LatAmOil: Stabroek partner to buy $750mn in carbon credits from Guyana

US-based Hess, a minority shareholder in the offshore Stabroek block, has signed an agreement with the government of Guyana on the purchase of 37.5mn carbon credits between 2022 and 2032.

The document, which was finalised at a ceremony witnessed by the company’s CEO John Hess and Guyanese President Irfaan Ali, provides for Hess to acquire 2.5mn carbon credits per year for the period between 2016 and 2030. It includes 12.5mn “legacy” carbon credits from the 2016-2020 interval, when the government was led by former President David Granger, Guyana’s Vice President Bharrat Jagdeo explained at the ceremony.

Hess noted that the credits involved in the transactions would be listed on the public registry of the Architecture for REDD+ Transactions (ART), and independently verified to ensure that they met the TREES standard for permanent and additional reductions in emissions. It also made note of ART’s issuance and validation of 33.47mn legacy credits for the 2016-2020 period.