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Oil Sector in “Deep Trouble” as Adams Warns of Illegal Production Practices

Admin by Admin
December 27, 2025
in News
Dr. Vincent Adams

Former head of the Environmental Protection Agency Dr. Vincent Adams

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Leader of the People’s National Congress Reform (PNC/R) and A Partnership for National Unity (APNU), Aubrey Norton, has warned that Guyana’s oil and gas sector is in “deep trouble,” but oil and gas expert and former Environmental Protection Agency (EPA) head Dr. Vincent Adams says the problem runs far deeper than policy gaps or insufficient planning—it is one of outright illegality.

Speaking at a recent press conference, Norton criticised what he described as the government’s ad hoc approach to managing Guyana’s rapidly expanding petroleum industry, citing President Irfaan Ali’s remarks about “making up a plan as we go along.” Norton argued that such an approach is unsustainable, particularly as the government moves to ramp up oil production through optimisation of Floating Production Storage and Offloading vessels (FPSOs) in the Stabroek Block.

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Norton at the time was addressing a question from Kaieteur News on the government’s push to ramp up oil production in the Stabroek Block, a process that allows operators like ExxonMobil to increase production beyond FPSO design rates by identifying areas to safely boost output.

While Norton said Guyana must seize the opportunity to develop its oil resources, he stressed that greater planning, environmental safeguards and broader stakeholder involvement are required.

Norton said he supports Guyana developing its oil resources. However, he stressed that the environment must be taken into consideration. He added that all plans should be supported by proper environmental impact assessments and sound financial analysis, and carried out within the context of Guyana’s long-term development.

He added that Parliamentarians, the private sector, civil society and technical professionals should be involved in assessing any proposed increases in oil production. “I believe that we have to have a plan… in the absence of those things, you are just talking about ramped up production. It’s not done within a proper policy framework or a developmental programme and it is likely to be disastrous,” he warned.

However, Dr. Vincent Adams, an oil and gas expert and former EPA Executive Director, says the central issue has been consistently misunderstood—even by well-meaning commentators.

“The issue is not about increasing the production rate,” Adams stressed. “It is about breaking the law as enshrined in the Environmental Impact Assessment (EIA).”

According to Adams, ExxonMobil’s ongoing optimisation activities violate the legally binding limits set out in approved EIAs. He explained that it is illegal to alter safe operating limits without revising the EIA, a process that requires extensive technical review and full public consultation.

“It is against the law to change the safe limits in the EIA without revision of the EIA,” Adams said, dismissing references to “debottlenecking” as “fancy smooth talk and meaningless jargon” that does not appear in any regulatory document.

Adams pointed to the Liza 1 project as a clear example. The EIA sets a safe operating limit of 120,000 barrels of oil per day (bopd), with the true operating limit internally controlled at about 100,000 bopd to avoid breaching safety thresholds.

“However, most lawlessly and dangerously, they brag about producing now at a rate of 165,000 bopd—38 per cent above the safe limit and 65 per cent above the set limit,” Adams said.

He noted that similar breaches are occurring across all offshore projects, driven by “greed with no liability if something bad happens,” warning that a major spill could “potentially bankrupt the entire Caribbean” and cause irreversible environmental damage.

Government data show that production from the Liza Destiny, Liza Unity and Prosperity FPSOs averaged nearly 640,000 barrels per day in the first half of 2025, exceeding previous levels. The mid-year report attributes this to optimisation activities on the Liza Unity and Prosperity FPSOs, despite both vessels having design capacities of 220,000 bopd under their respective EIAs.

Adams warned that increasing production beyond these limits significantly raises the risk of an oil spill, particularly in a context where liability protections have been weakened. He referenced the government’s decision to appeal a court ruling that strengthened environmental safeguards, while simultaneously passing legislation that effectively neutralised the judgment.

“These safety envelopes developed in the EIA consist of the most rigorous scientific and engineering analyses,” Adams said, adding that bypassing them undermines the very foundation of environmental and operational safety in a high-risk industry.

ExxonMobil continues to publicly celebrate rising production levels, but Adams warned that the issue will not fade. “This subject is hot again and will not go away,” he said, cautioning that without strict adherence to the law, Guyana’s oil boom could exact a devastating long-term cost.

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