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Climate science denial, ExxonMobil, Fossil Fuel Divestment Movement, Fossil fuel industry, Guyana offshore oil reserves
ExxonMobil Web of Climate Science Denial
Photo Credit: DeSmogBlog
In spite of scientific consensus worldwide that we must transition to cleaner forms of energy and to keep fossil fuel reserves in the ground, ExxonMobil shows no sign of winding down its oil and gas explorations. In May 2015, they announced a significant oil discovery in the Stabroek (Guyana) block about 120 miles (193 kms) offshore. What elation for the newly-elected Guyana government! For a poor developing country, the prospect of oil riches seems a lifeline.
This month, the great news circulated across the fossil fuel industry. “The United States Geological Survey ranks Guyana-Suriname as the world’s second-most prospective, underexplored offshore basin, with an estimated 13.6 Bbbl of oil and 32 tcf of natural gas yet to be discovered,” declared the Offshore Magazine on July 7, 2016.
The article further stated that: “ExxonMobil is reportedly moving Liza [exploration well on the Stabroek block] into the pre-front-end engineering and design phase. Despite low oil prices, analysts such as Douglas-Westwood agree a fasttrack development, while capital-intensive, could provide large potential returns on investment.”
ExxonMobil is by no means alone in its pursuit of more profits. While its affiliate Esso Exploration & Production Guyana Ltd. (USA) holds 45% interest, its partners Hess Guyana Exploration Ltd. (USA) and CNOOC Nexen Petroleum Guyana Ltd. (Canada/China) hold 30% and 25% interest, respectively.
Other players have also gotten on board. In January 2016, Guyana’s Minister of Natural Resources signed a petroleum prospecting license and production-sharing agreement with the joint-venture team of Tullow Guyana BV (UK) and Eco (Atlantic) Guyana Inc. (Canada?) with 60% and 40% interest, respectively.
Commercial production is not expected to begin until another four years. That’s 2020. With continued record-breaking hot temperatures since 1880, Earth’s climate system already shows alarming changes. Rising sea levels, due to melting ice caps, is not good news for Guyana where the majority of the population lives along the low-lying coastal region. Will Guyana’s petrodollars come in time to relocate its capital and build a new port for the oil tankers?
While Guyana plans for its oil-rich future, ExxonMobil continues to fund climate science denial. Although they knew decades ago that carbon dioxide emissions from the use of their products could result in dangerous climate change impacts, ExxonMobil chose to deceive their shareholders and oil-addicted consumers.
During their presentation before the U.S. Senate on July 11 and 12, nineteen Senators repudiated the ways America’s largest oil and gas multinational corporation and others in the fossil fuel industry “developed a sophisticated and deceitful campaign that funded think tanks and front groups, and paid public relations firms to deny, counter, and obfuscate peer-reviewed [climate science] research.”
The degree of deception demonstrates the industry’s lack of moral values. To endanger the lives of millions of people across our planet is a crime against humanity. Could it be that ExxonMobil and its facilitators have become victims of their own deception?
What about the people of Guyana? What environmental risks do they face in the not too distant future?
Three Worlds One Vision 
Your post explores the danger of continued reliance upon fossil fuel in a very meaningful way. It is unfortunate the citizens of Guyana can’t raise their standard of living in a less harmful way. The poor are always being taken advantage of in so many different ways.
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So true, Bernadette. The vulnerability of poor countries makes ExxonMobil’s exploitation so much easier. What’s worse – based on Douglas-Westwood’s analysis – it’s all a gamble that oil prices will go up in the future.
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As you suggest, Rosaliene, ExxonMobil acts as though they will be free of the environmental impact, as will those they love. Human life becomes an abstraction, the kind of collateral damage nations describe as unintended (but unavoidable) consequences. Absent some restraint on their environmental indifference, their world will collide with the one the rest of us live in. Cold comfort (no pun intended), since all of us, including them, live on the same spaceship earth.
