Minister restricted to one audit per year Must give ExxonMobil three months written notice of intention to audit- Contract

Feb 18, 2018 News

---

Under the Production Sharing Agreement (PSA) that ExxonMobil signed with the Government, Minister of Natural Resources, Raphael Trotman, has the right to audit the company’s books. However, that right was granted along with some very restricting measures.
These measures are outlined in Article 23 and Annex C of the contract. Article 23 is limited and defers to annex C of the contract. Annex C goes more in detail of the accounting and auditing measures.
Annex C has an “Audit and Inspection Rights of Government” clause.
That clause states that the Minister “shall have the right to audit upon ninety (90) days written notice, at his sole cost and expense, accounts and records of the Contractor, maintained hereunder with respect to each Calendar Year within two years from the end of each such year.”`
The contract states that the Minister may audit, examine and verify, “at reasonable times during normal business hours but not more than once per Calendar Year, all charges and credits relating to the Contractor’s activities under the Agreement and all books of accounts, accounting entries, material records and inventories, vouchers, payrolls, invoices and any other documents., correspondence and records necessary to audit and verify the charges and credits.”
During the annual audit, the Minister has the option to review items previously subjected to audit in earlier years.
However, the contract stipulated that the review shall only be carried out in conjunction with the annual audit for any given year. This can happen “no sooner than twelve (12) months following the previous audit thereof; and only be for the purposes of verifying a matter arising in a later period, which relates to the earlier year(s) in question or as specified in Section 1.5 (b).”
The PSA also states that at the conclusion of each audit, ExxonMobil and the Government shall endeavour to settle outstanding matters and a written report will be issued to the Contractor within 60 days of the conclusion of such audit. “The report shall include all claims arising from such audit.
The Contractor shall reply to the report in writing as soon as possible and in any event not later than sixty (60) days following receipt of the report indicating acceptance or rejection of the audit claim and in the case of a rejection showing explanations thereof.”
It was further stipulated that should the Minister consider that reply requires further investigation on any item therein, the “Minister shall have the right to conduct further investigation in relation to such matter within sixty (60) days of its receipt of Contractor’s reply.”
If within 60 days of the Minister’s further investigation, the Parties are unable to agree to the disposition of the Minister’s audit claim, there shall be arbitration in accordance with the arbitration provisions of the contract.
Over two years now… Guyana has almost zero capacity to deal with oil and gas –says Gov’t advisor on oil
–contends that politicians only think elections to elections

It has been more than two years since the coalition administration took up office and there are serious concerns about the lack of capacity to effectively understand the emerging oil and gas sector, especially as oil production is expected to start in another two years.
Dr. Jan Mangal, Petroleum Advisor to President David Granger, underscored the lack of capacity when he discussed the numerous issues circulating that Guyana should extend into oil refinery and should establish a national oil company.
“Guyana has almost zero capacity now for dealing with oil and gas,” Dr. Mangal said during a presentation at the University of Guyana last Wednesday.
He stated that there are basic things that needed to get done, including the passage of the Petroleum Commission Bill, Sovereign Wealth Fund and a regulatory framework.
“We need technical people in the Ministry of Natural Resources, in GRA (Guyana Revenue Authority), Ministry of Finance and they are not appearing. It’s been over two years now go look at the Ministry of Natural Resources how many foreign technical experts are in there. Zero,” Dr. Mangal concluded.
Dr. Mangal’s public statements have so far suggested that the 2% royalty in the Production Sharing Agreement (PSA) between ExxonMobil and the Government is not the international norm.
He has also stated that ExxonMobil not paying taxes is also not the international norm.
“I am one person. I am one advisor. Guyana can’t rely on one person. Guyana needs to go and pull in a bunch
of experts into Government. My intention when I started was to build a team up, but unfortunately resources were not available. We still aim to do that,” Dr. Mangal noted.
In the absence of experts, Dr. Mangal has warned that politicians should not be involved in the management of the oil and gas sector.
He stated that politicians think elections to elections. He stated that if Guyana takes the path of civil servants managing the industry then changes in Government will not impact the oil industry.
“If politicians are managing your industry, then come election time the industry is going to come to a standstill and six months after the elections, there won’t be anyone working in the industry,” Mangal stated.
Dr. Mangal is a Guyanese who has spent 18 years in the industry, 13 of them with Chevron working on major oil and gas projects in the United States, West Africa and Asia. He noted that contracts should always be reviewed as new information becomes available.
Dr. Jan Mangal has said that the PSA can be renegotiated.

