In this webinar, panelists examined US policy towards the Caribbean during the first year of the Biden Administration, with a focus on notable issues in need of attention and the opportunity to discuss these issues when the US hosts the Summit of the Americas in June 2022
Presenter
Sir Ronald Sanders
Ambassador of Antigua and Barbuda to the United States and the Organization of American States
Download the Working Paper presented by Sir Ronald Sanders here.
Navigating Guyana’s Oil and Gas Odyssey: Infrastructure and SustainabilityThe GBJ and CPC’s recent webinar, “Transforming Guyana, Season II, Episode IV: Navigating Guyana’s Oil and Gas Odyssey, Infrastructure and Sustainability,” brought together a panel of distinguished speakers, each offering unique insights into the challenges and opportunities that lie ahead for Guyana.
As we delve into the wealth of wisdom shared by Arthur Deakin, Terrence Blackman, David Lewis, and David Patterson, it becomes evident that Guyana’s journey toward harnessing its oil and gas potential is not without its complexities.
Arthur Deakin, Co-director at Americas Market Intelligence, succinctly encapsulated Guyana’s burgeoning status within the oil and gas industry. He stated, “Guyana is the fastest-growing new oil province in the last decade, by far.” This meteoric rise is undoubtedly a cause for celebration but also demands a vigilant approach to sustainability. Deakin highlighted the importance of allocating a percentage of the National Resource Fund (NRF) to climate resilience and adaptation efforts, emphasizing the need for a legal mandate to balance fossil fuel production with a low-carbon strategy. He also underscored Guyana’s unique opportunity to monetize carbon credits and offsets from its expansive forest coverage, making it a potential leader in Latin America’s environmental efforts.Regarding sustainability,
Dr. Terrence Blackman, Founder of the Guyana Business Journal, emphasized the urgency of addressing electricity issues. He articulated, “You have to do something concrete about electricity quickly, cheaply, and now to sustain immigration and all other things being discussed.” This call to action underscores the symbiotic relationship between infrastructure development and population growth driven by the burgeoning industry. Indeed, the industry is propelling Guyana into the future.
Dr. David Lewis, Vice President of Manchester Trade Ltd. Inc. and Co-Chair of the Caribbean Policy Consortium, painted a picture of Guyana’s potential as he envisioned a future where the nation boasts the “most efficient, diverse, and modern utility in the world.” He challenged Guyana to rise to the occasion and efficiently manage the benefits of its newfound wealth, acknowledging the unprecedented nature of its engagement with global energy giant Exxon. Lewis also stressed the significance of human resources in this transformation, highlighting the need to attract talent from various sectors to compensate for decades of ‘brain drain.
Lastly, Honorable David Patterson, Shadow Minister for Oil & Gas and Former Minister of Infrastructure in Guyana, emphasized the importance of a comprehensive infrastructure plan. He noted, “With an overall infrastructure plan, our investors and potential partners can have a birds-eye view of the landscape, allowing them to make informed decisions.” However, he acknowledged the inherent challenges in reconciling Guyana’s aspiration to be an environmentally conscious, ‘green’ country with its role as an emerging oil and gas producer.The webinar illuminated the intricate web of opportunities and dilemmas facing Guyana after its oil and gas boom. As it strides forward on this transformative journey, Guyana must strike a delicate balance between economic development and environmental responsibility while harnessing the power of its people and infrastructure to shape a prosperous future.
In the words of David Lewis, “Guyana is a work in progress,” and it is a nation poised to write a compelling narrative of growth, sustainability, and prosperity.
Vice President, Manchester Trade Ltd. Inc. & Co-Chair, Caribbean Policy Consortium
Quotations
Arthur Deakin
“Guyana is the fastest-growing new oil province in the last decade, by far.”
“I think there is an opportunity to allocate a percentage of the NRF to climate resilience and climate adaptation works. I think if that’s mandated by law, that would be a very important step towards balancing this fossil fuel production with a low-carbon strategy.”
