The oilfield services to be undertaken at Enmore are currently outsourced overseas and will create jobs for the community and put the East Coast corridor on the global oilfield map, according to a newly minted joint venture.
Guysons K+B Industries (GKB) in a statement yesterday on its surprise deal for the Enmore sugar packaging plant said that it had been originally seeking a site closer to port facilities in Georgetown but that the government had recommended the East Coast community.
A key investment that the joint venture committed to make is in the people of the East Bank Corridor, plugging in US$37.5 million ($7.5 billion) to establish the Enmore Manufacturing Plant, a state-of-the-art Oilfield Services facility, the statement said.
It added that a minimum of fifty acres of land is required to effectively deliver Oil Country Tubular Goods (OCTG) & Premium Accessory Services to the oil and gas sector and for this, GKB engaged the Government. GKB – which includes a US company – proposed a site closer to port facilities in Georgetown but says it saw merit in the Government’s recommendation of Enmore.
The statement underlined that GKB’s lease is for the Enmore packaging facility, which is approximately 100,000 sq. feet, not the sugar estate. According to the statement, to build such a facility would take an estimated 18-24 months whilst the Enmore Sugar Packaging Plant can be repurposed and become operational, almost immediately. This would preserve jobs currently held at the Plant, with a guarantee of a minimum of 150 by end of year 1 and a minimum of 500 by the end of year 5.
The statement noted that the OCTG and Premium Accessory Service that GKB provides is currently outsourced to Trinidad & Tobago, the United States of America, and farther afield. “This initiative would increase commercial activity on the East Coast Corridor and tap into considerable foreign exchange earning potential, bringing greater Oil & Gas revenues to Guyana.
“Significantly, this would be the first time ever that these services are provided in-country. The total investment of US$37.5 million ($7.5 billion) into the East Coast Corridor is unmatched”, the statement declared.
It stated that GKB endeavours to train residents of the East Coast Corridor. It said that GKB plans to create and guarantee 150 jobs in the first year with an initial injection of US$7.5 million ($1.5 billion) and within three to five years, that guaranteed number will increase to 500 jobs.
“We have committed to rehiring 100% of the workers currently employed at the Enmore packaging plant. We will see to it that our expansion uplifts economically-depressed communities of the East Coast Corridor with sustainable jobs which will serve as a revitalizing lifeline for its youth and laid off sugar workers”, the statement noted.
It said that GKB has also agreed to strict land development timelines and milestones over the first three years which will be monitored as the phased development occurs.
The joint venture posited that the project’s impact is not only on job creation but will “put the East Coast Corridor on the global oilfield map, showing investors – both foreign and local – that industrial development in these areas can work for them too”.
GKB says it remains committed to the development of the East Coast Corridor, including Enmore, Haslington, and the surrounding areas.
“The capacity building and job creation potential of this project and its spillover effects cannot be understated”, GKB said, adding that it is ready to answer the call of President Irfaan Ali through Guyana’s new local content regime and the vision for a ‘One Guyana’, to ensure Guyanese benefit greatly from the Oil & Gas industry.
