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Exxon Output Hits 770,000 Barrels as Poverty Persists

Admin by Admin
October 19, 2025
in News
FILE PHOTO: As an oil boom unfolds, Guyana lacks capacity to absorb it·Reuters

FILE PHOTO: As an oil boom unfolds, Guyana lacks capacity to absorb it·Reuters

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ExxonMobil Guyana has crossed a new production threshold, reaching approximately 770,000 barrels of oil per day, according to company president Alistair Routledge. The figure reflects rapid growth in the country’s offshore oil sector, driven by multiple projects coming online ahead of schedule.

Speaking at a media briefing at ExxonMobil’s Ogle office on the East Coast of Demerara, Routledge said the company recorded 740,000 barrels per day in September alone and is now closing in on its year-end target of 900,000 barrels per day.

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The boost comes largely from the Yellowtail project, which began producing oil on August 8, four months earlier than anticipated. Operating through the ONE GUYANA FPSO (Floating Production, Storage and Offloading) vessel, Exxon’s largest in Guyana, the project tapped into the Yellowtail and Redtail fields, both discovered in 2019 and 2020. It features high-capacity subsea infrastructure with 26 production wells and 25 gas and water injection wells.

ExxonMobil and its partners, Hess with 30 percent and CNOOC with 25 percent, have already brought four offshore oil developments online in just five years, all ahead of schedule and under budget. By 2030, total production capacity is expected to reach 1.7 million barrels per day, making Guyana one of the world’s most important new oil producers.

The Ministry of Natural Resources is expected to release official production figures for September soon, but Routledge confirmed that the sector continues to grow at a remarkable pace, with additional developments like the Hammerhead and Longtail projects already in the pipeline.

Soaring Output, Stagnant Wages

Despite the surge in oil revenues, with Guyana earning over US$7.5 billion in oil proceeds since late 2019, critics note that the country’s rising wealth has yet to lift the broader population. Poverty remains widespread, and public sector workers continue to protest low wages, especially in key sectors such as health, education, and public service.

Calls for “living wage” increased salaries have intensified in recent months as unions argue that the benefits of the oil boom are not reaching ordinary citizens. With ExxonMobil projecting billions more in oil earnings for Guyana in the years ahead, the disconnect between revenue and living standards has become a growing point of public debate.

Routledge maintains that the company is committed to long-term investment and economic development in Guyana. However, calls for greater transparency, fairer resource distribution, and robust environmental safeguards continue to grow, especially as production scales up at unprecedented speed.

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