“There’s a lot of carbon credits and offsets from Guyana’s forest coverage that can be monetized. [Guyana] is the country with the largest forest coverage in Latin America, behind maybe Suriname.”
“There’s still a question mark on how much gas there actually is in the Stabroek block, and that can definitely impact Guyana’s to develop a downstream industry. But the initial plans for gas-to-shore, there’s not enough gas for those industries.”
Terrence Blackman
“You have to do something concrete about electricity quickly, cheaply and now in order to sustain immigration and all other things being discussed.”
“In a sense, we have the industry pulling the country into the future.”
David Lewis
“There is no reason that within the next two, three years, Guyana should not have the most efficient, diverse and modern utility in the world…It is there, it can be done.”
“Guyana is work in progress. It’s work in progress because Guyana has been blessed, and cursed at the same time, to have to manage the benefits of this largess and the engagement with one of the top 10 global organizations [Exxon] that has ever existed without any real preparation to do that before.”
“The issue of human resources is critical…People are realizing that bringing people in from different categories where we have a deficit in Guyana is a plus to a country that has suffered from ‘brain drain’ for decades.”
David Patterson
“With an overall infrastructure plan, our investors and potential partners can have a birds-eye view of the landscape allowing them to make informed decisions.”
“We haven’t made the linkage and definitions between where we originally wanted to be – a totally nice, green country – and that of an oil and gas producing country. There are conflicts.”
On the evening of August 16, 2023, an enlightening and transformative dialogue unfolded at the Chancellor’s Hall, Senate House, University of London. This gathering, titled “Navigating a Changing Guyana: Pathways to Prosperity in the Era of Oil and Gas,” was meticulously organized to delve into the profound implications of Guyana’s burgeoning oil and gas sector. The collaboration between The Guyana Business Journal & Magazine (GBJ), the Caribbean Policy Consortium, Manchester Trade Inc., Guyana SPEAKS, and The Guyana UK Social Development Association brought together distinguished figures from diverse disciplines.
Renowned experts from the private and public sectors in Guyana and the Diaspora converged in thought-provoking discussions, offering invaluable insights into the array of opportunities and challenges. The centerpiece of the evening was a comprehensive UK Diaspora Oil & Gas Update on the ExxonMobil–Guyana Partnership, delivered by Mr. Alistair Routledge, President of Esso Exploration and Production Guyana Ltd.
Routledge disclosed pivotal information about Guyana’s rapidly evolving oil and gas sector during this illuminating presentation. He projected that Guyana’s annual earnings from this sector would soar impressively to US$10 billion by 2030. Additionally, he revealed ExxonMobil’s plans to submit its Field Development Plan (FDP) for its sixth Whiptail project in October 2023.Routledge emphasized, “We now have sanctioned five major developments… those cumulatively amount to an investment commitment of well in excess of US$40 billion. This represents a massive investment for the country and is expected to deliver approximately US$10 billion a year of revenue to the State by the end of this decade.”
In a testament to ExxonMobil’s dedication to Guyana’s progress, Routledge underscored the company’s role in ensuring a positive impact on the nation. This includes bolstering the country’s financial resources and fostering local content opportunities. He highlighted that all proceeds from the oil industry earmarked for Guyana are funneled into the Natural Resource Fund (NRF), contributing to the nation’s overall development.
The event featured two enriching panels addressing the monumental significance of Guyana’s current situation, the many opportunities that await, and the emerging business imperatives crucial for future prosperity. Esteemed panelists, including Mr. Carl Greenidge, Dr. Riyad Insanally, Mr. Faizal Khan, Dr. Juanita Cox, Dr. Rosh Khan, and Mr. Allistair Routledge, brought their expertise to illuminate the discussions.
Dr. Terrence Blackman, the event’s host and facilitator, expressed his contentment with the outcome, stating, “This event underscores the importance of proactive dialogue in shaping Guyana’s future. With vast opportunities on the horizon, it’s imperative that we ensure a holistic and inclusive approach to harnessing the potential that the oil and gas sector promises, not only for Guyana but also for our extended diaspora.”
