NOV-07-2019: COST RECOVERY AUDIT It seems Guyana's DoE has commended CGX Energy's approach to engaging other operators in the basin to form "a group amongst themselves that can share assets" as a means to lower overall costs.
would be interested to know if these discussions include field unitization and overlapping reservoirs between multiple licenses...
Ways in which this can be done include tax allowances, a share of production and ring fencing. Conscious that the lower the recoverable costs the greater will be Guyana’s profit oil, the department has been actively pursuing with CGX Energy Inc. (CGX) already taking the lead. Rig sharing involves an agreement between operators for the sharing of an oil rig over a specific period of time or for an agreed number of well to increase efficiency and flexibility in drilling operations.
“It’s something that the department has been looking at not only based on what I mentioned here but even prior because anywhere where we can share or consolidate resources is what we’re aiming for so that we’re not driving additional costs into the pool,” De. Bynoe said. “We have encouraged — and it has happened since — the operators the operators to be able to form a grouping amongst themselves where they can discuss not only matters of rig sharing but how do you deal with potential oil spills; how are you going to share assets amongst yourself.”
https://guyanachronicle.com/2019/11/07/contract-to-be-signed-this-week-for-cost-recovery-audit-dr-bynoe