Hold up let’em cook…

ExxonMobil has announced they are getting their hands dirty again… in straight cash homie. The company responsible for global warming (jk), just greenlit a seventh megaproject in Guyana… the $6.8B Hammerhead development, adding another 150,000 barrels a day to a country that went from sugarcane and cricket to the world’s fastest-growing oil patch.

(Source: Giphy) 

For context, Exxon has already sanctioned six projects on the Stabroek block, is already producing 650,000 barrels per day, and expects to hit 900,000 by year-end. However, once Hammerhead and its friends are online, Guyana alone will be pumping 1.5M barrels daily by 2029. By 2030, the goal is 1.7M. Translation: Exxon is turning this little South American nation into Saudi-lite with palm trees.

(Source: World Oil) 

As for the receipts of Hammerhead itself, Exxon is securing 18 production + injection wells, while also getting gas shipped into Guyana’s first gas-to-energy project to keep the lights on while the oil checks cash. However, Exxon isn’t the only big swinger in the film here. Partners like Hess and CNOOC are also along for the ride. Exxon calls the shots, Guyana cashes the royalties ($7.8B into their Natural Resource Fund since first oil in 2019), and everyone else debates whether this is development or exploitation.

But alas, while oil talk isn’t that sexy… this is a BFD for one reason: It means Exxon’s pivot from shale headaches back to Big Oil swagger is working. Guyana is Exxon's ATM… a high-margin basin with no OPEC quota strings attached. Meaning, investors are getting exposure to one of the cheapest, fattest oil finds of the century. Meanwhile, ESG funds can keep pretending they don’t own Exxon while their index ETFs quietly ride the profits LOL.

(Source: Giphy) 

So yes, while some may think Hammerhead is just another offshore project… it’s actually more than that. It’s Exxon proving that while everyone else was distracted with “green transitions” and hydrogen is the future talk, they quietly bought the rights to a modern-day gold rush. And naturally, as oil heads always do, they are going to milk that deed for all its worth. Meaning, keep your eyes on Exxon’s stock going forward and place your bets accordingly. Until next time, friends… 

At the time of publishing, Stocks.News holds positions in ExxonMobil as mentioned in the article.