Official attention to oil and gas is no threat to mining – Trotman

Natural Resources Minister Raphael Trotman
Natural Resources Minister Raphael Trotman

Gold declaration for the period 2015-2019 yielded 3,068,648 ozs, earning US$3,792,066.

Seeking to provide assurances to periodically uneasy gold miners that government has no intention of turning its back on the sector, Natural Resources Minister Raphael Trotman used the forum of last Friday’s Mining Symposium staged under the theme “For the Future of the Gold and Diamond Mining Sector” to state that official attention to the country’s emerging oil & gas sector does not threaten government’s interest in the continued growth of the mining industry.

Interludes of strained relations between miners and government mostly over operating conditions in the sector have periodically boiled over into strong words from the miners and on Friday a sometimes under-pressure Trotman sought, not for the first time, to convince miners that the government ‘had their backs’.

While conceding that what he described as “the heavy emphasis on oil production may have caused some angst” in the mining sector, Trotman reminded of what he said was “the publically stated goal and intent” of President David Granger that his administration intended “to use our revenues from oil production to strengthen our traditional sectors.”

In that context Trotman outlined initiatives which he said had been undertaken by government that had demonstrated its commitment “to the vision of providing an enabling environment that supports miners in their endeavours.” Contextually, he itemised investments totaling $7.7 billion dollars in the rehabilitation of interior roads to allow for “easier access to mining lands” as well as what he said have been “key road rehabilitation works” in Regions One, Seven, Eight and Nine.

Government, Trotman said, had also moved to “create a more enabling environment for miners, by granting tax concessions on machinery, equipment, fuel and vehicles for small and medium scale miners” while effecting “a reduction in the Tributor’s Tax from 20% to 10%” and instituting “a sliding-scale percentage based on the price of gold.”

Those apart, Trotman declared that the Granger administration had also “facilitated more access to land for mining” with more than 550 blocks of land allocated last year through lotteries and Syndicates. Beyond those, he said that a grievance desk had been established “to hear and respond to the concerns of miners” while training had been initiated for both “first-time and seasoned miners.” Trotman said that the administration had also “Initiated and significantly advanced the process of restructuring for all Natural Resources’ agencies, to facilitate more efficiency in transactions, access to data and payment options for miners”, while updating and expanding “legislation and policies to reflect the realities of mining.”

Meanwhile, Trotman told the forum that consideration was being given to putting in place “policies on river mining, restoration and proper care for the environment, within the scope of the laws of Guyana,” while strategic emphasis was now being placed on security “through the establishment of the Corps of Wardens whose mandate is to ensure better governance and compliance within the sector.”

Against the backdrop of the theme that underlined the symposium – “Reduction in Mercury and Better Recovery”, with a focus on improved recovery technologies and systems, higher production and reduced use of mercury – the seminar entertained discussions on the importance of the sector adjusting to what Trotman said were the “new realities” associated with mining within the confines of an enhanced awareness of the importance of protecting the environment. In October 2013 the Government of Government of Guyana signed on to the Minamata Convention on the use of mercury in the mining sector though the sector still faces river pollution brought about on account of the use of mercury.

The Guyana Gold & Diamond Miners Association (GGDMA) is on record as supporting the principles of the Convention. Some small scale mining activities, particularly, have, however, been providing pushback against the outlawing of mercury given its central role in their gold-recovery operations.

At last Friday’s symposium Trotman disclosed that government had accepted “a suggested proposal from mining stakeholders to embark on a joint project that will test the practicality and viability of alternative methods of gold recovery, in line with our commitment to the Minimata Convention.” Additionally, he asserted that government had made a commitment “to assist miners both financially and with technical assistance where possible, to transition to safer methods that are identified.”