Editor OilPrice.com October 20, 2020
While the deeply impoverished South American country of Guyana is attracting the lion’s share of attention when it comes to oil, it is neighbouring Suriname where the next major petroleum discovery could occur.
ExxonMobil’s raft of discoveries in offshore Guyana, including the latest Redtail-1 find – its 18th offshore discovery in the impoverished former British colony – underscores the considerable potential held by the Guyana-Suriname Basin. The growing regional importance of Guyana and Suriname’s burgeoning oil boom was highlighted by U.S Secretary of State Michael R Pompeo visiting both countries last month. That visit was designed to show support for the newly elected leaders of both countries after they experienced political turmoil and crises. It was in early August that Irfaan Ali was sworn in as Guyana’s president after a tense and long standoff with outgoing president David Granger, who had declared victory after the March 2 election. It was early July when Suriname’s parliament chose former police chief and justice minister, Chandrikapersad Santokhi to replace Desi Bouterse who is facing murder and narco-trafficking charges. U.S energy majors, notably Exxon and Hess, have taken the lead in exploring and developing offshore Guyana while Apache is seeking to replicate their considerable success in Suriname. Those political crises, increasing Russian influence in Venezuela, and growing investment from U.S energy majors emphasizes why the U.S needs to strengthen its relationship with the deeply impoverished South American countries.