HGP Nightly News – Natural Resources Minister Vickram Bharrat is demanding early progress under Guyana’s three-year oil exploration agreement with Dominican Republic state-owned refiner Refidomsa.
The company has been given between four and six months to begin activities in the Berbice Block, Bharrat disclosed during an appearance on the Starting Point podcast.
“We have given them a very short time frame to start these activities,” he said. “Within four to six months, we must see some kind of activities within the Berbice Block.”
The demand puts Refinería Dominicana de Petróleo S.A., known as Refidomsa, under pressure to move the project beyond agreements and diplomatic commitments.
Bharrat did not define the level of activity the Government expects within that period. It is unclear whether Refidomsa must begin seismic work, make preparations for drilling or complete preliminary technical studies.
He also did not say what action Guyana could take if the company fails to meet the deadline.
Guyana and the Dominican Republic signed the agreement in May, allowing Refidomsa to explore the block for oil and natural gas over three years. A commercial discovery could eventually lead to development and production.
The deal emerged from discussions between President Irfaan Ali and Dominican Republic President Luis Abinader. Technical teams from both countries later negotiated its terms, Bharrat said.
It was concluded under provisions of the Petroleum Activities Act permitting direct government-to-government negotiations in certain circumstances.
Bharrat stressed that the block was not created specifically for the arrangement.
“The Berbice Block was an existing block,” he said. “This block wasn’t created for any special agreement or for the DR.”
The acreage was previously held by On Energy, a subsidiary of CGX Energy, and returned to the State in 2023 after being relinquished.
Earlier exploration included the drilling of the Rosehall-1, L’Esperance-1, Yakusari, Albion, Hermitage-1 and Skeldon-1 wells. None led to commercial production.
Under the reported terms of the agreement, Refidomsa will represent the Dominican State and receive a 10 per cent stake without making an upfront capital investment.
Should commercially viable reserves be found, the Dominican Republic could gain access to Guyanese crude oil or natural gas on preferential terms, supporting its long-term energy security.
Bharrat said Guyana expects the project to create opportunities in Region Six. No estimates have been disclosed for employment, local procurement or investment.
The arrangement could revive exploration in acreage outside the prolific Stabroek Block while strengthening relations between Guyana and the Dominican Republic. Its value, however, will depend on whether Refidomsa attracts the necessary financing and technical expertise to conduct meaningful exploration.
The first test will come quickly. Refidomsa has up to six months to show that the three-year deal is producing work—not simply promises.
