ExxonMobil credits Guyana partnership model for avoiding local content pitfalls

Published: 2026-05-12 10:14:08 ET XOM

Published on 05/12/2026 at 10:14 am EDT

Guyana sidestepped the corruption and inefficiency that have undermined local content programmes in other oil-producing nations because operators, government and the private sector maintained continuous dialogue throughout the sector's development, ExxonMobil Guyana President Alistair Routledge said at the Offshore Technology Conference in Houston, OilNOW reported.

Routledge said he had initially pushed back against Guyana's Local Content Act, passed in December 2021, based on negative experiences in other jurisdictions where similar frameworks became restrictive and created openings for corruption. 'I debated with the government quite extensively that that didn't seem like the best practice,' he said.

The outcome proved him wrong. 'What we've seen in Guyana is this partnership process,' Routledge said, crediting continuous engagement between policymakers, operators and local companies for aligning all parties around a common objective as offshore developments accelerated.

He said Guyanese businesses adapted rapidly despite the country's limited industrial base at the outset of the oil boom. 'While the starting point, from an industrial point of view, was low, the Guyanese have proven to be very industrial, entrepreneurial, risk-taking,' he said. 'These are people that want to learn about our industry and to be involved.'

The offshore sector now employs around 9,000 people in Guyana, 70% of whom are Guyanese nationals. ExxonMobil and co-venturers Hess and CNOOC currently operate four producing developments in the Stabroek Block.