…in talks with oil & gas companies, commercial shippers
Vreed-en-Hoop Shore base Incorporated (VESHI) – the consortium of local companies currently developing an artificial island in the Demerara River – is looking to expand the island as they bring on new clients.
VESHI Director Nicholas Deygoo-Boyer explained to this publication in an exclusive interview that they are looking to add a commercial shipping section to the island, as well as a fuel storage and bunkering section. This is even as they are in talks with potential clients that include oil and gas (O&G) downstream companies.
“We’re trying to expand the area to have a commercial shipping section as well as a fuel storage and bunkering section. We’re discussing with potential commercial shippers… as well as downstream O&G companies. Downstream companies would store fuels like diesel and marine fuel,” Boyer explained.
Last week, President Dr Irfaan Ali had toured the artificial island. During the tour, Boyer had explained that they have received interest from other potential clients who are interested in commercial shipping, among other things. He also spoke about the number of people who will be employed on the island.
“From our side, we’re probably looking at about 25 to 50. That’s as shore base maintenance. As Exxon, they’re probably going to employ between 50 and 100, depending on the scale of the fabrication activities,” Boyer had said.
“As of December, you’re probably going to see a workforce of around 150 people. And that is only in the first phase. As they expand operations this will increase. And this is not also considering indirect workforce. The drivers, caterers.”
This new island is part of the reclaimed land that will be transformed into the estimated 44-acre mega-project to create the shore base facility for ExxonMobil and forms part of Port Vreed-en-Hoop.
Phase one of the project, which will be completed by this year end, is meant to be the special purpose vehicle to serve as a SURF (Subsea Umbilicals, Riser and Flowlines) Shorebase for ExxonMobil subsidiary Esso Exploration and Production Guyana Limited’s (EEPGL) projects.
To date, the deepening, widening and dredging of the access channel as well as the removal of wreckage were completed. A total of 30km at a 9m depth was dredged, starting from the shore base at Vreed-en-Hoop.
Previously, the channel had a 5m depth at the lowest tide compared to 9m now. Further, the width of the channel was dredged to a whopping 100m, which will now accommodate two vessels – one coming out and one going in.
This phase has been hailed a success by the project managers and the upgraded channel has been handed over to the Maritime Administration Department (MARAD). Nevertheless, the project managers have warned that the site remains an active construction zone and landing on the island is prohibited. As such, the public is urged to remain clear of the construction zone and to adhere to the previously issued notices.
According to the project directors, the support and encouragement given by the Government of Guyana have been reassuring and augur well for additional investment and the future of Guyana. The project is expected to become operational in 2023, with the second phase set to commence in 2024.
In April 2022, ExxonMobil Guyana and VEHSI signed a 20-year agreement for shore base services to be provided at the port of Vreed-en-Hoop facility to support the US oil giant’s operations offshore Guyana. The sod was subsequently turned in June on the US$300 million facility.
VEHSI is a joint venture between a fully-owned Guyanese consortium – NRG Holdings Incorporated, and Jan De Nul Group, the Belgium-based company undertaking the project that specialises in offshore, marine, civil, environment, and project development.
The consortium includes Hadi’s World Inc, owned by businessmen Nazar “Shell” Mohamed and Azruddin Mohamed; Nicholas Boyer and Eddie Boyer of National Hardware Guyana Limited; and Andron Alphonso of ZRN Investments Inc. NRG holds a majority stake of 85 per cent in VEHSI, while the remaining 15 per cent is owned by Jan De Nul – the company that will construct the facility.
The multimillion-dollar port, when completed, will feature an offshore terminal; fabrication, umbilical and spooling yards; a dry dock facility; a wharf and berths, and administrative buildings, among other facilities spanning 65 hectares.
