Guyanese, Five (5) Chinese Companies Along With Trinidadian Government Bid For US$900 Million Oil Facility Plant Project, Will Local Content Law Work?
State-owned National Gas Company (NGC) of Trinidad and Tobago along with five (5) Chinese companies are among 12 companies that have submitted bids to pre-qualify for a project in Guyana that combines a gas-to-energy power plant and a natural gas liquids (NGL) facility.
The Guyanese project also received bids from companies from the US, Brazil, China and Guyana.
In a statement, the Guyanese government said that the rationale for the combination of the power plant and the NGL facilities is guided by findings by Esso Exploration and Production Guyana Ltd (EEPGL), the local subsidiary of US oil giant ExxonMobil, that there will be substantial savings from combining these two facilities.
“As such, notwithstanding that the government of Guyana has separately received expressions of interest in September 2021 that included the power plant, and that EEPGL had separately pre-qualified firms for the NGL plant, the decision to combine the power and NGL plants necessitated that all interest parties be invited to submit or re-submit information,” the statement said.
According to the Ministry of Natural Resources, the scope of the project includes combining cycle turbines, multiple fuel consumption power plant to generate up to 300 MW of power with net 250 MW delivered into the Guyana Power and Light.
It said the project shall include a 230 KV substation and back-up fuel capacity as well as NGL plant with the capacity to process 60 thousand cubic feet per day (MCFD) in the first phase and up to 120 MCFD in the second phase, capable of conditioning the gas and removing heavier hydrocarbons in the liquid form.
The statement said the government has invited interested parties to invest in its US$900 million gas-to-energy project Wales Development Zone (WDZ).
It said the WDZ was selected as the landing facility for the pipeline, following the consideration of more than 20 potential locations.
The pipeline, which would end in the WDZ, will measure some 225 km from the Liza area, where the natural gas is produced.
“The project will see the establishment of a gas processing plant (GPP) and a natural gas liquids (NGL) facility, capable of producing at least 4,000 barrels per day, including the fractionation (or separating out) of liquefied petroleum gas (LPG).”
The government said a power plant will be established to generate 150 MW, with an additional 150 MW in a second phase, and that an industrial park will be established to comprise industries that could use gas, steam and/or electricity.
The ExxonMobil local affiliate guaranteed the government that a minimum of 50 million standard cubic feet of gas per day (mmscfd) will be transported through the pipeline by 2024. The pipeline will have a maximum capacity of 130 mmscfd, the statement added.