Guyana Achieves Third Highest Global Ranking in Per Capita Oil Production

Guyana’s Ascent to Global Energy Prominence: A Story of Rapid Transformation

Guyana’s emergence as a major player in the global energy landscape is a remarkable tale of swift economic transformation, driven primarily by the discovery and exploitation of vast offshore oil reserves. This newfound wealth has propelled the small South American nation to become the third-largest per-capita oil producer globally, a feat achieved in a remarkably short period. The discovery of over 11 billion barrels of oil equivalent resources in the Essequibo region, representing two-thirds of Guyana’s landmass, by ExxonMobil in 2015, marked a pivotal moment, setting the stage for an unprecedented economic boom. This discovery not only reshaped Guyana’s economic trajectory but also positioned it as a significant player in the global energy market. The subsequent rapid development of the oil and gas sector has led to an astounding 62.3% real GDP growth in 2022, the highest globally, cementing Guyana’s status as one of the world’s fastest-growing economies.

ExxonMobil, the driving force behind this transformative journey, has played a crucial role in Guyana’s oil and gas development. The company’s investments and operations have not only propelled oil production but also contributed significantly to local economic growth. Celebrating five years of oil production, ExxonMobil highlighted the transformative potential of Guyana’s energy sector, emphasizing the dramatic changes witnessed since the commencement of the Liza Phase 1 project. With projections indicating a production capacity exceeding 1.7 million barrels per day by 2030 and a gross output reaching 1.3 million barrels daily, Guyana’s future as a major oil producer appears secure. ExxonMobil’s ambitious plans include the launch of three offshore mega-projects and five additional developments by the end of the decade, further solidifying Guyana’s position in the global energy arena.

The impact of this rapid economic growth has been multifaceted, extending beyond the energy sector to influence various aspects of Guyanese society. A significant emphasis has been placed on ensuring that the benefits of oil wealth reach the citizens directly. The government, led by President Irfaan Ali, has implemented various initiatives aimed at distributing the newfound prosperity among the population. These initiatives include a one-off cash grant of $100,000 for every adult citizen, providing immediate financial relief and empowering individuals to invest in their future. Furthermore, the government has committed to eliminating tuition fees at the University of Guyana and all government technical institutions starting in January 2025, thereby expanding access to higher education and fostering human capital development. These measures aim to ensure that the oil wealth translates into tangible improvements in the lives of ordinary Guyanese citizens.

ExxonMobil’s commitment to local development extends beyond oil production, encompassing significant investments in the local economy and workforce development. The company has prioritized job creation for Guyanese citizens, with over 6,000 individuals currently employed in industry-related jobs. Furthermore, ExxonMobil has actively engaged with local businesses, awarding contracts worth over US $2 billion to over 1,700 Guyanese companies. This focus on local procurement not only stimulates economic activity but also fosters the development of local capacity and expertise. ExxonMobil’s commitment to fostering a brighter future for all Guyanese, as articulated by Alistair Routledge, President of ExxonMobil Guyana, underscores the company’s dedication to creating a sustainable and inclusive development model. This approach recognizes the importance of ensuring that the benefits of oil and gas development are shared widely across Guyanese society.

Guyana’s success story has reverberated across the Caribbean region, inspiring other nations to explore their own offshore resources. As the region’s undisputed energy leader, Guyana serves as a compelling example of how oil wealth can be leveraged to drive economic transformation and improve the lives of citizens. The country’s experience offers valuable lessons for other nations seeking to harness their natural resources for sustainable development. Guyana’s achievements underscore the potential of oil to serve as a catalyst for economic growth and prosperity, particularly in developing countries. However, the country’s experience also highlights the importance of responsible resource management, ensuring that the benefits are distributed equitably and that environmental considerations are prioritized.

As Guyana continues its remarkable journey of economic transformation, the collaborative efforts between ExxonMobil and the Government of Guyana play a pivotal role in shaping the country’s future. This partnership represents a shared commitment to sustainable development, ensuring that the benefits of oil wealth are maximized for the benefit of all Guyanese. Guyana’s story is a testament to the transformative power of natural resources, demonstrating how strategic development can lead to rapid economic growth and improved living standards. The country’s experience stands as a beacon of hope and inspiration for other nations seeking to leverage their natural resources for sustainable development and prosperity. The continued collaboration between ExxonMobil and the Government of Guyana holds the key to unlocking even greater potential and ensuring a brighter future for generations to come.