The Government of Guyana (GoG) is preparing to launch its first bidding round for offshore
exploration and production of hydrocarbon blocks. Cabinet is finalising the new fiscal terms and
conditions which will allow for the country to gain the maximum economic benefits as we
advance the exploration and development of the Guyana offshore blocks.
The 2022 bidding round, which is expected to be officially launched soon, and will be opened for
several months which will give interested companies sufficient time to prepare their competitive
packages and bid to win the available acreages offshore; which will be done in an open and
Since the discovery of Liza in 2015 the Guyana offshore basin has seen unprecedented
development, with Guyana setting a new paradigm for expeditious development of oil and gas
resources. According to S&P Global, “the four- and-a-half-year time frame from discovery to first
production places Guyana first among global deepwater jurisdictions in terms of the average time
to bring major discoveries on stream.”
With the upcoming bidding round the Government of Guyana expects to chart a new path as the
Guyana offshore areas emerge as a potential super basin with over 11 billion boe (barrels of oil
equivalent) discovered to date and with substantial exploration activities ongoing this figure is
expected to increase significantly. To this end, Cabinet is concluding a definitive terms of
reference for the competitive licensing round which will foster a conducive investment
environment while maximizing value for the people of Guyana. In this process the government
- Obtain a fair share: Ensure the country gets a fairer share of revenues from oil and gas
resources through improved fiscal arrangements to benefit the people of Guyana.
- Manage risk: Safeguard the safety of people and the environment by following
international best practices in offshore oil and gas development.
- Remain competitive: Maintain a competitive position in the region and globally as key to
- Encourage investor confidence: Assure investors of stability, predictability, and security
- Maintain the pace of development: Continue with efficient and sustainable development
of oil and gas resources whilst balancing the nation’s developmental agenda with its
climate change goals.
Guyana stands out as the most successful of the frontiers now having moved into early-stage
production, and it is among the countries that have the best prospects of succeeding, given the
current pace of development. Major oil and gas deepwater expertise has been key to unlocking
the offshore basin’s potential and enabling the development of discovered resources.
Given that Guyana has adopted an open-door policy for acreage allocation, which, coupled with
reasonably attractive fiscal and contractual terms has proven successful. This has allowed our oil
and gas sector to set a new paradigm for accelerated deepwater development.
The Government of Guyana will be embarking on an intensive promoting campaign with all
necessary technical data and requirements which will ensure that the competitive bidding round
is successful for the future development of the offshore exploration and production of
hydrocarbons for Guyana’s economy. Further, this process will be done in keeping with
international best practices for transparency and accountability for competitive oil and gas
September 30, 2022