Hess Claims Oil Production Disruptions
2023.01.05 15:13
Hess Claims Oil Production Disruptions
Budrigannews.com – Hess Corp. said on Thursday that the drilling results that are expected this month could add a seventh platform in Guyana. This would increase the country’s production beyond the planned 1.2 million barrels of oil equivalent per day.
Exxon Mobil (NYSE:) owns the U.S. oil producer. consortium led by a corporation that oversees all production in the tiny nation in South America. Plans for six floating production vessels in the nation, home to the world’s largest offshore discovery in more than a decade, have been confirmed by the group so far.
Hess Corp (NYSE:) says that the size of the 2022 Fangtooth offshore oil discovery may necessitate Guyana’s seventh platform. John Hess, Chief Executive Office, stated at a Goldman Sachs (NYSE:) conference.
He stated that the appraisal well results at Fangtooth, which are situated 11 miles (18 kilometers) northwest of the first producing field in Guyana, might be made public as soon as the end of this month.
For the six platforms that both companies confirm, Hess uses more aggressive output projections than its operating partner Exxon: by the year 2027, 1.2 million barrels of oil equivalent per day (boepd). According to Exxon’s presentations, 850,000 boepd are produced.
There are currently two operating platforms in Guyana that are producing more than 360,000 barrels of oil per day. At the end of this year, it is planned that a third Exxon production vessel will begin pumping oil. Hess stated that its construction in Asia is 93% complete.
Although six platforms have been confirmed for Guyana, only four investments have been approved by the partners thus far. He stated that the Uaru discovery’s fifth platform’s final investment decision is anticipated for this year.
Hess, Exxon, and CNOOC, a Chinese partner (NYSE:) Hess deemed the estimate of 11 billion barrels of recoverable oil in Guyana to be conservative.
On Goldman Sachs’ estimate of 20 billion barrels of reserves, Hess stated, “There are multi billion barrels remaining.”
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