EPA’S RESPONSE TO ARTICLE PUBLISHED IN KAIETEUR NEWS ON OCTOBER 29, 2024
The Environmental Protection Agency (EPA) hereby provides the following statement in response to an article published in the Kaieteur News, dated October 29, 2024, under the headline, “Guyana in the Dark on increased environmental risks posed by Operations… As Exxon ramps up production”
The Environmental Protection Agency on numerous occasions explained its position on Production Optimization Testing at Liza Destiny, Unity and Prosperity FPSOs. We are particularly concerned about the persistent and repeated attempts to discredit the Agency and mislead the public regarding our regulatory responsibilities.
In light of the recent article in Kaieteur News featuring misleading claims about the Environmental Protection Agency’s (EPA) oversight of oil production limits, the EPA is compelled to set the record straight.
“…Exxon has clearly invalidated the EIA because the purpose of the EIA is to set the safety production limit and now that limit has been exceeded or violated without a proper review process…the maximum limit for the Liza Destiny was 120,000 barrels per day. They are now at over 150,000 barrels, a 25 percent increase and that is unheard of”.
FACT
The EPA operates under a stringent environmental regulatory framework and has ensured that all permits issued for the FPSOs are based on comprehensive Environmental and Social Impact Assessments (ESIA). Further, any modification and request for changes are assessed and supported by technical studies and risk assessments as done in this case. HAZOP studies were requested and reviewed and environmental impacts were assessed. These assessments outline maximum safe production rates to ensure environmental and operational integrity.
- The EIA for Liza Phase 1 Project (Destiny FPSO) considered the environmental impacts for a production rate of 144,000 bpd (reference in Liza Phase 1 ESIA: Table EIS-1 FPSO Key Design Rates, pg. VIII). EMGL subsequently requested approval for Production Optimization to 168,000 bpd. EPA requested and EMGL provided updated air quality and water quality assessments and a complete HAZOP study. These were the basis for EPA to approve the Operator, ExxonMobil Guyana Limited (EMGL) to test production optimization up to 168,000 bpd. EMGL is currently producing at an average of 161,000bpd, based on official production figures, which is well within the 168,000 bpd stipulated limit.
- The EIA for both Liza Phase 2 (Unity FPSO) and Payara (Prosperity FPSO) assessed the potential environmental impacts at the following production levels:
- Liza Phase 2 (Unity FPSO): impacts assessed at 300,000 bpd (reference in Liza Phase 2 ESIA: Table 2.7-1: FPSO Key Design Rates, pg. 2-19,). Liza Unity is producing at 251,000 bpd, which is below the 300,000 bpd where the environmental impacts were assessed.
- Payara (Prosperity FPSO): impacts assessed 264,000 bpd (reference in Payara ESIA: Table EIS-1: FPSO Key Design Rates, pg. EIS-11). Payara (Prosperity FPSO) is operating at 249,000 bpd, well within the 264,000 bpd here the environmental impacts were assessed
ONGOING MONITORING FOR COMPLIANCE AND SAFETY
The EPA, Ministry of Natural Resources, and the Guyana Geology and Mines Commission are concurrently reviewing the results of all the production optimization test reports submitted by the Operator, in conjunction with international experts.
Additionally, the Agency, in collaboration with regulatory partners, continually monitors production activities and conducts comprehensive reviews to confirm that all safety and environmental standards are upheld. Adjustments in production are strictly regulated and are based on thorough technical evaluations to ensure the protection of both the environment and public health.
A CALL FOR ACCURATE PUBLIC DISCOURSE
The EPA is unwavering in its commitment to transparency and responsible management of Guyana’s natural resources. We urge the public to seek accurate information and refer to official sources regarding our permits and production assessments.
For further inquiries or detailed information regarding our regulatory processes,
Contact the EPA at telephone numbers 592-225-5467-68, 592-225-6044, 592-
225-6048, 592-225-0506, 592-225-5471, and 592-225-5472, or via email at
epa@epaguyana.org.