Crude ramp-up to reflect 57.8% economic growth in Guyana

  • Kiana Wilburg
  • July 11, 2022
  • Trending

Non energy sectors also expected to grow

Guyana has been producing crude since 2019 and since then the country has been one of the top performing economies in Latin America.

When production began, Exxon had one floating production (FPSO) unit in place, Liza Destiny. This had production capacity of 120,000 barrels of oil per day. Since then, Exxon has added on a second FPSO, the Liza Unity which has the capacity of 220,000 barrels per day. The Finance Minister Dr Ashni Singh, has indicated that production is now above 300,000 barrels per day.

Dr Singh estimated that the growth rate of the economy is now expected to be 57.8%. This is a revised estimate up from 47.5% which was made at the beginning of 2022.

Guyana’s production will continue to increase as additional FPSOs are brought into production. SBM is currently constructing the third vessel, Liza Prosperity which will also have a production capacity of 220,000 barrels per day when it comes into service in 2024.

The Minister made these remarks while addressing a visiting delegation from Saudi Arabia. The 65-member Saudi delegation of the private and public sector was led by Deputy Minister for Investors Outreach, Badr Al Badr.

Dr. Singh also indicated that there was positive growth in non-energy sectors and expected that growth in those areas would be 7.7% up from last year’s 4.6%.

He added, “Our government, even in our earliest days of oil production, we have placed the highest level of importance on a strong non-oil economy. Our policies are focused on developing the traditional pillars of our economy and catalysing a rapidly growing, and highly competitive non-oil economy.”