ECNETNews, New York, NY, March 14, 2025: A consortium led by U.S. energy powerhouse ExxonMobil has announced an ambitious initiative for its eighth energy project in Guyana, projected to produce up to 1.5 billion cubic feet per day (bcfd) of natural gas and 290,000 barrels per day of condensate. This innovative project will feature a floating production facility designed to efficiently export these critical energy resources, as outlined in formal documents submitted to the Guyanese government.
The Longtail Project encompasses the development of the Longtail, Tripletail, and Turbot offshore discoveries. Details were revealed in the consortium’s request for environmental authorization, recently made public by the Guyanese government.
Longtail is poised to become Exxon’s most significant gas undertaking in Guyana to date, aligning perfectly with the government’s ongoing initiatives to bolster gas production, aimed at supporting various sectors, including petrochemical plants and liquefied natural gas (LNG) projects.
As detailed in the environmental documentation, the project will involve drilling up to 60 production and injection wells, further catalyzing growth in Guyana’s rapidly expanding energy sector.
In a contrasting development, the Guyanese government has officially terminated the Frontera-CGX joint venture by canceling its oil prospecting license for the Corentyne Block. This decision, anticipated since February when the government issued a 30-day warning, signals the end of their operations in the region.
The Corentyne block was viewed as a potential diversification avenue in Guyana’s oil landscape, which is predominantly driven by ExxonMobil’s activities in the Stabroek Block. Despite their underdog status, the Frontera-CGX partnership aimed to secure a foothold, but they are now out of contention. Both companies have raised objections to the cancellation, yet no additional information regarding potential legal actions or negotiations has surfaced.
Exxon’s influence over Guyana’s offshore oil wealth has intensified. Alongside its partners Hess and CNOOC, Exxon is advancing multiple projects, including the latest Longtail endeavor. The company’s initiatives have led to a remarkable production rate exceeding 650,000 barrels per day (bpd) across various operations in the country, positioning Exxon to rival the production levels of some OPEC nations.
While international oil prices continue to fluctuate, with WTI around $67 and Brent slightly above $70, smaller entities like Frontera and CGX are encountering significant challenges. In contrast, Exxon is strategically positioned to maintain its dominance in the region, reinforcing a clear message: success in Guyana’s drilling landscape requires both substantial financial resources and the long-term vision of a supermajor.
