Latest update January 1st, 2025 1:00 AM
Jun 10, 2012 News
The Linden Utility Services Co-op Society Limited (LUSCSL) on Friday,
last, commissioned a stationary sawmill Wood-Mizer LT15 and Blade sharpener to the tune of some $3.5 million, at the utility’s offices on Burnham Drive, Wismar.
The equipment is expected to help LUSCSL maximize returns from its forestry concession, and is ‘a last-ditch effort’ to ensure that the concession which had hitherto been underutilized, is not seized by the Guyana Forestry Commission.
Due to the underutilization of the concession, LUSCSL had reportedly been written to by the Guyana Forestry Commission (GFC), who threatened to repossess the site unless a minimum of some 830 cubic metres of logs were harvested in 2012.
With such a prospect looming over them, LUSCSL’s Committee of Management subsequently took the decision to seriously expand the operations of its logging concession, which is situated at 28 Miles, Mabura Road, in an effort to maximize its returns.
Operations at the concession, using the Wood-Mizer, are expected to kick start within another week, with the Wood-Mizer’s production limit set at 10,000 bm by the Guyana Forestry Commission.
According to Chairman of LUSCSL, Valerie Patterson, the Committee of Management, recognizing the high demand for logs and wood products, and the fact that LUSCSL owns the concession, took advantage of the unique opportunity presented, as the focus of the utility has been on diversifying and maximizing revenue streams that generate income.
With this in mind, the Committee members commissioned a study to create a business plan, for the operation of the concession, which sought to determine the feasibility of the enterprise.
An Inventory/forest survey was also undertaken by the GFC to identify what was available in terms of logs, Patterson added.
Subsequent to the preparation and approval of the business plan, which projected that LUSCSL stands to garner over $2 million in profits by the end of 2012, the Committee of Management appointed one of its members, Mortimer Mingo, to play a pivotal role in the operationalizing of the logging concession.
Initial investments involved the purchase of the Wood-Mizer and Blade sharpener, a tractor as capital input, and the hiring of staff.
After Mingo researched the relevant information, as it related to the appropriate size of equipment to be purchased by LuSCSL, given the allowable rate of harvest, which is approximately 58, 671 bm or 139 cubic metres of logs per month, for the last six months of operation in 2012, it was decided that the Wood-Mizer LT 15 was the best option, according to Patterson.
LUSCSL was also mandated to secure the necessary permits, including an environmental one from the EPA, after a site visit, and the securing of a temporary sawmill licence from the GFC, to facilitate the testing of the Wood-Mizer.
Tax exemption for the purchase of the Wood-Mizer and tractor was also applied for, and should be received shortly, Patterson added.
So far, initial clearing of the campsite, and preparation of the sawmill site has already been undertaken. A facility to house the sawmilling operations and mobile campsite is expected to be completed within a week.
LUSCSL is now fully authorized to move straight into production of squares and boards, after the test period for the equipment would have expired on Friday (June 15).
Additionally, a tractor valued at some $6.5 million will be added to the society’s fleet of machinery by next Sunday.
Chairman Patterson pointed out that LUSCSL’s decision to go into logging on a larger scale will benefit its 4000-plus members who would be granted ‘concessionary’ costs for wood products.
“So now, no member will have an excuse not to own their own home – we are making provisions, so that they can do so at reasonable costs.
Operator of the Wood-Mizer, Anthony Waldron, who said that he has been working with LUSCSL at their logging concession for the past twelve years utilizing power saws, revealed he was given a two-day training exercise on how to operate the new equipment, by local agents, Farfan and Mendes.
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