MONDAY

Weakness in PSA…Production timeline left to whims of Exxon Mobil

– oil giant rakes in billions without producing a single barrel – Nigel Hinds

The fact that Guyana will begin to reap benefits from royalties and profit from oil only after ExxonMobil beings production is reason enough to ensure that a production timeline is in the Production Sharing Agreement (PSA) that the country signed with ExxonMobil.
This was noted recently by Chartered Accountant, Nigel Hinds.
Hinds said that with each discovery of oil ExxonMobil makes offshore Guyana, the company reaps good financial benefits on the stock market.
He said that it is normal for a production timeline to be set in the PSA.
“Otherwise, Exxon could continue at infinitum with their exploration of the 6.6 million acres making up the Stabroek Block.”
Hinds said that while Guyana will be desperate to start receiving royalties soonest; “ExxonMobil will have other variables to consider; thus the reason why a production timeline is normally in the PSA. But, of course our unflappable negotiators neglected to include a production timeline in the PSA. The production date seems to be solely at Exxon’s discretion.”
ExxonMobil has already announced that it is poised to begin production by 2020. However, Hinds said that that date is not binding. He said that there have been many cases where oil companies postponed production due to the world market prices not being optimum at the time.
“The value for Exxon is primarily in the increase of their recoverable reserves and a PSA that favours them, unlike any other PSA ever recorded on this planet,” said Hinds.
Hinds also noted that ExxonMobil held its 2017 Q4 conference call on February 2, 2018 and Guyana was by far the country most mentioned by Jeff Woodbury, Vice President and Investor as he presented the 2017 Q4 update and took questions from the analysts. “Exxon representative seemed euphoric during the conference call, about their reserves and prospects in Guyana.”
Exxon has made six discoveries in the deep-water offshore of Guyana. Associated recoverable reserves are now up to 3.2 billion Barrels of oil equivalent.
Exploration in Guyana’s offshore is in an early stage and it is much more probable than possible that Guyana’s recoverable oil reserve will exceed the Ten Billion mark.

Trotman waives Guyana’s sovereign immunity in PSA with ExxonMobil

The 2016 Petroleum Sharing Agreement (PSA) signed by Minister of Natural Resources, Raphael Trotman, is far worse than the 1999 Agreement signed by former President Janet Jagan.
This was expressed by Attorney-at-law, Christopher Ram, as he pointed out what he saw as another worrying provision in the 2016 agreement.
Ram has turned his attention to Article 26 of the contract titled “Sole Expert and Arbitration.”
Ram said that Article 26 has been subject to several changes. Those start with paragraph one which under the 1999 Agreement required the parties to make best efforts to settle disputes but which now only requires the parties to make “reasonable efforts”. This process can last for 60 days after which any party may proceed to have the dispute determined by arbitration.
Ram also noted that references in Article 26.2 of the 1999 Agreement dealing with “sole expert” has been amended and the new Article 26.2 mandatorily requires that “Any claim, demand, cause of action, dispute, or controversy arising out of or in connection with this Agreement, including any question regarding its formation, existence, validity, enforceability, performance, termination, or alleged breach (“Dispute”) which cannot be settled amicably by negotiation shall be resolved by arbitration.”
Ram said that his interpretation of the amendment is that the role of a sole expert has been downgraded in the 2016 Agreement in favour of arbitration. “This is certainly a more costly option than sole expert and one must wonder about the reason.” The process requires approaching the International Centre for the Settlement of Investment Disputes (ICSID) for arbitration before three arbitrators.
Further, Article 26 requires the Government “to irrevocably waive any claim to immunity for itself, its agencies, its enterprises, and any of its assets”.
According to New World Encyclopedia, immunity confers a status on a person or body that places them above the law and makes that person or body free from otherwise legal obligations such as liability for torts or damages, or prosecution under criminal law for criminal acts.

