South America’s newest oil producers, Guyana and Suriname, have become a hotspot for oil and gas project activity. Following a string of successful discoveries in Guyana's Stabroek block, developed by ExxonMobil and partners since the original Liza-1 find in 2015, the country is on track to produce around 800,000 barrels per day (b/d) in the near future, supported by four FPSOs, including the recently commissioned One Guyana FPSO. As part of this dynamic new exploration frontier, neighbouring Suriname is emerging as the next growth market for E&P in the region. The GranMorgu project, led by TotalEnergies in Block 58, is expected to lift current marginal output of around 20,000b/d to more than 220,000b/d by 2028, leveraging reserves that share similar geological formations with Guyana’s Stabroek block.

In Guyana, additional development phases, featuring some of the world’s largest FPSO designs by SBM Offshore and Modec, are progressing. The Uaru and Whiptail field development projects are scheduled to begin operations in 2026 and 2027, respectively. A seventh and eighth phase, the Hammerhead and Longtail fields, are also confirmed and advancing. With the reserves already discovered, development phases in the Stabroek block could ultimately total ten phases.

In Suriname, estimated recoverable resources stand at 2.2 billion barrels of oil equivalent. The latest licensing round saw PetroChina acquire operatorship of Blocks 14 and 15. Additionally, Staatsolie and Petronas signed a production sharing contract for Block 66, bringing the share of Suriname’s offshore acreage under contract to approximately 50%. Exploration and appraisal campaigns continue, with a wave of drilling anticipated across several offshore blocks, including up to ten exploration or appraisal wells expected in 2025 and late 2026.

While E&P remains the main source of opportunities in Guyana, midstream and power are emerging sectors. The nation’s Gas-to-Energy project is underway, with a 250km pipeline being constructed from the Liza field to the shore, alongside a gas processing plant and a gas-fired power station. The project aims to reduce reliance on fuel imports and replace diesel and fuel oil with cleaner natural gas for power generation, strengthening the country’s energy security. 

According to EICDataStream, projects and CAPEX in Guyana and Suriname total 18 projects and over US$74bn, respectively, with contract activity growing steadily each year. From new FPSOs to pipelines and gas processing plants, the South American countries offer a wealth of opportunities for the energy supply chain.