Guyana Puts Locals First In US$340Mn Gas-Linked Investment Opportunities At Wales

  • Guyana has opened up an estimated US$340Mn in gas-based investment opportunities linked to the Wales Gas-to-Energy project, with the government noting that local investors will be prioritised.
  • According to the Department of Public Information (DPI), the Office of the Prime Minister invited expressions of interest for two projects to be located near the Wales Gas-to-Energy 300 megawatts (MW) power plant and associated natural gas liquids (NGL) separation plant on the West Bank of Demerara.
  • The ventures include the Guyana Ammonia and Urea Plant Inc. (GAUP), estimated at US$300Mn, and the Guyana Gas Bottling and Logistics Company (GGBLC), valued at about US$40Mn. Both proposed projects were previously advertised and received submissions. The National Procurement and Tender Administration Board (NPTAB) reported that for both the GAUP and GGBLC, 10 groups submitted proposals, with Lindsayca, the company constructing the Gas-to-Energy plants at Wales, vying for both.
  • The government said it is targeting investments of up to US$5 million per investor for the GAUP project and up to US$1Mn per investor for the GGBLC, though interested parties may propose higher amounts. Both projects are expected to operate as private companies and will offer a government-guaranteed annual return of 10%.
  • DPI said Guyanese investors, including those in the diaspora, will be given priority as part of efforts to broaden local participation in the country’s emerging gas-based industries.
  • The projects form part of Guyana’s wider strategy to monetize offshore natural gas resources by developing downstream industries, including fertilizer production and gas distribution, aimed at supporting agriculture, energy access and industrial growth.
  • The Gas-to-Energy plants are expected to be completed by the end of 2026, the government has said. First gas through a pipeline installed by ExxonMobil in 2024 is expected to follow after completion, as the government moves to reduce emissions associated with power generation and slash electricity rates. 

(Source: OilNow)