TUESDAY            

Marriott almost taken over by Republic Bank last year

-loan payments halved after renegotiations

The Marriott Hotel in Kingston, controlled by Government, was on the verge of being taken over by Republic Bank Trinidad last year because of non-payments. But some tough negotiations ended up with the hotel being granted some legroom, Government officials have confirmed.
Opened in early 2015, the 197-room hotel ran into early problems of not making enough money to repay the almost US$27M-plus syndicated loan it took from Republic Bank.
In fact, without the adjoining annex being completed and converted into a casino to an independent operator, the hotel will never realize a profit, even if all the rooms are filled.
Last year, up to June, the payments due to Republic Bank was a staggering US$2.356M.
Operating under tight checks and balances, the Coalition Government was unable to come up with the money in a hurry.
Marriott sources and Government officials over the weekend explained that it has managed  half the payments after Republic Bank agreed for restructuring of the loans.
Payments semi-annually now have been brought down from US$1.750M every six months to US$899,000, or almost half.
By 2030, the Atlantic Hotel Inc. (AHI), the special company which owns the facilities, has to repay the US$26.970M it owes to the bank.
Currently, four companies have reportedly shown serious interest in the hotel, including the Princess Group at Providence, and one from Suriname.
With inspections of the annex completed by the interest groups, AHI is now moving to have an independent consultant conduct due diligence.
With the renegotiation, the hotel has managed to bring down its interest rates from a hefty nine percent to just over six percent. The administration has been facing pressure to give up the hotel.
In fact, the sale of the hotel is being seen as a means to help the beleaguered Guyana Sugar Corporation, which is badly in need to cash injection to operate its three estates that has remained open.
The hotel was birthed under the Bharrat Jagdeo administration with promises of local jobs being created. However, save for a few contracts for sand and other material, the jobs went mostly to the Shanghai Construction Group and its imported Chinese workers.
Even the landscaping jobs were handled by them.
 
Another court case filed to put ExxonMobil US$18M signing bonus in Consolidated Fund

Further litigation to force the transfer of the US$18M signing bonus into the consolidated fund has been brought against the APNU+AFC Government. An application to this effect has been filed in the name of Former Attorney General, Anil Nandlall.
The proceedings were filed Monday and are fixed for hearing before the Chief Justice on the 13th of March.
The court document seen by Kaieteur News notes that Nandlall is seeking a declaration from the court that the deposit of US$18M received from ExxonMobil as a Signature Bonus, pursuant to Clause 33 of the Petroleum Sharing Agreement into an account within the Bank of Guyana, designated in writing by the Minister of Finance and not in the Consolidated Fund, is contrary to and in violation of the spirit of Article 216 of the Constitution of the Cooperative Republic of Guyana and Section 38 (i) of the Fiscal Management and Accountability Act, Chapter 73:02, Laws of Guyana and is accordingly, unconstitutional, unlawful and illegal.
Nandlall also wants an order directing the Minister of Finance to “forthwith” transfer and deposit into the Consolidated Fund, the said US$18M
The grounds of the application are that Nandlall is the former Attorney General and Minister of Legal Affairs and that he is a Member of Parliament. It was noted that Nandlall’s parliamentary duties include “the scrutiny of actions and omissions of the Executive Government with a view to ensure that there is compliance with the Constitution and the laws of Guyana.
The court document stated that Article 216 of the Constitution provides “All revenues or other moneys raised or received by Guyana (not being revenues or other moneys that are payable, by or under an Act of Parliament, into some other fund established for any specific purpose or that may, by or under such an Act, be retained by the authority that received them for the purpose of defraying the expenses of that authority) shall be paid into and form one Consolidated Fund”. And, Section 38 of the Fiscal Management and Accountability Act, Chapter 73:02, provides, “All public moneys raised or received by the Government shall be credited fully and promptly to the Consolidated Fund, except—moneys credited to an Extra budgetary Fund as stipulated in the enabling legislation establishing that fund; moneys credited to a Deposit Fund.”
Nandlall said that the US$18M fall within the category of “revenues or other monies” contemplated by Article 216 of the Constitution as well as “all public moneys” contemplated by Section 38 (1) of the Fiscal Management and Accountability Act, Chapter 73:02, and accordingly, must be credited fully and promptly pay into and form one Consolidated Fund.

WEDNESDAY
 
Oil Contract reveals… Guyana agrees to not go after ExxonMobil’s hidden financial records regarding operations here
 