The forum proved invaluable for networking, collaboration, and the sharing of visionary perspectives. It garnered substantial attention from diverse stakeholders deeply invested in steering Guyana’s development trajectory.
Program
Introductory Remarks
Terrence Richard Blackman, Guyana Business Journal & Magazine
Mr. Rod Westmaas, Guyana SPEAKS
Mr. Orin Alexander, The Guyana UK Social Development Association (GUSDA)
Dr. David Lewis, Caribbean Policy Consortium & Manchester Trade Inc.
Keynote Address: UK Guyanese Diaspora Oil & Gas Update Introduction of Keynote Speaker, Dr. Riyad Insanally, CPC Fellow, Former Guyanese Ambassador to the United States
The ExxonMobil–Guyana Partnership, Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd
Panel Discussion: The Moment & The Opportunity for Guyana
Dr. Riyad Insanally, Moderator Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd. Mr. Carl Greenidge, Advisor on Borders, Former Foreign Minister, Guyana
Panel Discussion: Emerging Business Opportunities: Leveraging the UKDiaspora in Guyana’s Development
Dr. Juanita Cox, Moderator, Dr. Rosh Khan, President – ACE Consulting Group, SocialRank Media, Masterclass Institute (FranklinCovey Guyana), Ms. Mich`ele Small, Development Finance Professional, Mr. Faizal Khan, Chairman, British Chamber of Commerce (BritCham) Guyana
Panelists and Speakers
Sitting (L to R): Michele Small, Allistair Routledge, Terrence Blackman, Juanita CoxStanding (L to R): Riyad Insanally, David Roberts, Orin Alexander, Faisal Khan, Carl Greenidge, Rosh Khan, Rod Westmaas, John Mair, David Lewis
Gallery
Dr. Terrence Richard Blackman, Guyana Business Journal & MagazineThe ExxonMobil–Guyana Partnership, Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd.The ExxonMobil–Guyana Partnership, Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd.The ExxonMobil–Guyana Partnership, Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd.The ExxonMobil–Guyana Partnership, Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd.The ExxonMobil–Guyana Partnership, Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd.
On the evening of August 16, 2023, an enlightening and transformative dialogue unfolded at the Chancellor’s Hall, Senate House, University of London. This gathering, titled “Navigating a Changing Guyana: Pathways to Prosperity in the Era of Oil and Gas,” was meticulously organized to delve into the profound implications of Guyana’s burgeoning oil and gas sector. The collaboration between The Guyana Business Journal & Magazine (GBJ), the Caribbean Policy Consortium, Manchester Trade Inc., Guyana SPEAKS, and The Guyana UK Social Development Association brought together distinguished figures from diverse disciplines.
Renowned experts from the private and public sectors in Guyana and the Diaspora converged in thought-provoking discussions, offering invaluable insights into the array of opportunities and challenges. The centerpiece of the evening was a comprehensive UK Diaspora Oil & Gas Update on the ExxonMobil–Guyana Partnership, delivered by Mr. Alistair Routledge, President of Esso Exploration and Production Guyana Ltd.
Routledge disclosed pivotal information about Guyana’s rapidly evolving oil and gas sector during this illuminating presentation. He projected that Guyana’s annual earnings from this sector would soar impressively to US$10 billion by 2030. Additionally, he revealed ExxonMobil’s plans to submit its Field Development Plan (FDP) for its sixth Whiptail project in October 2023.Routledge emphasized, “We now have sanctioned five major developments… those cumulatively amount to an investment commitment of well in excess of US$40 billion. This represents a massive investment for the country and is expected to deliver approximately US$10 billion a year of revenue to the State by the end of this decade.”
In a testament to ExxonMobil’s dedication to Guyana’s progress, Routledge underscored the company’s role in ensuring a positive impact on the nation. This includes bolstering the country’s financial resources and fostering local content opportunities. He highlighted that all proceeds from the oil industry earmarked for Guyana are funneled into the Natural Resource Fund (NRF), contributing to the nation’s overall development.
