The Environmental Protection Agency (EPA) has modified the environmental permit issued to ExxonMobil for the Liza 1 Development project in wake of the ongoing flaring issues.
The modified permit will now include specific regulatory requirements for flaring of associated gas offshore Guyana, in accordance with the EPA’s legislation. This comes as the company resumes flaring offshore Guyana.
In a statement the EPA revealed that flaring has restarted offshore Guyana because of a technical issue with the oil production vessel.
“The company was projected to exceed the 14 billion Standard cubic feet (Bcf) of gas estimated to be flared by the Environmental Impact Assessment (EIA) for the project on May 13, 2021,” the EPA noted.
Flaring concerns were raised recently when the company increased the flaring of natural gas after the flash gas compressor aboard the Liza Destiny vessel (FPSO) encountered several issues.
The EPA said the modified environmental permit includes revised terms and conditions relating to emissions reporting requirements, technical considerations for flaring, timeline for flaring events and an obligation on the company to pay for the emission of Carbon dioxide equivalent (C02e) as a result of flaring in excess of these timelines.
The company has agreed to pay the EPA US$30 per tonne of emission of Carbon Dioxide equivalent.
Further, EPA said it has been engaging the ExxonMobil company regarding the technical and legal issues of the modified permit.
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