–Clause not found in Agreements of more than 15 countries

ExxonMobil has been continuously criticised for burying some of its financial records in nations with strict nondisclosure laws. In fact, several countries have expended millions of dollars in the court system trying to access such documents.
The frustration experienced in waiting years to access the entity’s records have forced some governments to insert into their Production Sharing Agreement (PSA), clauses which expressly state that all financial records should be available to the government and its auditing parties.
But in Guyana’s Production Sharing Agreement, a most interesting turn of events has taken place.
Instead of securing access to all of ExxonMobil’s financial documents, regardless of location, the Government of Guyana agreed to relinquish all rights to go after documents in relation to operations here.
In other words, the Government of Guyana has agreed to limit the scope of any audit it may pursue.
The specific clause which speaks to this arrangement is found in Annex C of the PSA which speaks to accounting procedures.
That section outlines the various guidelines the Government, specifically the Minister of Natural Resources must follow in carrying out audits on the company.
While the Minister must give the company three months notice before commencing the audit, Annex C states, “Nothing herein shall entitle the Minister or his auditors to have access to data and records which: I) are subject to statutory restrictions on disclosure or ii) do not relate to petroleum operations; or iii) are not customarily disclosed in auditing practice in the international petroleum industry…”
What has also turned out to be troubling to some local commentators is the fact that the aforementioned clause has not been found in the production sharing agreements of more than 15 countries.
These include but are not limited to Uganda, Indonesia, China, Tanzania, Angola, Papua New Guinea, Chad, Nigeria, Sudan, Yemen, South Sudan, Mozambique, Kenya and Chad. (To see some of the PSAs of these nations, follow this link: http://www.oilnewskenya.com/production-sharing-agreements-east-africa/)

Another ex-cop, six others held…More stolen cars and parts seized at Kuru Kururu

Police appeared to have cracked another major carjacking ring in raids at Kuru Kururu, Soesdyke/Linden Tuesday, arresting an ex-cop and six others and seizing at least two cars and a truck laden with spares.
The ten-hour operation was carried out by ‘A’ Division ranks and concluded around 03.00 hrs Tuesday.
“The suspects are reportedly employed by an ex-policeman, who is in custody along with others assisting with the investigations,” a release stated.
The ranks seized two cars, and a Canter, which is registered to a Barr Street, Kitty resident. It was loaded with the shell of a silver Toyota Spacio and a quantity of vehicle parts. A release said that vehicle and spares were “suspected to have been stolen or unlawfully obtained.”
Tuesday’s operation occurred just three days after police seized several stolen vehicle parts during raids at North Vryheid’s Lust, East Coast Demerara and Monument Hill, Kuru Kururu, Soesdyke/Linden Highway.
A former policeman, a husband and wife and four women were detained in that raid.
Police believe that the vehicles were stolen during carjackings and stripped of their parts which are being sold.
The raid at North Vryheid’s Lust was carried out by ranks from the Major Crimes Investigation Unit. They raided the home of a 29-year-old taxi driver and his 25-year-old wife.
They found several car mirrors—with engraved licence plate numbers—doors, lights, wipers and other vehicle parts for Toyota Allion, Spacio and Premio motor cars.
As a result, the couple was taken into custody after the husband provided police with conflicting stories as to why the suspected stolen vehicle parts were piled up at his residence.
An ex-policeman and four women were detained after police ranks in ‘A’ Division went to a property at Monument Hill, Kuru Kururu and conducted a search during which a quantity of vehicle parts and several vehicles suspected to be stolen or unlawfully obtained were found.

THURSDAY
 
Pres. Granger says… ExxonMobil contract back with Cabinet

Amid growing unhappiness over the 2016 Production Sharing Agreement (PSA) between Government and U.S. oil giant, ExxonMobil, President David Granger Wednesday disclosed that the matter is engaging Cabinet.
The President was asked by Kaieteur News, specifically, if Government is prepared to review the contract based on public requests.
“These matters are before Cabinet and it depends on what determination the Cabinet arrives at,” the President responded. He further stated that the contract is an agreement between two parties and ‘these things’ have to be approached very carefully.
“There is no prospect at the present time that it is the intention of Cabinet to review it, but as I said, it is before Cabinet,” the President stated.
Since the PSA was made public in December last, there have been daily revelations in the media over clauses in the agreement that raise several burning questions relating to the offers ExxonMobil received, including 2% royalties, zero taxes on oil production, uncapped tax concessions on imports and the limited powers of related institutions and government agencies to effectively oversee Exxon’s operations.
Social and political commentators have pointed to glaring flaws that led to the conclusion that Guyana got a poor, lopsided oil contract deal by international standards.
At the centre of the whirlwind to renegotiate the contract is Minister of Natural Resources, Raphael Trotman whose signature appears on the 2016 PSA on behalf of Government. Last week, Trotman told Kaieteur News that he takes his direction from Cabinet.
 
