Dr. Bynoe said the government should market its share of crude oil through an agent. Guyana`s share of crude oil is sold in free board (FOB) and millions of barrels with lifting devices every 8 to 10 days. Dr Bynoe explained that “the CLA has put in place a mechanism for allocating the crude lifting schedule on the basis of volume claims calculated taking into account the cost-covering rules of the oil agreement.” This, he said, establishes a strict policy for the deal and indicates that possible delays could lead to loss in value and risk production on the boat for swimming, storage, production and unloading. It was pointed out that the department collaborates with its sister agencies to ensure efficient and effective operation. “It is an industry document or model that is used on the basis of the International Petroleum Negotiators Crude Lifting Agreement. It is applied and adapted to take into account the Guyanese context,” he said. Dr. Bynoe explained that the American oil giant would make the first oil debut, which includes one million barrels. “I understand that the first elevator is often accompanied by a lot of impurities. Impurities in your crude oil can influence the price you receive for that crude oil, which would affect not only that batch, but also subsequent batches. “This is what the director of the Ministry of Energy, Dr. Mark Bynoe, said at a press conference on Wednesday.
The director of energy said the document is expected to be finalized next week with the government of Guyana with the Coventurers of Stabroek Block as a signatory of the document He found that the company not only provides drilling and unloading expertise, but also has refineries. Therefore, “it would be useful for ExxonMobil to take that first elevator that it will then process in its refineries, so that the quality of crude oil or the integrity of crude oil can be preserved in the future.” With the first oil expected in a few weeks, the Crude Lifting Agreement “has made considerable progress and will be finalized.” During the media briefing, it was also stated that US oil giant ExxonMobil will begin the first delivery of oil as soon as production begins.