Govt. explores state-run quarry operation

Jan 03, 2018 News

The Coalition Administration is actively considering the re-establishment of a state-run quarry which it said will help meet local demand due to an anticipated rise in construction projects as the oil and gas sector takes off.

Geoffrey Vaughn, Coordinator of the Work Services Group in the Ministry of Public Infrastructure

Geoffrey Vaughn, Coordinator of the Work Services Group in the Ministry of Public Infrastructure (MPI), said that a report to resume state quarry operations is currently being reviewed with consultants. Upon the conclusion of the review process, Vaughn said that the report will be made available to the public.
There is also the option of a public/private partnership.
The MPI official disclosed that the Ministry’s decision is being driven by the limited capacity by local quarry operators to meet the high demand from local construction companies which are forced to import from Suriname, St. Lucia, St. Vincent and other regional suppliers.
Vaughn stated that there is heavy importation of quarry products even though there are four major stone suppliers in Guyana.
“Those are some of the things we have been looking at from the Ministry’s end and realised it is time for us to actually look towards getting back into the quarry business. At this stage, we have to know whether it is actually feasible enough for us to do that,” Vaughn stated.
He added that the local demand for quarry products such as stone extends beyond roads and into the area of sea defense and building construction.
“With the oil coming on stream it’s an extra burden on the construction industry so you have to put things in place to ensure these things are not coming back to haunt you at the end of the day,” Vaughn said.
Government had previously operated the Teperu/Itabu Quarry along the Mazaruni River, Cuyuni-Mazaruni (Region 7). The People’s Progressive Party/C (PPP/C) eventually privatised the operations under the name Mazaruni Granite Products Limited which was subsequently sold to BK Quarries, a subsidiary of B.K International.
Local producers have insisted that they can meet the local demand for quarry products. Vaughn referred to ‘the little fiasco’ encountered with the multi-million-dollar expansion project at the Cheddi Jagan International Airport (CJIA).
During the ongoing project, a decision was made last year to import stone from Suriname which was greeted by resistance from local providers, Toolsie Persaud Limited (TPL) and BK International.
Shortly after the concerns over the Suriname importation, Minister of Natural Resources, Raphael Trotman earlier this year visited the TPL’s St Mary’s Quarry located along the Essequibo River, Region Seven.

Minister of Natural Resources, Raphael Trotman and CEO of TPL’s St. Mary Quarries, Rajesh Persaud, during a tour earlier last year.

Minister Trotman said that locally sourced stones could prove more cost effective.
“We have good quality material here which we can supply, which is even better and perhaps at the same or more competitive prices,” Minister Trotman stated following the visit. The Minister noted that there are several quarries at work and the industry “has been holding its own.”

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