Carjacking network crumbling …more vehicles, bikes found; two arrested

Police continue to make inroads into a massive carjacking network that appears to comprise gunmen, taxi drivers, bodywork repair operators and individuals with the ability to provide forged documents.
Working through the night on Tuesday, police ranks arrested two more persons and seized two vehicles and two motorcycles, during raids at Yarrowkabra, Soesdyke/Linden Highway.
A release stated that acting on information, ranks commanded by a senior Officer proceeded to a location at Yarrowkabra and found a black Premio PMM 6979, which is suspected to be stolen.
Shortly after, the team went to another location in Yarrowkabra and arrested a 39 year-old taxi driver on whose premises two dirt bikes (a red and black Honda Tornado and a CRF Honda 150) suspected to have been stolen or unlawfully obtained, were found.
“As the search continues, a 22 year-old taxi driver of Chand Sand Road, Timehri, was apparently alerted of the police’s operation and quickly handed over to the police at Timehri, a beige Spacio motor car # PPP 82, which he alleged was given to him to work taxi since last Thursday by a named individual who is in police custody. He (taxi driver) is also arrested,” a release stated.
A police official said that at least 13 people are now in custody. The vehicles are all lodged at the Brickdam Police Station
In a ten-hour operation at Kuru Kururu, Soesdyke/Linden, a team from ‘A’ Division arrested an ex-policeman and six others and seized at least two cars and a truck laden with spares.
Those detained in that raid are reportedly employed by the detained ex-policeman.
The Canter that the police seized was loaded with the shell of a silver Toyota Spacio and a quantity of vehicle parts. A release said that a Barr Street, Kitty resident owns the truck.
According to a senior police official, several people have come forward in the hope of identifying their stolen vehicles.
 
Second NBS wrongful dismissal lawsuit… Court extends deadline for filing of documents

Lawyers engaged in the matter in which former New Building Society (NBS) manager, Kent Vincent, is suing the institution for wrongful dismissal, have been granted additional time to present documents on which the respective parties will rely during the trial.
This decision was made during an in-chamber hearing before Chief Justice (Ag) Roxane George, at the High Court Wednesday.
NBS was granted extra time to file the documents in light of the recent retention of Attorney–at-law Devindra Kissoon.  NBS was given a February 22 deadline to file the documents. The matter is scheduled to come up again on March 22
Vincent a former NBS Manager had filed a wrongful dismissal lawsuit against the financial institution.
Vincent had faced charges of conspiracy to defraud the NBS of $69M, back in 2007. He had been charged along with former NBS Chief Executive Officer, Maurice Arjoon, and fellow Manager, Kissoon Baldeo.
The men faced a trial in the Magistrates’ Court. The matter was later dismissed for lack of evidence. Citing irreparable harm from the negative publicity and loss of salaries and benefits, Arjoon and Vincent moved to the High Court to seek redress.
In separate lawsuits, both the former CEO and the Manager each claimed $550 million worth in damages from NBS for the wrongful dismissal.
Arjoon was recently granted judgment by the Court to the tune of some $79 million, six years after the case was initially filed.
Kent Vincent, who is now the Chief Executive Officer (CEO) of Food for the Poor (Guyana), has been anticipating his day in court.
 
FRIDAY
 
Opposition prepared to meet Govt. on ExxonMobil contract flaws

The People’s Progressive Party (PPP) said Thursday it is prepared to discuss the flaws of ExxonMobil Production Sharing Agreement (PSA) should Cabinet decide to move forward with renegotiating the deal through a bipartisan approach.
Opposition Leader, Bharrat Jagdeo, made the disclosure at his weekly press conference, a day after President David Granger announced that the 2016 PSA has engaged Cabinet.
“Assuming they review this contract and they have an approach on it and they want to approach it in a bipartisan manner, we would be willing to talk with [Government],” said Jagdeo.
The Opposition Leader was not willing to state support for renegotiating the contract citing political implications of Government accusing the PPP of being against foreign investors.
He said that two approaches can be taken once Government decides to renegotiate the contract. One is for an amicable route where both parties agree to renegotiate. The other approach ends in a dispute if one party does not agree to come back to the table.
“In this circumstance, I believe an amicable approach is the best suited one,” Jagdeo noted.
He stated that ExxonMobil has to do what is best for its shareholders, while the Government’s team must seek the best for Guyanese.
Jagdeo stated that the government should first agree that there are elements of the contract that they could have done better on by admitting also that they did a bad job negotiating the contract.
According to Jagdeo, the problem is that Minister of Natural Resources, Raphael Trotman, has repeatedly made ‘asinine defences’ of the contract although Government incompetently sat at the table and was not prepared enough to negotiate the contract.
He repeated a previously held view that expertise was lacking on Guyana’s side of the negotiating table, suggesting that Politicians should not be involved in the future management of the oil and gas sector.
“That is why we called for a nonpartisan approach. Take all the politicians out of the Petroleum Commission. Let’s be arm length. The Petroleum Commission should be purely technically managed and that would be good for long term relations between the country and ExxonMobil,” Jagdeo noted.
He also noted that the PPP would support a Motion brought to the National Assembly which seeks to have the contract renegotiated.

