNC, and AFC sold us for or do we demand a fair share — a minimum of 25% royalty — so that all of us, our children, our grandchildren, and generations to come can eat properly, live with dignity, and walk with pride?”

Noting that the choice is simple, Lall said a 25% royalty will bring real salaries that reflect an oil-producing nation. “25% will ensure quality education with qualified teachers. 25% can provide free modernised healthcare that will serve all our people. 25% will pave our roads, provide clean water, and create real jobs. 25% will pull Guyana out of darkness and into the light of prosperity,” the businessman said. He charged that if citizens sit down and accept the current 2%, then they must be prepared to live with “that same old salary, cash grants, and vouchers. And stop complaining — while billions of your wealth is being shipped out every single day.” He said the oil resources were meant to be Guyana’s, this oil was meant to be a blessing, but because of the “greedy, selfish, and heartless politicians, it has become a curse. A curse that has many of our brothers and sisters building cardboard shacks for shelter, while foreigners build castles overseas…”

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• 2016 ExxonMobil oil contract, Exxon Guyana, Glenn Lall, Guyana Oil, Oil Royalty

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