200 dredges down, 2000 workers affected – Robert Persaud

With more than 200 dredges down and more than 2000 workers’ livelihoods at stake as a result of the disruption in the mining town, Natural Resources and Environment Minister Robert Persaud has reiterated the call for the protestors to desist from blocking entrances, as markets are at stake.
The minister, who commented on the issue during a press briefing on Monday, stated that thus far, the Guyana Forestry Commission (GFC) has been given a mandate and has been looking at ways in which operators can have their supplies taken to mining camps, while additional routes are being assessed.

Guyana’s Natural Resources Minister says that ongoing unrest in Linden is taking a toll on gold and bauxite mining activities and is adversely affecting miners and their families.

“We have to look ahead; some of the steps we take today, people may see those as encumbrances, but in the long term if we are not prepared, we can find ourselves without markets and having labels that are unnecessary and can reverse growth and development within the sector,” he said.
Following a meeting with representatives of the Forest Producers Association (FPA) and the Guyana Manufacturers and Services Association, several decisions were made: to have alternative mechanisms to ensure that produce enter mining camps at a low cost; to delay the implementation of the new Export Lobby; and establish a hotline number by which forestry and mining operators can contact relevant personnel.
According to the environment and natural resources minister, the Guyana Geology and Mines Commission (GGMC) and the GFC are currently compiling an analysis of the impact of the situation. Both mining and logging have been affected.
“While they are tasked with this, we have been receiving some preliminary indications and what I can say is, that the bauxite industry has seen close to US$ 1 million in losses and [that] is potentially growing,” he said. Currently, there are two ships waiting to set sail. Only one will be allowed at the moment to leave as there has been a halt in operation and there is a limited amount of bauxite to supply the demand.
This delay will see the industry incurring additional costs for every day the shipment is delayed, due to contractual obligations.
“Already buyers are calling the company and talking about commitments and they are looking at alternatives… I think that is potentially damaging in the long term,” he said.
While some operators have had to incur high costs to airlift their supplies into mining camps by paying Gy$ 250,000 for every 1000 pounds of food stuff, small miners are feeling the brunt as their supplies are sitting in camps. The GFC has since been issuing letters to buyers on request from miners, as many buyers have been threatening legal actions against suppliers for breach in their contractual arrangements to supply on time.
“The impact is biting at the operators and market levels, because, if it is prolonged, market opportunities will be lost… we are looking at it closely and all stakeholders are hopeful that access will be available shortly.”

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