GUYANA PETROLEUM ACT: UNIT DEVELOPMENT - HAIMARA & PLUMA It appears there are clear regulations in place (i.e. Guyana's Petroleum Act) that ensures 'unitisation' (unit development) in a 'production area' where there is overlapping reservoirs across two different production licenses.
I would imagine this would the basis [catalyst] for any future agreement between CGX and Exxon. Note, page 35 of the attached link: https://goinvest.gov.gy/wp-content/uploads/Petroleum-Exploration-and-Production-cap6510-.pdf
Note, it will be interesting to see if CGX is able to exclude (as part of ongoing rights offering negotiation with Frontera) benefits Frontera may receive or claim - as part of a potential unit agreement with Exxon. Recall, Frontera's 33% buy-in was announced after the Pluma discovery. So, the same principles should apply that excluded Frontera from participating (or have claim to) CGX's outstanding cost recovery balance (which is more than $150 million USD).
Since the Pluma discovery was announced prior to Frontera's 33% buy-in - Frontera should be excluded from participating in any potential unit development. Note, this would not exclude Frontera from benefiting as an equity holder of CGX stock - obviously - they held a majority equity position prior to the Pluma announcement. However, it would prevent Frontera from claiming any benefits under their 33% interest in Corentyne. Hopefully, CGX management will see the inherent conflict and negotiate with Frontera accordingly.
Very smart on Guyana's part - as the wording is consistent with Exxon's previous statements this past week: purpose of unitization (unit development) is to ensure 'more effective recovery of petroleum from a given petroleum reservoir'.
Chapter 65:10, Chapter 6, section 44 states:
The minister may, on his own motion, or on application amde to him in wiritng by a holder of a petroleum production license in whose production area part of apetroleum resrvoir is located, for the purpose of securing more effective reovery of petrleum from that petrolem reservoir, direct in wiritng any licensee, whose production area includes part of that petorleum reservoir, to enter into an agreement in writing with any other licensee or licensees, whose production area or areas include part or parts of that petroleum reservoir, within the period specific by the Minister in the direction, for or in relation to the unit development of that petroleum reservoir, and to lodge the agreement with the Minister forthwith for approval.