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ExxonMobil and Guyanese livelihoods

Apr 04, 2025
Editorial, News


Kaieteur News- At first glance, there is an encouraging sound and feel to what American oil giant, ExxonMobil is promising.  Compensation for the loss of Guyanese livelihoods in the event of an oil spill.  We warn Guyanese not to be fooled, not to expect too much of either compassion or generosity from the oil company.  Business is for profit, and there is none more ruthless about its bottom line than ExxonMobil.

There have been no oil spills, no release of actual oil fluids, into Guyana’s waters, something for which all Guyanese should be thankful.  But there has been fallout from offshore oil operations, from spillage of a different kind, and with victims as proof.  Guyanese fisherfolk and those who depend on them for a living are the first victims, with material economic loss now their norm.  It would be helpful, a sign of its kind consideration, if the company were to say something about that wounding reality.

Doing something to provide relief to struggling fisherfolk would be worth more than all that ExxonMobil could say.  It would provide evidence of compensation, and of ExxonMobil’s sincerity, for loss of livelihood, due to impacts of oil operations on Guyana’s fishing sector.

Within the context of compensation for impacted Guyanese should there be an oil spill, there are a few essentials for Guyanese to note.  ExxonMobil’s promise about compensation applies only to oil project number seven, Hammerhead.  Also, compensation would not be considered for any and all oil spills, but on the size of one.  It is unknown at this time, whether small spills affecting a limited number of Guyanese would qualify for compensation, or inclusion in the company’s remediation program that is being bandied about.  With a corporate entity that is as tricky as ExxonMobil, one can never afford to be complacent.

Guyanese are learning of a “claims process” to be put in place, “to provide compensation as appropriate for asset losses.”  This has a solid ring to it, until serious emphasis is placed on that conditional “as appropriate”, which means that ExxonMobil has the first and final say about what is appropriate, if anything at all.  There it is in black and white.  “Eligible persons would be compensated as appropriate based on the magnitude of potential project-related impacts they individually experienced, either in regard to human health or as a result of economic loss.”  If anything, the company is being super careful, which the words used reinforce.  The objective of the livelihood remediation program would be “to restore the welfare and livelihoods of affected person to no less than pre-impact conditions.”  In other words, putting impacted Guyanese back to where they were before the consequences of an oil spill of magnitude bore down on them.

We call this program for what it is in the frankest terms.  It is a face saver for ExxonMobil, through what gives every impression of being the work of cheapskates.  Give potential victims some hope by appearing to be prepared to do some good for them, but as determined by the company and only the company ultimately.  Even more harshly, what this remediation program amounts to is that if poor Guyanese were struggling on their hands and knees in this rich oil producing country, that is precisely where they will be returned, and not one dollar more.  In other countries, those with real leaders and real vigilant regulatory agencies, the first objection would be to the absence of any wording or promise about other losses, beside barebones economic loss.  Health impacts could stretch for years and seep across generations.  But expecting even some provisions for compensation in such circumstances from ExxonMobil would be expecting too much, as such could prove to be too costly.

The company’s Environmental Impact Assessment (EIA) says lots of right things in the right way.  A clever public relations job, or a program with real substance to it, should there be an oil spill of magnitude, that is the question hanging before all Guyanese.  This is notwithstanding all the comforting words about designated geographic zones and rapid response to claims submitted.  Because ExxonMobil has been so miserly with Guyana, there is skepticism that Guyanese would be in caring hands, if an oil spill occurs.

(ExxonMobil and Guyanese livelihoods)


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