Oil & Gas
Gas to energy contractor in US$50m dispute with gov’t: Gas-to-energy contractor, CH4-Lindsayca, has moved to a Dispute Adjudication Board as it is locked in a stalemate with the Government of Guyana over the sum of US$50 million the company feels it is owed because the Wales, West Bank Demerara project site was delivered to it three months late, Vice President Bharrat Jagdeo on Thursday, April 11th said. Disputing a Reuters report which stated that the contractors for the project have taken government to arbitration for US$90 million for cost overruns, Jagdeo said that monies are US$50 million and that government was advised, following a review by its supervisory project consultant, Engineers India Limited (EIL), that the claims lacked merit. “It is US$50 million, not US$90 million…” Jagdeo clarified with Stabroek News last Thursday evening, after assuring at a press conference he hosted at Freedom House, Georgetown, that he would. “The contractor now has made a claim for additional money. They are saying it is costing them. So our independent engineering supervisory firm… has reviewed the claim and rejected it totally to say it doesn’t have merit. We have legal opinion to say they have no merit on the financial claim. When you are faced with that situation as with any contract, you would now have to go to a dispute resolve mechanism. The matter is likely to be determined by a three-person dispute adjudication board being set up. When they determine if either party is not satisfied they can now ask for arbitration,” he explained. This dispute over US$50m and delays to parts of the project underline the high stakes in play for the government in what will be the largest ever public sector project in the country’s history and one that is coming with the promise of a cut in power rates by 50%. Although this means that only one aspect of the project will be delayed, and it will not interfere with the overall end of 2025 project schedule, it was the first time the PPP/C government acknowledged that it is at loggerheads with the project site contractor and that an arbitration hearing was pending. This was first reported by Reuters on April 8th. “Why did this happen? As I said, [government] was responsible for the site preparation; the road, the materials offloading facility (MOF), and the laydown yard. We were supposed to hand over the site to the contractor by June, [but] we did not hand over the site; that is, Exxon did not hand over the site, until September, and it was still incomplete. And they handed over an additional US$14 million, from the US$1 billion that they set aside, to the contractor, to complete the site. So, [we have] a three months delay. Who was the contractor that Exxon had? It was GYSBI [Guyana Shore Base Inc] to prepare this site. So, we had a three months delay by GYSBI and Exxon to hand over the site to the contractor,” the Vice President said.
Natural Resources Committee set to use Evidence Act in face of Exxon and EPA no-show: Member of the Natural Resources Sectoral Committee Deonarine Ramsaroop has expressed disappointment that ExxonMobil Guyana Limited (EMGL) and the Environmental Protection Agency (EPA) were absent from yet another meeting on Friday, April 12th. He made this disclosure to the media during a press conference also held on Friday by the Alliance Change (AFC), where it was mentioned that EMGL and EPA continue to make excuses for their absence at meetings convened by the parliamentary committee. Ramsaroop said Minister of Natural Resources Vickram Bharrat, who is the committee’s vice-chair, was also absent. According to the AFC member, the opposition had compiled approximately 15 questions for the minister relative to the findings of the auditors and the developments in the gas-to-energy (GTE) project. “Parliament is not a cake shop and if the government believes that this is a cake shop and does not have the relevant agencies to come to us to the sectoral committee, we are not going to take it lightly. We’re going to execute the standing orders where we are going to summon these agencies directly to come to Parliament,” Ramsaroop said. Endorsing his colleague’s statement, Leader of the AFC Khemraj Ramjattan highlighted Standing Order 86 of the National Assembly which states that the committees can summon individuals and organisations to provide evidence and answer questions. “They can call for their papers and they can call for their records and documents and they are to give evidence by the legislative body’s Evidence Act whereby they can be forced to answer questions” he expounded. Ramjattan who is an attorney-at-law alluded to the similarity with congressional committees in the United States of America where Exxon must answer questions and provide evidence if required.
Development
Approach made to China for financing of Corentyne bridge: With financing of the bridge over the Corentyne River a major problem for Suriname, an approach has been made to China for funding on behalf of Paramaribo and Guyana. During an official visit to China, Surinamese President Chandrikapersad Santokhi handed over a joint letter, on behalf of himself and President Irfaan Ali, to President Xi Jinping, seeking possible concessional financing for the Corentyne River bridge project. According to an article in the Suriname Herald newspaper, discussions are set to continue at the level of the financial authorities, as soon as possible, to explore funding options for the bridge. “China supports the intentions of both governments to promote regional connectivity through a fixed river crossing, which is fully in the spirit of the Chinese Belt and Road Initiative,” the article said. Another Surinamese newspaper, de Ware Tijd (dWT), highlighted that during talks on investment opportunities, between Santokhi and a top delegation in China, Wang Tongzhou, chairman of CCCC, expressed interest in investing in Suriname. The article said that CRBC, a subsidiary of CCCC, is one of the companies being considered for the construction and financing of a bridge over the Corentyne River, and is already involved in projects in Suriname. There has been no announcement in Georgetown about a joint approach to China for financing of the bridge. The proposal for the bridge was floated in a memorandum between Guyana and Suriname during Ali’s visit to Paramaribo in November 2020. While it was initially expected that construction would have already started, financial issues have caused delays in the project. According to reports, qualified companies have indicated that the Public-Private Partnership (PPP) model proposed for financing the bridge is not feasible. Santokhi had stated that multinational agencies and private sector investors have shown interest in financing the project, but a decision will only be made after receiving technical advice from both countries.
