Will a new oil boom be brewing in South America…..
Guyana, the only English speaking country in South America…..maybe a little background will help understand…..before we go on…..
Originally a Dutch colony in the 17th century, by 1815 Guyana had become a British possession. The abolition of slavery led to settlement of urban areas by former slaves and the importation of indentured servants from India to work the sugar plantations. The resulting ethnocultural divide has persisted and has led to turbulent politics. Guyana achieved independence from the UK in 1966, and since then it has been ruled mostly by socialist-oriented governments. In 1992, Cheddi JAGAN was elected president in what is considered the country’s first free and fair election since independence. After his death five years later, his wife, Janet JAGAN, became president but resigned in 1999 due to poor health. Her successor, Bharrat JAGDEO, was elected in 2001 and again in 2006. Early elections held in May 2015 resulted in the first change in governing party and the replacement of President Donald RAMOTAR by current President David GRANGER. After a December 2018 no-confidence vote against the GRANGER government, national elections will be held before the scheduled spring 2020 date.
Guyana is the only English-speaking country in South America and shares cultural and historical bonds with the Anglophone Caribbean. Guyana’s two largest ethnic groups are the Afro-Guyanese (descendants of African slaves) and the Indo-Guyanese (descendants of Indian indentured laborers), which together comprise about three quarters of Guyana’s population. Tensions periodically have boiled over between the two groups, which back ethnically based political parties and vote along ethnic lines. Poverty reduction has stagnated since the late 1990s. About one-third of the Guyanese population lives below the poverty line; indigenous people are disproportionately affected. Although Guyana’s literacy rate is reported to be among the highest in the Western Hemisphere, the level of functional literacy is considerably lower, which has been attributed to poor education quality, teacher training, and infrastructure.
Now that the reader has gotten caught up let me explain why this is a post.
As we know the world runs on oil..Saudi oi, Iranian oil, Nigerian oil, Venezuelan oil and on and on…..and now the South American country has oil deposits for the world yo exploit…
In 2015, the Cooperative Republic of Guyana became a subject of interest among the oil industry operators. After decades of the granting of an exploration license in the Stabroek block, Exxon Mobil notified the discovery of prolific oil reservoirs. The discovery of hydrocarbons in the Liza I field, qualified as the biggest discovery that year in the world, put the country on the map of this industry and attracted the attention of other operators interested in business opportunities in new oil provinces. Since then, the growth in the number of discoveries has opened up the possibility of Guyana becoming a major oil producer and using that wealth as a basis to boost the economic development of one of the poorest countries in the Americas. However, along with this opportunity, the Guyanese government also needs to face the challenge of making proper use of these resources that are just beginning to flow in order to avoid adverse effects. The challenge is linked to phenomena such as the resource curse or the paradox of plenty, which have proven to be real obstacles to economic development in countries with resource-intensive economies, particularly oil. For this reason, this work analyzes the opportunities and challenges of the boom of the oil industry for the Guianese economic development.
The new petro state to join the community of petro states……Johnny come lately…..in a time when solar, wind and such are becoming more popular…..
How will Guyana fare in this age of climate change?
Will the nation be exploited? Or will it be in control of its own resources?
I Read, I Write, You Know
“lego ergo scribo”