• Loading stock data...
PublicWire | Emerging Market Stock News
  •  Home
  • Technology
  • Medical
  • Energy
  • Cannabis
  • Finance
  • Retail
  • General
  • Podcast
  • Videos
  • Services
  •  Home
  • Technology
  • Medical
  • Energy
  • Cannabis
  • Finance
  • Retail
  • General
  • Podcast
  • Videos
  • Services
No Result
View All Result
PublicWire
No Result
View All Result

Home » Energy » Guyana Could Be The Next Oil Powerhouse Country

Guyana Could Be The Next Oil Powerhouse Country

Jayde Castillo by Jayde Castillo
November 4, 2019
in Energy
2 min read
77
0
Guyana the next oil powerhouse by IMF

Guyana is the next oil powerhouse in the world according to the latest projection of the International Monetary Fund. Photo: Dan Sloan | Flickr | CC BY-SA 2.0

Guyana, a country situated between the borders of Venezuela, Brazil, and Suriname, could be the next oil powerhouse in the world. Due to its unique geographic location, the country is rich in resources such as gold, bauxite, aluminum, and natural gas.

The IMF (International Monetary Fund) reckons that Guyana will experience an upsurge in economic growth going to 2020. The Fund concludes that the country will see an 89% increase in GDP — a 4.4% increase from 2019’s readings. The forecast surpasses the world’s largest economy (United States) by 40 folds.

The dramatic upswing of Guyana’s economic growth is due to its decision to start oil production next month. The CNBC reports that Guyana banks the highest amount of oil per person. Compared to Saudi Arabia’s 1,900 barrels of the offshore reserve per person, Guyana can host 3,900 barrels.

Expectations over Guyana’s economic growth are indefinite since production hasn’t commenced, and discoveries are still ongoing. However, the IMF’s projection is tagged as “ambitious” due to the lack of “regulatory legislation in the country,” the source added.

Guyana first gained traction in May 2015 after ExxonMobil announced the discovery of more than 90 meters of oil-bearing sandstone reservoirs. Since 2008, major oil companies are pouring significant attention to Guyana’s petroleum exploration.

However, analysts suspect a probable challenge over Guyana’s sudden rise in the oil sector. Aside from the lack of regulatory legislation, the country could eventually fall to a “resource curse.”

The IMF, however, was quick to highlight the potential dangers that align with such rapid economic expansion.

“The pace of scaling-up public spending needs to be gradual to reduce bottlenecks from absorptive capacity constraints, avoid waste, and minimize macroeconomic distortions related to ‘Dutch disease’ that has often inflicted economies experiencing sizable increases in resource-based income,” the Fund noted.

Jayde Castillo

Jayde Castillo

Jayde is a professional freelance writer with years of experience covering consumer tech, finance, and science. He has worked with various media outlets both online and on paper such as Z6Mag, News Every Day, and other small-time publications.

Related Posts

ComEd preps response to restore power outages caused by storm and strong winds
Energy

ComEd preps response to restore power outages caused by storm and strong winds

June 10, 2020
133
President Donald Trump inspired a rise in oil futures after he said a deal between Saudi Arabia and Russia is underway.
Energy

Oil slightly recovers after Trump said a deal between Saudi Arabia and Russia might be reached in a ‘few days’

April 2, 2020
150
Oil refineries and storage facilities are about to reach their maximum capacity as the pandemic continues to shock demand.
Energy

Oil prices are approaching ‘negative territory’ as production increases after OPEC+ cuts expire

April 1, 2020
118
Senator Ted Cruz said that he and other GOP senators ecently ripped into the Saudi ambassador against weaponizing oil prices.
Energy

Ted Cruz: GOP senators warned Saudi Arabia against using oil as ‘economic warfare’ against Americans

March 30, 2020
151
The U.S. solar market installed 13.3 gigawatts (GW) of capacity in 2019, new report reveals.
Energy

US solar installations are expected to grow 47% in 2020 but coronavirus crisis might have an impact moving forward

March 17, 2020
115
Monday has seen a rise on oil prices, the first after six sessions of losses triggered by the coronavirus outbreak
Energy

Oil recovers after six sessions of losses as OPEC+ mulls to impose further cuts

March 3, 2020
127
Currently Playing

Subscribe To Our Newsletter

Ad

PublicWire | Emerging Market Stock News 24/7 | Investor Relations US Stock Market

© Copyright 2020 PublicWire.com

Navigate Site

  • About
  • #96576 (no title)
  • Disclaimer
  • Watch LIVE
  • Privacy Policy
  • Terms and Services
  • Contributors

Follow Us

No Result
View All Result
  • LIVE Investor News Channel
  • Cannabis
  • Energy
  • Finance
  • General
  • Medical
  • Podcasts
  • Retail
  • Technology
  • #370 (no title)

© Copyright 2020 PublicWire.com

Login to your account below

Forgotten Password?

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Public Wire Logo

Hello please subscribe to our newsletter to get up to date news weekly!

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.