The event featured two enriching panels addressing the monumental significance of Guyana’s current situation, the many opportunities that await, and the emerging business imperatives crucial for future prosperity. Esteemed panelists, including Mr. Carl Greenidge, Dr. Riyad Insanally, Mr. Faizal Khan, Dr. Juanita Cox, Dr. Rosh Khan, and Mr. Allistair Routledge, brought their expertise to illuminate the discussions.
Dr. Terrence Blackman, the event’s host and facilitator, expressed his contentment with the outcome, stating, “This event underscores the importance of proactive dialogue in shaping Guyana’s future. With vast opportunities on the horizon, it’s imperative that we ensure a holistic and inclusive approach to harnessing the potential that the oil and gas sector promises, not only for Guyana but also for our extended diaspora.”
The forum proved invaluable for networking, collaboration, and the sharing of visionary perspectives. It garnered substantial attention from diverse stakeholders deeply invested in steering Guyana’s development trajectory.
Program
Introductory Remarks
Terrence Richard Blackman, Guyana Business Journal & Magazine
Mr. Rod Westmaas, Guyana SPEAKS
Mr. Orin Alexander, The Guyana UK Social Development Association (GUSDA)
Dr. David Lewis, Caribbean Policy Consortium & Manchester Trade Inc.
Keynote Address: UK Guyanese Diaspora Oil & Gas Update Introduction of Keynote Speaker, Dr. Riyad Insanally, CPC Fellow, Former Guyanese Ambassador to the United States
The ExxonMobil–Guyana Partnership, Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd
Panel Discussion: The Moment & The Opportunity for Guyana
Dr. Riyad Insanally, Moderator Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd. Mr. Carl Greenidge, Advisor on Borders, Former Foreign Minister, Guyana
Panel Discussion: Emerging Business Opportunities: Leveraging the UKDiaspora in Guyana’s Development
Dr. Juanita Cox, Moderator, Dr. Rosh Khan, President – ACE Consulting Group, SocialRank Media, Masterclass Institute (FranklinCovey Guyana), Ms. Mich`ele Small, Development Finance Professional, Mr. Faizal Khan, Chairman, British Chamber of Commerce (BritCham) Guyana
Panelists and Speakers
Sitting (L to R): Michele Small, Allistair Routledge, Terrence Blackman, Juanita CoxStanding (L to R): Riyad Insanally, David Roberts, Orin Alexander, Faisal Khan, Carl Greenidge, Rosh Khan, Rod Westmaas, John Mair, David Lewis
Gallery
Dr. Terrence Richard Blackman, Guyana Business Journal & MagazineThe ExxonMobil–Guyana Partnership, Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd.The ExxonMobil–Guyana Partnership, Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd.The ExxonMobil–Guyana Partnership, Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd.The ExxonMobil–Guyana Partnership, Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd.The ExxonMobil–Guyana Partnership, Mr. Alistair Routledge, President, Esso Exploration and Production Guyana Ltd.
“As the owner of the resource, countries should understand that they have a right to ask for some benefit from the money they’re spending…The good thing about doing this now is that if you participate in the oil and gas sector with major companies and their contractors, you’re working alongside and learning from best-in-class companies in the world. That participation in the sector is critically important to building capacity.”
“When we invest, we get modern salaries and wages – profits. If you put that back in the local economy, then we can build our capital markets and have the capacity to invest, using the business skills and the capital, in other sectors. That’s what allows us to transform our economies rather than just participate in the sector.”
Joel Bhagwandin:
“Up to this point, we have 838 companies that are registered with the Local Content Secretariat. Of these, we have 752 companies, about 90% of the total, that are 100 percent Guyanese-owned…about 80 to 90 percent of these companies have contracts in the oil and gas sector.”
