XOM - Guyana Gas Bonanza On Hold: Exxon Reportedly Faces Deadline For Stabroek Development | Benzinga
An oil consortium led by Exxon Mobil Corporation (NYSE:XOM) reportedly needs to decide by October whether to develop a large natural gas find off the coast of Guyana.
The government has been pressing for a bonanza from mostly untapped gas reserves found by the Exxon-led group, reported Reuters.
Under its production agreement, the consortium, which includes Hess Corp (NYSE:HES) and CNOOC Ltd., must return to the government by October about 20% of its massive Stabroek block if that area remains undeveloped.
Exxon stated that it expects to complete an appraisal of the gas findings by early next year and is considering how to best commercialize the natural gas, per the report.
Guyana Vice President Bharrat Jagdeo stated that 20% of the undeveloped Stabroek area ...