ExxonMobil has officially approved a US$6.8 billion investment in its seventh offshore development project, Hammerhead, located in Guyana’s prolific Stabroek Block. Expected to start production in 2029, Hammerhead will boost the block’s total installed capacity to approximately 1.5 million barrels of oil per day (bopd) with a production capacity of about 150,000 bopd.
The Hammerhead project is Exxon’s first in Guyana to partner directly with Chevron, following the latter’s acquisition of Hess after an arbitration battle between the two energy giants.
The project includes the deployment of a Floating Production Storage and Offloading (FPSO) vessel, supported by 18 production and injection wells. The vessel will be built by MODEC, a Japanese FPSO-building and operating company.
This latest investment marks a continued rapid expansion of ExxonMobil’s operations in Guyana, bringing their total committed investment across seven projects to over US$60 billion, the company said in a press release.
Since production began in 2019, more than US$7.8 billion has been contributed to Guyana’s Natural Resource Fund. ExxonMobil currently produces around 650,000 barrels per day from the Stabroek Block, with output projected to exceed 900,000 barrels per day by year-end, following the commissioning of the ONE GUYANA FPSO.
The Hammerhead project underscores ExxonMobil’s collaboration with the Guyanese government and population, creating significant local jobs—with about 70% (6, 200 persons) on the workforce staffed by Guyanese—and supplier opportunities.
“We continue to set a new standard in Guyana – advancing an impressive seventh project just 10 years after first discovery,” said President of ExxonMobil Upstream Company Dan Ammann. “In collaboration with the people and government of Guyana, we’ve helped build a thriving new oil-and-gas industry in the country that is creating jobs, supplier opportunities, profits and follow-on investments.”
ExxonMobil operates the Stabroek Block with a 45% stake, while Hess (recently acquired by Chevron) holds 30% and CNOOC holds 25%, highlighting a strategic partnership in one of the world’s fastest-growing oil production regions.
This ambitious development further solidifies Guyana’s emerging status as a major global oil producer.
