Berbice region to be central hub for gas supporting infrastructure – Pres. Ali

As Guyana builds out its gas industry, President Irfaan Ali sees the Berbice region playing an integral role in its development.

According to the President, Berbice is set to become a hub for “gas-supporting infrastructure.”

“A mall, hospital, industries and, of course, we have already said that the gas production facility – whether it is distribution or logistics, whether it’s the liquids we are talking about, Berbice would be a central place [where] the gas facilities and gas supporting infrastructure will be built,” the Guyanese head-of-state pointed out on Feb. 9.

Georgetown, Guyana’s capital, currently serves as the main onshore hub for oil activities.

But Berbice is blossoming and is pegged for major development.

CGX Energy is building a massive port facility at Palmyra, to service Guyana’s needs and to support Suriname’s oil and gas industry.

The Stabroek block partners – ExxonMobil, Hess and CNOOC – through the Greater Guyana Initiative (GGI) are contributing GY$3.7 billion (approximately US$17.7 million) for the construction of the first-ever multi-purpose facility. This will be located right at Palmyra as well.

The region will also house Guyana’s first oil and gas and hospitality training institute at Port Mourant. The first phase – a floating production, storage and offloading (FPSO) vessel facility simulator (FacTor) – was recently commissioned.

A refinery is contemplated to be built at Crab Island, at the mouth of the Berbice River.

The current focal point of Guyana’s upstream gas industry is the massive Gas-to-Energy project. The initiative is expected to allow for a 50% reduction in electricity costs and a new era of industrialization. Guyana and an ExxonMobil-led consortium are executing the project. Exxon is responsible for building a pipeline to bring gas from the Liza Phase 1 and 2 projects in the Stabroek block to onshore facilities. The Guyana government contracted US-based CH4/Lindsayca to construct the integrated facility at Wales on the West Bank of Demerara. It entails a 300-megawatt (MW) power plant and a natural gas liquids (NGL) facility.

The government has also invited proposals from private companies for the design, finance, construction, and operation of essential gas infrastructure to support offshore developments in the South American nation.

national gas strategy is being drafted, which will serve as a roadmap for the country’s gas development endeavors.

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