Natural resources have contributed much in Guyana’s Economy. Gold and Diamond reserves have been the main contributors. The nation also relies on rainforests, sugarcane plantations, rice fields among others, not forgetting bauxite. It’s a surprise that Guyana has lots of natural resources but some of them are still untapped. Guyana has regions in which natural resources occur.
There are three counties namely; Berbice, Essequibo and Demerara. The geographic regions include the highland region, hilly and clay region, low coastal plains, and lastly the interior savannas
• Berbice is located in the inner region of Upper Demerara. It contains the largest part of the hilly clay and sand. The white sand contains the White Bauxite. A small part of rainforests is located in this region.
• The savannah highlands are mainly located in the upper region of this area. Wide variety of crafts and semiprecious stones are produced here.
• This region extends to the west part of the Berbice river, and thus rice farming ,
Sugarcane plantations, dairy and cattle ranching are done in this area. Generally, this is where all kinds of agricultural activities take place.
Guyana has abundant natural resources and some still remain untapped. This dynasty owns valuable untapped Gold, Diamond, oil and bauxite deposits. Some new activities such as afro-processing has added value to the productive regions and thus created a potential in renewable divisions like forestry. Its natural environment is untouched, hence creating attraction to biodiversity for tourism development. Its attractive resources create a preferred and cost effective route between the Caribbean, Brazil and the United States of America.
Generally, the newly discovered economic regions of the sea have created a huge expansion of access to mineral resources and fishing. Oil, bauxite, natural gas, and agriculture related activities still remain untapped. These resources have a great potential of creating products that could be exported to the rich northern regions where most of the world’s expanding industries exists. The forestry commission in Guyana is understaffed, and mostly lacks sufficient facilities. This is a major reason why the agricultural sector is still not fully exploited.
Guyana has now confirmed a second Oil well. This confirms that Guyana’s Oil reserve is even bigger than predicted. Liza two, the second Oil reserve, is expected to produce more Oil just like the first one. Drilling of this reserve started in April 2017 thanks to Exxon Mobil which made this discovery; they also discovered and drilled the first well (Liza One). Experts say that Guyana will be conspicuously placed in the Oil and Gas map.
Oil prices are currently low, though history proves that it will go back. Exxon Mobil is a drilling company in the United States of America. The company’s experts are currently exploring necessary equipment at lower prices in order to get the most out of the oil industry. Guyana’s coastal water has the richest natural Oil and Gas discovered in decades. Experts say that one of the offshore fields carries a capacity of over 1.4 billion barrels of crude Oil and gas as compared to some fields drilled in South America. Venezuela’s eastern parts of the continent coast will be exporting almost all the Oil it will produce by around 2020. This is due to the plan to build a processing server center on Crab Island. This major investment will be established in one of the poorest countries in the region of Guyana. The United States advised Guyana on how to get ready for a lucrative business and a boom period. They advised the nation to make new policies and financial agreements on the environment.
These discoveries indicate that South America has become a crucial Oil supplier in the world market. Brazil and Colombia are major producers of Oil, not forgetting Argentina which followed the same direction. Many countries have made a pledge to invest at least five billion in 2017 and more in the years ahead. Exxon Mobil experts also said that since Liza and Payara fields (Chinese owned drilling company) are close to each other even though in different reservoirs, there may be more untapped fields in Guyana offshore waters.
The Guyana government is planning to provide new aircraft and use any technology to boost its small military so as to increase border protection around the fields; this will give comfort to Exxon and other investors.
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