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Exxon partners charged Guyana US$31M in expenses before signing contract - Audit Report Reveals

Before Hess Corporation or CNOOC Petroleum Guyana Limited signed on as partners with ExxonMobil to the 2016 Production Sharing Agreement (PSA) for the Stabroek block, they apparently racked up US$31.4M in certain expenses which they claim Guyana must pay.

Concerns about length of time to complete audit of Exxon s US$1 6B costs justified - VP Jagdeo

Vice President, Dr. Bharrat Jagdeo said yesterday that citizens are justified in being concerned about the length of time it is taking authorities to complete the audit of US$1.6B in expenses racked up by ExxonMobil’s subsidiary, Esso Exploration and Production Guyana Limited (EEPGL).

Three years on… Audit of Exxon s US$1 6B pre-contract costs still ongoing - GRA Boss

It is now more than three years since a British firm, IHS Markit, is yet to complete an audit of US$1.6B in expenses for the oil-rich Stabroek Block. Those costs were incurred during the period 1999 to 2017 by ExxonMobil Corporation’s subsidiary, Esso Exploration and Production Guyana Limited (EEPGL).

Part 2 of the review of the Draft Model PSA

Section 3 of the Draft Model PSA focuses on the Costs, Expenses, Expenditures and Credits of the Contractor. There are several items in this section that would benefit from further review and consultation with the Audit Office of Guyana. Some examples are the following:

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