Guyana could be losing out by as much as US$108m per year because of its low royalty rate of 2% in the agreement with ExxonMobil’s subsidiary and much more if as expected production rises in the future to as much as 400,000 barrels of oil per day in the Stabroek Block.
This is the contention of Sunday Stabroek business columnist Tarron Khemraj who also argued that the lack of robust economic research capacity here will cost the country dearly in deals such as the controversial Production Sharing Agreement (PSA) with Esso Exploration and Production Guyana Limited (EEGPL).
Khemraj