HGP Nightly News – President Irfaan Ali says Guyana needs an oil refinery and greater fuel storage capacity as part of a wider plan to strengthen the country’s energy security.
Despite producing crude oil, Guyana continues to import the refined fuel it consumes.
Ali said this leaves the country exposed to global price movements and supply disruptions.
“We produce crude oil, but we import all refined oil, our gasoline and everything,” he said.
The President believes a local refinery could provide greater security of supply and some protection against external shocks.
He disclosed that there is investment interest in establishing such a facility.
But a refinery is only one part of the plan.
Ali said Guyana must also increase its fuel storage capacity.
He raised the question of whether the country should maintain reserves covering 30, 90 or even 120 days.
Current storage levels, he argued, are not keeping pace with Guyana’s development.
The government is also considering how a National Oil Company could fit into the wider energy system.
Ali said such a company would not necessarily operate as an investor, but could have a broader role in managing supply.
The longer-term ambition is regional.
Ali wants Guyana to become a supplier of refined petroleum products to CARICOM and other markets, including the Dominican Republic.
Guyana and the Dominican Republic have already held discussions on establishing a local refinery.
Earlier proposals contemplated a facility capable of processing about 50,000 barrels of oil per day.
With Guyana’s crude production continuing to rise, Ali said the focus must now extend beyond simply producing oil.
The country, he argued, must secure its own energy needs while extracting greater economic benefits from the sector.
