Guyana’s energy landscape is dominated by the burgeoning oil and gas sector, with significant recent discoveries that position the country as a major player in the global energy market. Guyana’s recent oil discoveries represent one of the most prolific of this century, boasting 11 billion barrels of proven oil reserves and an estimated recoverable natural gas reserve of approximately 17 trillion cubic feet. The country now ranks as the third largest in Latin America and the 17th largest globally in terms of oil reserves. Guyana's key offshore block, the Stabroek block, has been hailed as one of the most important oil and gas blocks in recent history, leading to substantial economic growth. By 2027, daily oil production is expected to reach 1.3 million barrels per day, with several projects in development, including Payara, Yellowtail, Uaru, and Whiptail.

Aside from oil, Guyana is making strides in gas development. The gas-to-energy project, slated for completion by 2025, will significantly reduce electricity costs by up to 50% and support economic diversification. This project is expected to supply 300 MW of electricity to the national grid, making it a transformative initiative for the country's energy future. Guyana is also becoming a key regional energy hub while focusing on sustainable practices. The country is adopting natural gas for cleaner power generation and facilitating investments in renewable energy, including a major hydropower project underway to improve national grid power.

As Guyana aims to be among the last oil producers, providing cleaner fuels, Vice President Bharrat Jagdeo underscores this commitment: "We will remain carbon negative even when we are producing 1.5 million barrels per day." This approach highlights Guyana's efforts to enhance energy capabilities while prioritizing environmental sustainability.

Investment Opportunities in Guyana’s Energy Sector

Guyana offers numerous opportunities for investors in its energy sector, particularly in the monetization of gas. The projected increase in gas production—estimated at 17 trillion cubic feet—opens avenues for various applications, including:

• Gas-to-Energy Projects: These initiatives will leverage natural gas to generate electricity, providing a sustainable and cost-effective energy solution while creating additional power generation capacity.
• Industrial Uses: Natural gas can be used as a feedstock for petrochemical plants and other industrial applications, fostering new manufacturing opportunities within Guyana.
• Export Potential: With increasing global demand for liquefied natural gas (LNG), Guyana is positioned to develop infrastructure for LNG exports, further capitalizing on its gas reserves.

The growing oil and gas industry presents a wealth of opportunities for support companies to provide goods and services. The Local Content Act of 2021 encourages foreign companies’ partnership with Guyanese firms in key areas withing the Oil and Gas economy, creating avenues for mutually beneficial collaborations.

Other areas for investment include in Solar and Wind Energy and other green and renewable energy such as biomass, Onshore and offshore oil exploration, and Oil block development. 

Investment incentives include tax exemptions for new investments, accelerated depreciation on equipment, and duty-free importation of machinery for renewable energy and oil-related projects. Additionally, the government offers attractive fiscal incentives for infrastructure development, including roads, ports, and energy facilities.

As Guyana aims to diversify its economy to avoid over-reliance on oil, opportunities in renewable energy (hydro, solar, and wind), manufacturing, and services sectors are emerging. The planned expansion of coastal grids and electrification of hinterland areas offer further prospects for investors.

Guyana’s geographic location, political stability, and pro-business government policies, including tax exemptions, make it an attractive destination for energy investments. With continued oil production growth, the country is expected to remain one of the fastest-growing economies globally in the coming years.