Petroleum industry in Guyana

Guyana has emerged as one of the newest petroleum producing regions in the world, achieving its first commercial grade crude oil draw in December 2019.

[3] With plans to further increase production to about 1.3 million barrels per day by 2027, Guyana is set to significantly expand its influence in the global oil market, presenting new economic opportunities and challenges for the country.

United Nations International Tribunal for the Law of the Sea (ITLOS) determined the exact borders in September 2007 but no further wells were drilled until 2012.

Early estimates claimed the area contained 700 million barrels of oil (a total value of US$40 billion, international crude price at the time of discovery).

[20][21][22] Natural-resources watchdog group, Global Witness, reported that Guyana may have lost as much as $55 billion in potential revenue from negotiations that favored Exxon.

Exxon refuted the claim based on unaccounted for costs of the high risk involved in exploring the "frontier hydrocarbon province".

[23] Global Witness withdrew its report in January 2021, redirecting its efforts to focus on fighting climate change.

Officials in Caracas, which has long had claims on Guyana's Essequibo region, have alleged that the concession is located in disputed waters.

The Local Content Act 2021 was also passed to require contractors to procure goods and services from Guyanese companies and nationals.