Jamaica Offshore Tests Find Hydrocarbons, Govt Mulls
SkimNews Take
The long lead time for oil production means Jamaica would be locking in fossil fuel infrastructure at a point when global demand could already be in decline, potentially stranding assets.
Get the Energy newsletter
Daily energy & climate — solar, EVs, oil, the policy fights and tech bets shaping the transition. Free.
- Jamaica's offshore seabed tests identified hydrocarbons, indicating possible crude oil beneath the south coast.
- United Oil & Gas holds an exclusive licence to explore the 22,400‑sq‑km Walton‑Morant basin off Jamaica’s southern coast.
- Daryl Vaz, Jamaica’s energy minister, called the test results very positive and said he is cautiously optimistic.
- Radhika Bansal of Rystad Energy warned that commercial oil production would likely not start until the mid‑2030s even if drilling proceeds.
- Theresa Rodriguez‑Moodie, head of the Jamaica Environment Trust, condemned drilling, citing a $12 bn hurricane‑damage bill and Jamaica’s 2017 Paris‑agreement pledge.
Why it matters: Jamaica’s $1.5‑2 bn annual fuel‑import bill would shrink if oil revenues arrive, but the $12 bn hurricane‑damage debt and 2017 Paris‑agreement pledge push any profit to the mid‑2030s, limiting immediate economic relief.
Ask SkimNews
