Current:Home > InvestSuriname prepares for its first offshore oil project that is expected to ease deep poverty-InfoLens
Suriname prepares for its first offshore oil project that is expected to ease deep poverty
View Date:2024-12-23 14:12:06
PARAMARIBO, Suriname (AP) — Suriname for the first time in its history will see offshore oil drilling in its waters after French company TotalEnergies on Wednesday announced a $9 billion project expected to boost the impoverished country’s economy and ease austerity measures imposed by the International Monetary Fund.
CEO Patrick Pouyanné said previous exploration suggests the two sites where the company would drill could yield close to 700 million barrels, with first production expected by late 2028. TotalEnergies is the operator of the oil block and equal partner with Texas-based APA Corp., an energy company.
The announcement was celebrated by Suriname President Chan Santokhi, who pledged that the people of the South American country would benefit from the investment.
“Suriname is going through a challenging economic period,” he said. “This announcement provides the much-needed outlook toward positive developments for our nation.”
About 70% of the country’s roughly 640,000 inhabitants live below the poverty line and are struggling with an inflation rate that has risen 60% in the past year.
In February, protesters stormed Suriname’s Parliament to decry the end of government subsidies that sparked a rise in the cost of power, fuel and water. Demonstrators in March once again took to the streets and demanded that Santokhi resign.
Annand Jagesar, CEO of the state-owned Staatsolie oil company that produces some 17,000 barrels a day from on-shore drilling, praised the upcoming deep-water project.
“This development, aided by good governance, should lift Suriname to a stage where poverty is totally eradicated,” he said.
Pouyanné said the company expects to extract some 200,000 barrels of oil a day.
“TotalEnergies is committed to the authorities of Suriname to develop this project in a responsible manner, both by ensuring benefits in terms of job creation and economic activities for Suriname and by using the best available technologies to minimize greenhouse gas emissions,” he said at a press conference.
The waters off Suriname and neighboring Guyana are believed to be rich in gas and oil deposits.
Guyana, which has become one of world’s biggest offshore oil producers, opened bids for additional oil blocks late Tuesday.
veryGood! (957)
Related
- Watch as dust storm that caused 20-car pileup whips through central California
- Rays coach Jonathan Erlichman is Tampa Bay's dugout Jedi – even if he didn't play baseball
- Rachel Bilson Reveals Embarrassing Flirting Attempt With Justin Timberlake
- New Orleans' drinking water threatened as saltwater intrusion looms
- 'Bizarre:' Naked man arrested after found in crawl space of California woman's home
- Five children break into Maine school causing up to $30,000 in damages: police
- Car crashes into Amish horse-drawn buggy in Minnesota, killing 2 people and the horse
- California education chief Tony Thurmond says he’s running for governor in 2026
- Mike Tyson employs two trainers who 'work like a dream team' as Jake Paul fight nears
- US sanctions 9 tied to Mexico’s Sinaloa cartel and leader of Colombia’s Clan del Golfo
Ranking
- Whoopi Goldberg calling herself 'a working person' garners criticism from 'The View' fans
- Jill Biden unveils dedicated showcase of art by military children in the White House East Wing
- Brooke Hogan Shares Why She Didn’t Attend Dad Hulk Hogan’s Wedding
- Trump opposes special counsel's request for gag order in Jan. 6 case
- This is Your Sign To Share this Luxury Gift Guide With Your Partner *Hint* *Hint
- New York's right-to-shelter policy faces scrutiny amid migrant crisis
- When do new 'American Horror Story: Delicate' episodes come out? Schedule, cast, how to watch
- Why a Jets trade for Vikings QB Kirk Cousins makes sense for both teams in sinking seasons
Recommendation
-
Footage shows Oklahoma officer throwing 70-year-old to the ground after traffic ticket
-
Film academy gifts a replacement of Hattie McDaniel’s historic Oscar to Howard University
-
Less-redacted report on Maryland church abuse still redacts names of church leaders
-
Spain charges pop singer Shakira with tax evasion for a second time and demands more than $7 million
-
Diddy's ex-bodyguard sues rape accuser for defamation over claims of 2001 assault
-
'I never even felt bad': LSU women's basketball coach Kim Mulkey on abrupt heart procedure
-
Oregon man convicted of murder in fatal shooting of sheriff’s deputy in Washington state
-
Supreme Court denies Alabama's bid to use GOP-drawn congressional map in redistricting case