Article Link: https://oilprice.com/Energy/Energy-General/Oil-Majors-Are-Eyeing-A-Suriname-Offshore-Boom.html
Suriname, a country in South America, neighboring Guyana, has become the next big oil player. Other than different oil providers, Suriname offers lowes costs. Major companies like Exxon Mobil Royal Dutch Shell, Total, Apache, are shown a great interest due to the low cost of oil and labor. ¨Following a difficult 2020, emerging oil states such as Suriname and Guyana are expected to dominate licensing rounds this year with such attractive terms. ¨ Exxonmobil started back in December how they found oil and gas finds in Suriname. The Vice Senior President of Exxonmobil explained, “Our first discovery in Suriname extends ExxonMobil’s leading position in South America, building on our successful investments in Guyana. We will continue to leverage our deepwater expertise and advanced technology to explore frontier environments with the highest value resource potential.”
With Suriname being the obvious oil and gas provider it puts Guyana at a lower level then them. However, it is stated that the oil production will flip to Guyana and possibly could extend from the next 30 years. This will give a better opportunity in the long run for Guyana due to the longer-term exploration, and low cost production. Guyanna anticipates a long gdp growth around 50%, due to the high demand in oil. I believe if kept on track, Guyana will bypass Suriname, and be the main competitor. The beneficial part is that they have more time to search which parts are best for drilling because they have a lot of time on their hands. Another aspect of how this is beneficial for Guyanna is that with many gas companies in the U.S, it gives them trade involvement, making the U.S more reliant on Guyana.
This article ties back to class with the levels of analysis. At a regional level, you have south america who is competing with their following countries with oil. At a state level you have the United States, Guyana, and Suriname. Finally, at an individual level you have the gas companies, Exxon Mobil, Royal Dutch Shell, Total, Apache.