Amid rising concerns over ExxonMobil’s current insurance policy for its offshore operations in Guyana, Country Manager Alistair Routledge has acknowledged that the company may be required to pay higher premiums for its Stabroek Block coverage moving forward.
While Routledge did not confirm any definitive changes, he noted that insurance costs are influenced by multiple factors, including project expansion, operational risks, and evolving regulatory requirements. This revelation follows ongoing scrutiny over ExxonMobil’s environmental liability coverage, with stakeholders demanding more significant financial safeguards in case of potential spills or other industrial incidents.
As ExxonMobil expands its offshore activities, concerns over comprehensive coverage and financial responsibility continue to dominate national discussions. Industry experts have suggested that higher premiums could translate to increased operational costs, potentially impacting Guyana’s revenue from the oil sector.
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