Guyana – One of the Most Exciting Places, says US Secretary of State Rubio

Guyana’s exceptional potential for revolutionary change has been highlighted by U.S. Secretary of State Marco Rubio, who has called Guyana one of the most interesting countries in the world.

 These statements were stated by Secretary Rubio at a news conference held Thursday at the State House in Georgetown, where he reiterated the US commitment to aiding Guyana’s growth and participating in its transition.

Rubio remarked, “I think, and to the people of Guyana, thank you for welcoming us. I hope you fully appreciate and understand this is one of the most exciting places in the world to be right now, because you have the opportunity, at this moment, to transform this country for generations, and we want to be your partner. We want to be your partner in making that possible. We think it’s of mutual benefit to see that happen.”

In his speech, the newly appointed Secretary of State, who has only been in office for nine weeks, stated that Guyana is ready for a radical change, when many other countries are concentrating on stability or little steps forward.

Rubio stated, “This country has an opportunity to transform. And that’s rare in the history of nations, to have an opportunity for transformative change. And what I mean by transformative change is not simply oil and gas fields. And that’s very important – natural resources are critical, but that is just the basic ingredient that allows prosperity to happen.”

In addition to oil and gas, he emphasized Guyana’s potential in technology, agriculture, and ecotourism. Rubio noted that Guyana could establish itself as a significant participant in the global digital economy, which includes data centers and artificial intelligence, provided it had access to inexpensive and dependable electricity. He also agreed that peace and security were necessary to safeguard the nation’s expanding wealth.

The oil-rich Stabroek Block is operated by the American oil tycoon ExxonMobil at the time of Rubio’s remark. Since December 2019, when oil production started, Guyana’s GDP has grown considerably. Hess, a U.S. corporation that owns 30% of the Stabroek Block, and ExxonMobil are also facing off in an arbitration lawsuit. In a US$53 billion deal, Hess and American oil giant Chevron will merge, with Chevron purchasing Hess’s share of the block, which is thought to contain 11.6 billion barrels of oil.

The merger is being contested, though, by Exxon and CNOOC, another block partner, who are claiming their right to first refusal over Hess’ shares.

In addition to allowing for 75% cost recovery and giving oil corporations substantial tax breaks, the agreement regulating the Stabroek Block divides the remaining 25% of income evenly between Guyana and the oil operators. Guyana also receives 2% of the resource’ royalties.
The previous administration’s provisions of the agreement have come under fire for giving preference to oil multinationals over the nation. The Irfaan Ali government has defended its choice to preserve the arrangement by pointing to the integrity of contracts, despite persistent requests for renegotiation.