Guyana’s Minister of Natural Resources Vikram Bharrat has offered strategic counsel to neighboring Suriname regarding local content policy formulation for emerging oil economies. Speaking with Starnieuws during a Production Sharing Agreement signing with Ghana’s Cybele Energy, Minister Bharrat emphasized the critical balance between national development and investor attraction.
“The best advice I can give Suriname in its pursuit of local content policy is to create well-considered legislation applicable to national development while keeping doors open for investors,” stated Minister Bharrat. Guyana has transitioned from basic local content policies to comprehensive legislation mandating foreign companies to hire Guyanese citizens and contractors while implementing skills transfer programs.
Senior Petroleum Advisor Bobby Gossai, present at the PSA signing ceremony at Pegasus Hotel, highlighted that attracting foreign investors remains a priority in multinational negotiations. “Corporate capabilities must align with our national conditions,” Gossai explained. “During negotiations, we ensure companies understand our established timelines and investment focus areas for coming years.”
The negotiation process for agreements like PSA requires companies to recognize the Guyanese government’s dual responsibility to both corporate partners and society. Extensive development has gone into Guyana’s fiscal policy for oil and gas, including 10% royalty fees, 10% taxes, cost recovery mechanisms, and profit sharing arrangements.
Guyana has secured seven Foreign Direct Investment contracts since beginning its transformation into one of the world’s fastest-growing economies. Following over 30 oil discoveries since 2015, four sites are currently operational with two additional sites expected within two years. The seven FDIs include Liza Phase 1 (2017), Liza Phase 2 (2019), Payara (2020), Yellowtail (2022), Uaru (April 2023), Whiptail (April 2024), and Hammerhead (September 2025).
Minister Bharrat confirmed the ongoing strategy: “The intention is naturally to attract as many investors as possible” while maintaining responsible resource management and national benefit structures.