“It is important to note that the local content legislation is specific to oil and gas; all the other sectors are open to foreign companies and foreign participation.”
Terrence Blackman:
“To give a proper, objective report, there are challenges and opportunities. We should always have both of them sitting on the table.”
“I think it’s important for us to have, at times, a sharp critique of what we’re doing as a way to [help us] form consensus that moves the country forward in an equitable manner.”
Anthony Bryan:
“One message that comes through is that increased local content will remain elusive unless it is supported by positive action on the part of government and the firms that account for most of the expenditure.”
“Local content optimizes the level of usage of local goods, services, people, business, so all in all, it can’t really be a bad thing.”
Thomas Rodriguez:
“Communication is very important and those who have the guts to share terms of reference and invite others to contribute…there’s a lot of very knowledgeable and experts in any country, but not everyone has the same means to implement something.”
“Oil and gas is a very dynamic environment when it comes to technology and skills, so we always need to be updated and have ambassadors, teachers to relay information to students and existing workers.”
André Brändli:
“There’s a shortage of skilled labor. There’s a small pool of Guyanese with tertiary degrees…then the oil and gas industry competes successfully for those few employees that have skills, which leads to other problems.”
“Do you want to close off and be protective, or do you want to provide a playing ground where foreign companies come in, enjoy being here and as a fringe benefit, train local people.”
“Guyana is a country that didn’t have resources they were able to monetize for the longest time. I think with the onset of the oil era, we are in a different situation and we should be able to use that money for the benefit of the Guyanese people.”
This webinar is a collaboration between The Institute of International Relations, the Caribbean Policy Consortium in Collaboration and the American Bar Association (BAR), Criminal Justice Section
Guyana stands to earn tens of billions of US dollars over the next two decades from developing the burgeoning oil and gas sector. What does this mean for Guyana and, importantly, the hundreds of thousands in the Diaspora? What are the pathways to our collective prosperity?
To answer some of these questions, The Guyana Business Journal & Magazine (GBJ), the Caribbean Policy Consortium, and Manchester Trade Inc., with the support of the Institute of Caribbean Studies, hosted a public forum Navigating a Changing Guyana: Pathways to Prosperity in the Era of Oil and Gas, a free public forum on Wednesday, June 21, from 5:00-7:00 p.m. at The Gathering Spot 1720 I St NW, Washington, DC 20006)
The free event brought together experts from the private and public sectors in Guyana and the Diaspora to engage the audience and share views on these questions. Representatives of ExxonMobil shared a Diaspora Oil & Gas Update, and our two panels examined Educational, Environmental, and Emerging Business imperatives.
Panelists included Dr.Ivelaw Griffith, Dr. Riyad Insanally, Dr. Ulric Trotz, Tamara Maxwell, and Oslene Carrington.
“To ensure economic diversification and long-term growth, we need to be looking at the experiences of our close neighbors and countries far afield.”
“We need to avoid the curse of transfers and subsidies on a widespread scale…We need to look at the application of sound economic theory to be applied to the political economy.”
“We need the all expertise that is available from multinational investments, multilateral financial institutions and friendly governments. We can benefit from our CARICOM sister states. If we can guarantee Guyana’s own sustainable development, we can underpin the sustainable development of the CARICOM region.”
“The Natural Resources Fund – the Sovereign Wealth Fund – is going to be a key element in the way that the investment income can be used to underpin capital investment.”
Remi Piet
“It’s important to have the right actors engaged…you need to be sure there are more structural entities at the round table, sectoral experts are brought in, academic voices and development operators. All these have to be included in different platforms or engagement in terms of going from the revenue sharing financial structure to the actual trickling down…In that case there’s already been a lot of work in Guyana.”
“The reality of what will make the future of Guyana is the capacity to attract the Diaspora’s investment into some diversified assets in Guyana and production that will make sure there is continuous developments to stability.”
Roger Hosein
“I am hoping, though, that with the resources that are flowing into Guyana that they spend these and build up institutions and work on their ease of doing business and design appropriately by labor market strategy.”
