On 22 March 2018, The Caribbean Council was quoted in an article available exclusively to users of the Bloomberg Terminal, analysing the risks posed by Venezuela’s territorial and maritime claims to Guyana’s emerging oil industry.
Partnering with oil majors would give Guyana financial backing in its legal case and a relationship with foreign governments that can pledge military support, said Daniel Gray, associate director at the London-based consultancy Caribbean Council, which has been following the dispute. Guyana wants to “send a message to neighboring Venezuela regarding any potential territorial or maritime incursion,” he said.
As it prepares its case, Guyana is pushing forward with drilling plans. Exxon in February said it successfully drilled a seventh well, which will help bring Guyana’s production to more than 500,000 barrels per day, just shy of OPEC member Ecuador’s average production. Hess Guyana Exploration Ltd. and Nexen Petroleum Guyana Ltd. also hold stakes in the Stabroek block. Trotman sees resolving the border dispute as key to attracting more foreign investment to the $3.5 billion economy, and helping the country develop gold, timber and diamonds reserves.