Guyana’s Oil Boom Could Ease the Global Supply Crunch

S. strikes against Iran, are stoking concerns over a potential oil price super-spike. S. fuel prices surge to historic highs, fueling inflation and intensifying pressure on the economy. As Middle East tensions disrupt shipping through the Strait of Hormuz, a chokepoint for one-fifth of global oil supplies, Guyana's petroleum output continues to expand, helping to mitigate supply constraints and the risk of significantly higher prices.

By the end of August 2026, Guyana was lifting 908,000 barrels of oil per day, making the former British colony South America's third-largest oil producer. Production is on track to exceed one million barrels per day before the end of December 2026, just seven years after the country first began pumping oil in December 2019.