Only 40 of 250 companies at GIPEX were local

The Guyana International Petroleum Business Summit and Exhibition (GIPEX) 2019 has come and gone, with hundreds participating and partnerships being formed. According to the organisers, however, approximately 40 of the 250 companies that participated are Guyanese, something that they are looking to improve next year.
This figure was provided by Chief Executive Officer of Sagacity Incorporated, Chris Chapwanya, who noted that there were some companies that, having participated in 2018’s GIPEX event, returned to provide a progress report.
The event was organised by Valiant Business Media. It’s Chief Executive Officer (CEO), Shariq Abdul Hai, defended the low participation of Guyanese businesses, which works out to 16 per cent. According to Hai, efforts were made and a reasonable price inclusive of a subsidised rate was offered to get locals to participate.
“This year, we divided companies into various segments depending on how big or small they were. Startups was one category and I think the prices we made for them, I’ve been organising these events for years, and I think it was extremely generous,” he said.
“A lot of them could come in and pay the minimal fee, which would probably not even be enough for us to pay the cost for the booth. But we did make arrangements and it was made public as well. But I think personally, we will find ways. This is Guyana’s event and we can work with GCCI and partners to discuss ways on how we can get them engaged,” Hai added.
Hai also noted that for the companies who did participate, everyone was treated on a first come first serve basis when it comes to booth placements. He noted that in the case of Exxon, it got the largest booth due to the investment it put into the event.
“There will never be an idea to discriminate against one company or the other. Even international companies, some of them were in the last pavilion. A lot of things depend on when they come. If someone came to us in the last couple days, we would have to do our best to put them in the spaces available.”
“People who think, why has ExxonMobil got the biggest booth? Because they put in the substantial investment. If someone else does it then they are most welcome. It’s not that we signed something with Exxon, so no one else can do it. So we will still try to take that feedback.”
Meanwhile, Georgetown Chamber of Commerce and Industry (GCCI) Chairman Nicholas Boyer noted that even while the event was being organised there were issues with the initial price. This proposed price, he said, was reduced.
“Initially, there were [issues] with the initial prices, but then we met with the Department of Energy and the organisers and we brought the pricing down to a more affordable level for local companies. But given that a lot of the local companies are startup, if we can bring the pricing down further it would be beneficial because we would have more participation from them.”
It is known that the fee paid by delegates registering for GIPEX 2019 was based on the number of those attending. One foreign delegate paid US$1995 or $416,000 to attend, while a group of four foreign delegates would have paid US$1795 per person. Local delegates paid US$795 plus Value Added Tax (VAT) per person.
There has been some criticism of the fees that had to be paid for persons to participate, with Opposition Leader Bharrat Jagdeo criticising the event for this and also the perception that it was tailored mainly for foreign companies. For its part, GIPEX organisers have said that the event was funded completely by private money and not by the Government.
GIPEX is aimed at facilitating networking and providing investment opportunities for companies across all sectors associated with the petroleum industry in Guyana. In 2018, the summit had attracted global participation from more than 600 delegates and 200 international and national oil and gas companies.
This time around, the international and national oil and gas companies involved and setting up their own booths included Exxon, Tullow, Hess and Century Tamara Energy Services, a partly Guyanese-owned company.