Electricity
Technical issue caused early morning power outage yesterday – Nandlall: Guyana Power and Light Company (GPL) Management Committee Head Kesh Nandlall said that last Sunday’s morning’s power outage was caused by a “technical issue”. Many areas in Berbice and Demerara were once again in blackout yesterday when a transmission line tripped at the Kingston facility around 5:49 am. GPL said in a press statement that its emergency team discovered that a guy-wire had burst and made contact with the L5 Transmission line. At the time, the L5 line was transmitting approximately 15 Megawatts (MWs) of generation, the release noted. The result was a ripple effect on the grid resulting in several generating units going offline, it added, and disruption in service to customers in Demerara and Berbice. “Our team immediately commenced restoration efforts and at approximately 6:13 am the first area in Demerara was repowered. Incremental restoration continued until remedial work on the L5 Transmis-sion Line was completed and at 7:34 am all areas were repowered,” the statement read. “Our company remains cognizant of the inconveniences associated with the unplanned service interruptions and continues to work assiduously towards eliminating these occurrences.” Nandlall told this newspaper that yesterday’s occurrence had nothing to do with the 14 generators that were recently installed to the power grid. Last week, the government said that 14 of the 17 used generators it purchased for US$27 million from Honduras had been installed. These generators were supposed to have been in place since last year but were delayed by a series of problems including shipping. Shipping delays were also cited as the cause for the generating sets’ current use of diesel fuel instead of Bunker C heavy fuel oil, as they arrived ahead of their heavy fuel oil (HFO) tanks.
Crime
Corentyne men confess to murdering single mother – police: The police say that two men have confessed to murdering a Corentyne woman whose body was found in the backlands after she went missing on Thursday, April 11th. The body of Ninawattee Nandalall, also known as `Sharda’, 52, a mother of three, of Lot 43 No. 0 Village, Corentyne was found on Friday morning. Police had said that the incident occurred between April 11 at about 12:30 hrs and April 12, 2024 at about 07:40 hours at No. 0 backdam, Corentyne, Berbice. Nandalall’s daughter had told this newspaper that her mother left home just around 11 am on Thursday to head to the backlands area located through their street to pick mangoes. She said the woman would make achar, coconut oil and other items to sell. On Thursday evening the family became worried after the woman did not return home. “My brother and cousin them start search all over but them na find her”, the young woman said. The family on Friday then continued the search where they eventually discovered her battered body along a dam leading to the backlands. The woman’s nephew, Gunraj Veersammy, 27, who was a part of the search team on Friday said that they found the woman’s body with a slit on her throat and forehead. “She hand and so get mark so like she fight back.” According to the family, when the woman was discovered, her pants were found some distance away and her shirt was pulled all the way to her neck.
In the courts
Corentyne men remanded over murder of woman: Two Corentyne men were last Monday remanded to prison over the murder of the single mother whose lifeless body was found in the backlands after she went missing on April 11th. Yogindra Pokhai, 18, of Number 54 Village, Corentyne and Tishan David, 25, of Number 0 Village, Corentyne yesterday appeared before Magistrate Tuanna Hardy at the Springlands Magistrate’s Court where they were jointly charged. The men were charged with the murder of Ninawattee Nandalall, also known as `Sharda’, 52, a mother of three, of Lot 43 No. 0 Village, Corentyne, committed between April 11 and April 12, 2024 in the course of the furtherance of sexual assault. The two, who were represented by Attorney at Law, Mursaline Bacchus were not required to plead to the indictable charge as such they were remanded and will return to the Number 51 Magistrate’s Court where the matter has been transferred to on May, 8. Nandalall’s daughter had told this newspaper that her mother left home just around 11 am on Thursday last to head to the backlands area located through their street to pick mangoes. She had said the woman would make achar, coconut oil and other items to sell. On Thursday evening, the family became worried after the woman did not return home. “My brother and cousin them start search all over but them na find her”, the young woman said. The family on Friday last then continued the search where they eventually discovered her battered body along a dam leading to the backlands.
Woman, son charged with murder of Festival City labourer: A 42-year-old woman and her 22-year-old son were last Monday remanded to prison after appearing before Chief Magistrate (ag), Sherdel Isaacs-Marcus at the Georgetown Magistrate’s Court charged with murder. Alicia Edmondson and her son, Malacchi Kennedy, both of Lot 3 Perry Street Tucville, allegedly on April 12th 2024 at their address murdered Amaziah Hohenkirk, 36, a labourer of Festival City. They were not required to plead to the indictable offence and were remanded. Police Prosecutor Quincy Lacon told the court that on the day in question the now deceased Hohenkirk and the two accused had a misunderstanding, which resulted in a fight, during which, Edmondson armed herself with a knife and Kennedy with a cutlass and they then stabbed and chopped Hohenkirk about his body causing him to fall to the ground. The man was picked up by public-spirited persons and taken to the Georgetown Public Hospital where he was pronounced dead on arrival. Prosecutor Lacon also told the court that there is video footage available of the incident and this will be disclosed at the next occasion. According to the police report, Hohenkirk and Kennedy had a misunderstanding over a damaged speaker box which led to the fatal incident. Edmondson and Kennedy will return to court on May 7, 2024 for disclosure.
