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🗞️ Driving the news: Guyana, once a global climate leader due to its vast rainforests, is now rapidly becoming a major oil producer, largely driven by ExxonMobil’s discovery of nearly 11 billion barrels of oil offshore
• Production is set to more than double to 1.3 million barrels per day by 2027, making it the fastest-growing oil-producing country through 2035.
🔭 The context: Since Exxon’s 2015 discovery, Guyana has leaned heavily on oil for economic growth, with GDP rising over 40% in 2024
• Yet critics argue the benefits favour Exxon, pointing to a 2016 contract allowing the company to recoup 75% of costs before profit-sharing, and limited trickle-down for local communities.
🌍 Why it matters for the planet: Guyana's transition into a petrostate raises alarms about climate hypocrisy, as the country is a rare carbon sink due to its rainforest cover
• Critics fear its oil expansion undermines global emissions targets and threatens the nation’s climate resilience, especially with its capital at risk from sea level rise
⏭️ What's next: Legal challenges and contract renegotiations are expected as public pressure mounts over the environmental impact and distribution of oil wealth
• The government promises better terms in future deals, while Exxon continues defending its operations amid lawsuits and oil spill liability rulings
💬 One quote: “The reality here is that the oil is not a blessing, it’s a curse and it’s only polluting our environment,” – Wintress White, Red Thread community activist
📈 One stat: Guyana’s GDP surged by over 40% in 2024, making it the world’s fastest-growing economy
See here detailed sustainability performance of companies like Shell, ExxonMobil and CNOOC Limited
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