-says talks with gov’t on shared fund ‘productive’
-by Jarryl Bryan
With $102.7 billion already set aside for decommissioning costs, ExxonMobil Guyana says discussions with the government on establishing a shared decommissioning fund are progressing positively.
Decommissioning costs are covered by the $102.7 billion in asset retirement obligations within ExxonMobil Guyana Limited EMGL’s financial statements for 2025.
Up to last year, talks were ongoing with the government and EMGL on transferring the monies to a joint decommissioning fund. During a press conference at Exxon’s headquarters today, EMGL Vice President and Business Services Manager John Colling described the talks as productive. He went on to lay out the company’s expectations for the fund.
“What we’re looking for is a fund that is consistent with the Petroleum Act as well as international best practices that ultimately provides the financial assurance required by the government of Guyana,” he explained.
The decommissioning fund is critical as it covers the costs of dismantling an oil and gas facility once its productive life ends. Colling made clear that Exxon will honour its obligations and cover all decommissioning costs it is liable for.
“So all projects will ultimately need to be decommissioned. Once they’re brought into use, that’s when we begin to approve a liability for decommissioning,” he said.