Home Fossil Energy TechnipFMC: It’s a wrap on Guyana’s flagship $1.9 billion gas-to-energy project (Video)
UK-headquartered energy technology provider TechnipFMC has put the finishing touches on its assignment at a gas-to-energy (GtE) project off Guyana’s Atlantic coast, which is envisioned to enable infrastructure buildout required to allow for natural gas to be transported from an oilfield in the waters of the prolific Stabroek Block to an integrated natural gas liquid (NGL) plant and a 300 MW combined cycle power plant at Wales on the West Bank of Demerara.
Deep Blue pipelay vessel; Source: TechnipFMC
With new hydrocarbon discoveries peppering the Guyana-Suriname basin, the black gold boom turned the country on South America’s North Atlantic coast into an exploration hotspot, prompting the Guyanese government to assign the development of natural gas resources to the pile containing its key priorities in the oil and gas industry. This led to the quest to bring Guyana’s first gas-to-shore project to life, as a way to combat the price shocks and halve electricity costs, sparking economic growth and bolstering the country’s energy security.
To that end, the Natural Resources Ministry of the country in the northeastern corner of South America engaged in multiple discussions with ExxonMobil and its Stabroek Block partners, Hess Corporation and CNOOC, to find common ground and iron out the plans to tap into and monetize the total reserves of associated gas.
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- energy transition
Posted: 3 months ago
Given Guyana’s zest for harnessing its associated gas reserves, the government set the stage to find an independent third-party operator to either work with the U.S. oil major on the project or carry out the activity on its own, tackling the design, finance, construction, and operation of gas infrastructure to support upstream developments in the country.
The solutions to put in place gas infrastructure, including the necessary pipelines to connect and monetize upstream gas, transporting up to 50 million standard cubic feet per day of natural gas from the U.S. energy heavyweight’s Liza Phase 1 and 2 offshore projects via pipeline to onshore gas processing facilities. The gas-to-power project, which became the most expensive energy venture in Guyana’s history with a $1.7 billion price tag, was anticipated to be in operation by the end of 2024.
Based on the planned development, an ExxonMobil-led consortium is in charge of constructing a 12-inch diameter pipeline network and footing the bill of around $1 billion, connecting the pipeline to the Liza Phase 1 and 2 projects in Guyana’s ultra-deep waters. The pipeline was expected to be able to offtake 130 million standard cubic feet of gas per day if the local and regional demand matrix calls for it.
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Posted: over 2 years ago
On the other hand, the country’s government has been entrusted with the construction of onshore facilities, valued at approximately $759 million and consisting of a 300 MW natural gas power plant and an NGL plant,