Dominican Republic Secures 10% Stake in Guyana’s Berbice Block Without Capital Investment

Dominican President Luis Abinader and Guyana President Mohamed Irfaan Ali formalized the exploration contract for the Berbice onshore block on May 14, 2026, during Abinader’s fourth visit to Guyana in three years. The agreement grants the Dominican Republic a 10% equity stake in the block without requiring upfront capital investment, with the state-owned Refinería Dominicana de Petróleo (Refidomsa) serving as the Dominican representative. Guyana’s government will officially issue the exploration license.

Under the terms, successful exploration would entitle the Dominican Republic to crude oil or natural gas supplies under preferential conditions, delivering strategic and economic benefits beyond the equity position itself. The arrangement stems from an August 8, 2023 memorandum of understanding that established a binational working group to facilitate exploration and exploitation rights in Berbice. Technical documentation for the project was formally submitted to Guyana’s Ministry of Natural Resources on February 2, 2026, initiating the contract review and negotiation process.

Guyana holds estimated reserves of 11 billion barrels, representing the world’s highest per capita petroleum endowment for a nation of approximately one million inhabitants. The country’s commercial oil production, which commenced in 2019, has driven extraordinary economic expansion. The International Monetary Fund projects 16.2% GDP growth for Guyana in 2026, following a 63% expansion in 2022. Current crude output averages 918,000 barrels per day from the offshore Stabroek Block, operated by ExxonMobil in partnership with Hess and CNOOC.

The Dominican Ministry of Energy and Mines and Refidomsa conducted consultations with international hydrocarbon exploration firms during the evaluation phase. Abinader appointed engineer Tulio Rodríguez as commissioner to oversee bilateral relations on energy and food security matters. Energy Minister Joel Santos, Refidomsa President Samuel Pereyra, and Dominican Ambassador to Guyana Ernesto Torres Pereyra participated in the signing ceremony.

Beyond Berbice, the two governments are evaluating larger-scale joint ventures, including potential construction of a petroleum refinery and petrochemical complex. These discussions reflect deepening commercial ties, with bilateral trade and investment experiencing sustained growth. The strategic cooperation framework encompasses agriculture, tourism, and petrochemicals alongside energy sector collaboration.