Former Executive Director, Environmental Protection Agency (EPA), Dr. Vincent Adams, is calling on Guyanese to hold the government accountable following revelations that the state quietly paid approximately US$82 million to Gas-to-Energy (GTE) contractor Lindsayca-CH4 Guyana Inc. after losing an arbitration case. According to a report by Kaieteur News, the payment—initially pegged at about US$106 million before being reduced through negotiations—was not disclosed to the public, even as it added to the escalating cost of the troubled Wales gas project.
Adams was blunt in his criticism, stating, “The Govt had absolutely no case here! If anything, the tax payers should sue the Government for negligence for not doing a feasibility study (FS) that is mandated by the contract. A FS would have identified this problem beforehand.”
He explained that Clause 12 of the Production Sharing Agreement (PSA) mandates such a study for any use of gas from the Stabroek Block. Adams argued that had this requirement been followed, the problems now emerging could have been identified earlier, adding that the only “feasibility study” conducted by the PPP and the Vice President was to describe the gas-to-shore project as a “no brainer.”
The US$759 million contract, awarded in December 2022 to the Lindsayca-CH4 joint venture, has since been marred by internal disputes, including the reported exit of CH4 Systems LLC, which was to receive US$40 million, leaving Lindsayca to complete the Natural Gas Liquids facility and 300-megawatt power plant.
The arbitration, filed in September 2024, involved claims over cost overruns, delays, and soil conditions, with reports that contractual provisions may have shifted liability for key delays onto the government. While Vice President Bharrat Jagdeo had previously described the split as “internal wrangling,” and Prime Minister Mark Phillips continues to project a December 2026 completion with promises of reduced electricity costs, Kaieteur News reports that additional undisclosed arbitration matters may still be pending, deepening concerns about transparency and the growing financial burden on taxpayers.
