LATIN AMERICA ADVISOR

Energy ADVISOR

A daily publication Of the dialogue

May 6, 2022

Would Forming a State Oil Company Be Good for Guyana?

Guyana is considering the formation of a state-owned oil firm to help manage its offshore oil deposits. ExxonMobil’s floating production storage and offloading (FPSO) vessel, the Liza Destiny, is pictured. // File Photo: ExxonMobil.

Q

A

Jan Mangal, oil and gas consultant and former petroleum advisor to the president of Guyana: “There are numerous reasons why Guyana should not develop a national oil company (NOC) in the short-term, or even over the long-term, due to the climate crisis. Developing a NOC would be putting the cart before the horse. Guyana failed at most prerequisites for a successful industry. And I define success as an industry that benefits the people and future generations, and does not only benefit the oil companies, local business elites and politicians. Success also requires an industry that recognizes its impact on the climate and constrains production. Guyana failed to negotiate fair oil contracts even when it had complete leverage over ExxonMobil in 2015-2016. Guyana failed to award oil blocks in a transparent, public manner and in ways to maximize revenues for the country. After seven years, it still failed to…”

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ABOUT THE Energy ADVISOR

A sister publication of the Inter-American Dialogue’s daily Latin America Advisor, the weekly Energy Advisor captures fresh analysis from business leaders and government officials on the most important developments in oil and gas, biofuels, the power sector, renewables, new technologies, and the policy debates shaping the future of energy in the Western Hemisphere and beyond. To subscribe or for more information, contact Gene Kuleta, editor of the Advisor, at gkuleta@thedialogue.org.

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board of advisors

Nigel Blackaby
Global Head, International Arbitration Group,
Freshfields Bruckhaus Deringer

Jimena Blanco
Chief Analyst,
Verisk Maplecroft

María José Cortés
Head of ESG,
Atlas Renewable Energy

Jeffrey Davidow
Senior Counselor,
The Cohen Group

Analia Gonzalez
Leader, Arbitration & Litigation,
Laitn America, BakerHostetler

Jonathan C. Hamilton
Partner,
White & Case

Raul Herrera
Partner, Corporate &
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Arnold & Porter

James R. Jones
Chairman,
Monarch Global Strategies

Jorge Kamine
Partner, Corporate &
Financial Services,
Willkie Farr & Gallagher

Craig A. Kelly
Senior Director,
Int’l Government Relations,
Exxon Mobil

Jeremy Martin
Director,
Energy Program,
Institute of the Americas

Larry Pascal
Chairman, Americas
Practice Group,
Haynes & Boone

R. Kirk Sherr
President,
Clearview Strategy Group

Daniela Stevens
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Energy Transition and Climate Program,
Inter-American Dialogue

Doris Rodríguez
Partner,
Hunton Andrews Kurth

Alexandra Valderrama
Director,
International Government
Affairs, Chevron

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