Supermajor ExxonMobil has reached a final investment decision (FID) on the Hammerhead development located in the prolific Stabroek block offshore Guyana. The operator will move forward with a $6.8 billion field development scheme that will utilize a floating production, storage, and offloading (FPSO) vessel capable of producing 150,000 BOPD. The initial phase of development will include 18 production and injection wells. Hammerhead will be ExxonMobil’s seventh project in 10 years on the block.
With the Hammerhead decision, ExxonMobil has now committed more than $60 billion over seven Starboek block projects. The company added that $7.8 billion has been paid into Guyana’s Natural Resource Fund since production in the block started in 2019.
The supermajor confirmed it is currently producing around 650,000 BOPD of oil from the Stabroek block, and volumes are expected to grow to more than 900,000 BOPD by the end of the year.
ExxonMobil commenced production in August from a fourth FPSO in the region, the ONE GUYANA, on its Yellowtail project. The company’s largest development to date in the region, company CEO Darren Woods told investors in August that Yellowtail was delivered 4 months ahead of schedule and under budget.
“By 2030, we expect to have total production capacity of 1.7 million oil equivalent barrels per day from eight developments,” he added.
To help meet that goal, construction is underway for the fifth and sixth FPSOs destined for the Uaru and Whiptail fields. Uaru is slated to start production in 2026, while Whiptail is expected to follow in 2027. Oil should begin flowing at Hammerhead in 2029.
ExxonMobil contracted MODEC to supply the FPSO for Hammerhead. The vessel will be moored in 1,025 m of water using a SOFEC spread mooring system.
MODEC is currently building Errea Wittu FPSO for the Uaru project. Offshore Frontier Solution, a MODEC Group company and a joint venture with Toyo Engineering Corporation launched in August 2022, is undertaking the engineering, procurement, and construction of the vessel.
SBM was contracted for and will supply the Whiptail FPSO. The vessel, FPSO Jaguar, will be capable of producing 250,000 BOPD, with associated gas treatment capacity of 540 MMcf/D and a water-injection capacity of 300,000 BPD.
The Hammerhead FPSO will be capable of storing 1.6 million barrels of oil and boast a capacity to reinject 340,000 B/D of produced water.
ExxonMobil affiliate ExxonMobil Guyana Limited is operator and holds 45% interest in the Stabroek block. Hess Guyana Exploration holds a 30% stake, while CNOOC Petroleum Guyana Limited holds the remaining 25%.