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Dr. Stein, perhaps they believe that their luxurious, underground bunkers will keep them safe from the societal breakdown and chaos that will ensue.
http://www.theblaze.com/stories/2015/11/18/take-at-look-inside-this-luxury-underground-bunker-capable-of-withstanding-a-20-kiloton-nuclear-blast-thats-on-the-market-for-17-5-million/
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I’m sure you found it ironic that there is a solar energy backup for their more conventional power plant!
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Very ironic, indeed, Dr. Stein.
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Reblogged this on Guyanese Online.
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Thanks for sharing, Cyril. Have a sunshine week 🙂
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Exxon are the new big bosses in Guyana
‘devolvement’ moving at warp speed
the govt is promising a good and green life for all 🙂
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A multinational like ExxonMobil has way more money and influence than a small nation like Guyana. Their promises are small change.
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Reblogged this on mark jacobs lives! and commented:
What about the people of Guyana? What environmental risks do they face in the not too distant future?
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Thanks for sharing my article, Mark 🙂
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Rosaliene,
This is a systemic problem, driven by stock churning on Wall Street. I’ll bet Exxon’s stock went up when this announcement was made. And I believe they are bluffing to some extent, because they need cash flow in the present to keep up with expenses, including the huge dividends they pay to keep their stockholders from bailing.
With the glut on the market, and the general decrease in energy use, such as in shipping, the energy companies are having trouble maintaining what they already have. They are cutting corners, staff, and projects, and competing with too many oil sources around the world.
Unfortunately, the decision makers in Guyana have been hoodwinked by expectations of huge profits or raised standard of living, but any profits will go out of the country. Guyana will get the waste, and probably a lot of government debt along the way, as it builds infrastructure to accommodate the anticipated income. Confessions of an Economic Hit Man, by John Perkins, describes how this process works.
I think it’s time for awakened people to call their bluff, sell oil company stock and tell everyone else to do the same. That is their weakest spot, and they are terrified. If they were on the up and up, they wouldn’t need to hurry. This is a great time, practically speaking, to leave the oil in the ground.
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Thanks for sharing your insights, Katharine. Your following analysis would be detrimental to the people of Guyana:
“Unfortunately, the decision makers in Guyana have been hoodwinked by expectations of huge profits or raised standard of living, but any profits will go out of the country. Guyana will get the waste, and probably a lot of government debt along the way, as it builds infrastructure to accommodate the anticipated income. Confessions of an Economic Hit Man, by John Perkins, describes how this process works.”
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Why would it be detrimental? Wouldn’t it be helpful for leaders to know what a con this is?
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Poor wording on my part, Katharine. It would be detrimental if your analysis proved to be accurate. In writing the article, I hoped that my Guyanese readers would see the risks of doing business with ExxonMobil and getting into the fossil fuel industry at this stage in the game.
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I’ve been thinking a lot about this. What if we were to reach out to the women of places like Guyana, initiate discourse about what it’s like from their perspective? Brazil, Venezuela, and Cuba, too.
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An interesting proposal, Katharine. If you wish to learn more about the Caribbean Forum on climate change and be part of the conversation, you can sign up to participate at the following link:
http://caribbeanfutureforum.com/climate-change-3/
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I could do that, but I spend very little time online. I’d rather do things than talk about them, unless I’m talking to someone at a grass roots level, like the women directly affected and what it’s like for them and their children.
I’m tired of hearing the same old propaganda from the ivory tower elitists who have more credentials than sense. They are the reason those women and children are suffering, and someone needs to connect those dots with the women themselves.
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Katharine, I’m affiliated with 350.org here in the USA.
I’ve found the following women’s grassroots group that might be of interest to you.
Women’s Earth & Climate Action Network, International at http://wecaninternational.org/pages/who-we-are
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Thanks. Will check it out.
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Reblogged this on The Most Revolutionary Act and commented:
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“The degree of deception demonstrates the industry’s lack of moral values. To endanger the lives of millions of people across our planet is a crime against humanity. Could it be that ExxonMobil and its facilitators have become victims of their own deception?”
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Thanks for sharing my post, Dr. Bramhall.
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Pingback: Climate Disruption: Is ExxonMobil victim of its own deception? | Three Worlds One Vision | AGR Daily News Service
Thanks for sharing my blog post with your readers.
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