ExxonMobil Approves $68B Hammerhead Project in Guyana

ExxonMobil has approved a 68 billion dollar investment in the Hammerhead oil and gas development project off the coast of Guyana. This decision marks the company's seventh project in the Stabroek block, which is known for its abundant oil and gas reserves. The Hammerhead project will involve the drilling of 18 production and injection wells, with production expected to begin in 2029. The project will utilize a floating production, storage, and offloading vessel, with an estimated oil production capacity of 150,000 barrels per day.

The Stabroek block is a significant asset for ExxonMobil, with the company operating the block and holding a 45% stake. The remaining stakes are held by Chevron and CNOOC, with 30% and 25% respectively. The alliance's fifth and sixth projects, Uaru and Whiptail, are scheduled to commence production in 2026 and 2027. Currently, ExxonMobil is producing 650,000 barrels of oil per day from the Stabroek block. The alliance anticipates that its daily oil production will exceed 900,000 barrels by the end of 2025, thanks to the successful launch of the fourth floating production, storage, and offloading vessel, One Guyana.

This investment in the Hammerhead project is a testament to ExxonMobil's commitment to expanding its operations in Guyana. The project is expected to contribute significantly to Guyana's economic growth and energy security, positioning the country as a key player in the global energy market. The use of advanced technology in the Hammerhead project will help maximize the potential of the Stabroek block, ensuring efficient and sustainable oil and gas production.