“We [Trinidad and Tobago] collected about $75 billion USD in energy runs between 1962 and 2021. Where the resources were used is of great concern to me…I think that’s where Guyana will have to be most careful. Right up front, Guyana has started a long-term smoothing process by having a stabilization fund and resources flow into that. I see lots of capital injections being made into the economy. These capital injections, while some are generalized, must pay attention to the non-energy, non-tradeable sector where revenues have to be balanced in terms of collecting.”
“My two cents is that the strength of the Guyanese economy in the next 15 years is not the energy sector…The strength of the Guyanese sector 15 years from this point is what and how they manage that energy resource to manage the structure of production, trade and employment so that the nonenergy, non-tradeable sector does not corrode old sectors that generate foreign exchange. We have seen this story a million times.”
“My humble opinion is that Guyana will be the exception to the rule and not get it all wrong.”
“The engine for economic transformation must be human capital formation.”
“Guyana is poised…to really leverage the economic growth from the oil and gas boom in the technology sectors.”
“If we cannot discern and differentiate the political, social, cultural human rights issues, development issues between linkages with China versus linkages with the West. If we cannot assimilate the fact that the Caribbean is in the West, then we are going to be in serious trouble, and the cyber technology issue is just one of it.”
Erika Piirmets
“Digital services can offer minimizing the entry barrier to businesses. This has led Estonia to be a sort of Silicon Valley of Europe…As a side effect of digitalizing different services, thousands of years of working time is saved thanks to the interoperability of the backbone of our digital state.”
“More than 25 years, Estonia has been building the society to be digitally capable but all while building the technological infrastructure, we have been supporting form the government level all our user group through public and private courses that have now led to 80% of the population using some sort of digital service.”
“It’s not about turning everything digital and saying that we use the maximum technology that we can. So we don’t fetishize technology but we seek to improve people’s life quality.”
Lance Hinds
“There are core things to be done, of course. Certainly on the legislative side…there is a data protection bill that is out for comment which, when I look at other legislation in the Caribbean, this one is forward looking. It follows the GDPR model of the European Union in terms of structural intent, and I think it is a good one to comment on and encourage them to take to next stages.”
“This is where national planning really comes into effect in terms of making sure that all citizens buy in, all citizens understand that this is to their benefit…The whole concept of showing citizens in Guyana that this is about providing convenience and access…”
Eldon Marks
“One of the issues we’re still facing today is that we’re hemorrhaging a lot of valuable talent year after year…When it comes to finding talent within the local tech ecosystem to keep it driven that is, again, a shared issue among all of the various entities locally.”
“Much of the students that I’ve worked with over the years, and the fledgling entrepreneurs along the way, I find that the recurring theme is that they have big dreams but they rarely ever extend beyond the shores of Guyana. Exposure fixes that.”
“Change management is absolutely necessary. Vision and oversight, critical even more so…The ability to have individuals access an environment that permits them to learn technologies, learn the processes to deliver on those technologies, and then have opportunities to do so – absolutely critical.”
“Because we have multi-faceted problems [in Guyana], we need a multi-faceted steering body – a visioning body comprising of individuals who understand the big picture and are specialized in their own right with representation across the public sector, private sector, and civil society, to compliment an overarching vision for development.”
Mike Singh
“Why we need to have a cohesive industry body is so we can bring global best practices to the fore and these global best practices emanate from the collective world of experience and work that’s being done at the International Telecommunications Union.”
“Cybersecurity in Guyana is not something they’ve given enough attention to, either through a lack of exposure, a lack of adequate tools; it’s a work in progress. But in my opinion, it’s not being done fast enough.”
“My advice for the government of Guyana…you need to rip out every piece of Huawei gear and equipment…Let me be clear, they’re going to attack the oil and gas network here – not if, but when. If you’re transmitting data on networks that have Huawei equipment, you’re leaving yourself wide open for abuse and more than likely total shutdown.”
