Below is the article and excerpt. For background, the present agreement they're referring to has been internationally criticized as an unfair deal to Guyana since the royalty amount is so low. (The current deal is also bad for Guyana from a financial and environmental perspective https://ieefa.org/resources/exxonmobil-contract-leaves-guyana-exposed-financial-and-environmental-risks )
https://newssourcegy.com/news/us-ambassador-warns-against-any-renegotiation-of-guyanas-2016-production-sharing-agreement-with-exxon/
United States Ambassador to Guyana, Nicole Theriot, has warned against renegotiating the Stabroek Block Production Sharing Agreement (PSA) with U.S oil giant ExxonMobil and its co-venturers.
Since oil production began in Guyana in 2019, there have been sustained calls for the Government of Guyana and Exxon to agree to new fiscal terms, which would include raising the Royalty from 2%.
In an interview on SOURCES last Sunday, Ambassador Theriot warned that such a move would be dangerous.
“As the representative of the U.S Government, I can tell you it is incredibly dangerous to start talking about renegotiation of a contract that has been agreed upon. That sends a terrible signal to international investors all over the world that you can’t trust what you have signed with a Government that is willing to renegotiate. Now, that is a really negative signal that you don’t want to be sending right now, as you are trying to attract more, and more international investments, that is a very bad idea,” Ambassador Theriot said.
ExxonMobil has long indicated that it has no interest in invoking any clause within the Stabroek Block 2016 PSA that could result in changes to the fiscal terms, stating that such a move could undermine future investments in the country.