Pres. Ali eyes Gulf state investment in local storage facilities

Guyana’s President Dr. Irfaan Ali believes that Gulf states should invest in large-scale storage facilities in the South American nation as part of efforts to cushion the impact of global disruptions.

“I want to present Guyana as that location, that geographic location that can be a strategic location and a strategic storage for countries in the Gulf,” President Ali said at a recent event.

Those storage facilities could be for fuel or fertilisers, products crucial to energy and food security.

His comments came in the wake of global disruptions caused by escalating tensions in the Middle East and the ramifications on the critical Strait of Hormuz. The President said countries’ energy security and trade are vulnerable to such disruptions. However, he believes that investments in Guyana could help.

According to President Ali, investing in Guyana is strategic because the country has access to the Atlantic Ocean and Brazil, and it enjoys regional trade agreements. Moreover, the President said Guyana has natural assets of its own—gold, oil, and natural gas—that can be tapped.

Because he believes in Guyana’s potential, the President said technical engagements for this venture are already underway. He did not name which Gulf state might be engaged in the venture, but Guyana has seen increasing cooperation with Saudi Arabia, Qatar, and the United Arab Emirates.

Days before, the Guyanese Head of State said the ongoing conflict in the Middle East has once again demonstrated why the establishment of a local oil refinery is crucial. Guyana, an oil hotspot producing more than 900,000 barrels daily, stands to benefit from higher oil prices, but government interventions that have long cushioned inflationary pressures must be sustained. For the country’s President, an oil refinery here is crucial.