No revenue earned from oil production in December – Finance Ministry

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The Finance Ministry has compiled and released its first report on the government’s management of the oil sector since first oil started in December, revealing among other things that no revenues were earned by the for that month.

The report states that all petroleum from December will go towards profit oil, of which the government will be entitled to half.

Moreover, the amount will be credited into a special account called an under/over lift account.

The report also explained why no oil was lifted. According to the document, only 163,673 barrels of oil were available to lift.

This falls far short of the usual 1 million barrels of oil that are lifted for every cargo.

The over/under lift account, the Ministry explained, will keep track of all barrels of crude owed to the parties.

The first lift of a million barrels of oil from the Stabroek block, part of Exxon’s share, took place last month.

It is expected that Guyana’s first share of crude will be lifted by today. A ship, the Cap Phillipe, arrived from Greece last week to ship the crude.

Guyana’s first three lifts of one million barrels of oil each will be sold to Shell.