You can’t cure corruption by ignoring it
– President Granger tells Police Conference

“Corruption like a malignant cancer cannot be cured by being ignored.” This was the firm declaration of President David Granger Thursday as he delivered piercing remarks at the 2018 Police Officers Conference at the Eve Leary Police Officers Mess.
The Head of State wasted no time in amplifying the important role of the Police Force even as he underscored his ‘no tolerance’ stance against corruption within its realm. He, moreover, made it clear to his attentive audience of police ranks of various levels that “if corruption is concealed it will continue…”
The Head of State emphasised Thursday that minuscule action will not suffice in addressing the issue of corruption in the Police Force. As such the President assertively intoned that transferring corrupt officers from one branch to another is certainly not the answer to addressing such challenges within the Force.
The Police Force has overtime had cause to discipline a number of its ranks that have found themselves on the wrong side of the law. Among the recent cases is that of Head of the Special Weapons and Tactic [SWAT] Unit, Deputy Superintendent Motie Dookie, who has since been demoted after he became the subject of an alcohol smuggling investigation.
President Granger in considering how the Force has dealt with corrupt officers in the past, underscored that cases of corruption cannot merely be handled by, “posting him from one division to another or demoting him from one rank to another… [this] cannot guarantee that he will change his wicked ways.”
The President asserted Thursday that even “the best efforts of the Office of Professional Responsibility and of the Police Complaints Authority could be undermined by corrupt senior officers who condone the misconduct of their subordinates. They do the Force no good but rather damage the careers and worst yet endanger the lives of other police [ranks] and jeopardise public security,” stressed President Granger.
 
No penalties exist if ExxonMobil shirks Local Content responsibilities

Guyana’s Production Sharing Agreement (PSA) with US oil giant, ExxonMobil, has been criticised for having limited or rather, ‘mediocre” provisions in place for local content. But even with the inadequate provisions in place, no penalties exist if ExxonMobil turns out to be negligent in this regard.
On the other hand, there are several nations which after experiencing the effects of such disregard by oil operators, opted to include in future PSAs, inescapable penalties.  Uganda is just one of the many countries in this regard.
Uganda’s move towards penalties was due to the findings and recommendations of the Global Witness in relation to PSAs there. The Global Witness is an international body that works to break the links between natural resource exploitation, corruption, and human rights abuses worldwide.
According to the body, local content obligations in contracts and laws seek to ensure that companies employ nationals, train local staff and procure local services. It notes that the intention is that local industries benefit directly from the oil sector and that local people develop the skills to manage the oil sector in future.
The Global Witness noted however, that none of the contracts it examined prior to 2008 for Uganda, set benchmarks or penalties for failure to comply with the local content obligations. The International body noted that other countries have included stricter provisions for the procurement of local goods and services in their PSAs and required that they are verified by the relevant government agencies.
After revealing this, the government of Uganda made swift moves to include penalties in PSAs for failure to comply with local content provisions.

SATURDAY
 
Exposure of lopsided oil contract by locals really eye-opening – TIGI

President of the Transparency Institute of Guyana Inc.,(TIGI)  Dr. Troy Thomas is of the opinion that the level of scrutiny given to the Production Sharing Agreement (PSA) that Guyana signed with ExxonMobil is indeed a major benefit to the nation.
The transparency advocate said that the benefits highlight the importance of transparency as “if the contract was not made public, no one would have been given the opportunity to scrutinize it.”
Dr. Thomas said that TIGI is proud of its unwavering advocacy for the contract to be made public and is happy that the government took heed.
He opined that the publication of the contract has not erased the wrong done in withholding the contract in the first place, but is a step in the right direction.
“It took a long time (for the contract to be made public). The contract was already finalized by the time we got to see it. And there is still another appendix that needs to be published (the Bridging Deed) but at least it is out and that is important so it can be scrutinized, and locals are doing a fine job,” Dr. Thomas asserted.
He said that the level of scrutiny offered, and the details that have been analyzed and made public, prove that “locals have more expertise than we are given credit for.”
Dr. Thomas said that TIGI would be happy if the Government can continue in the right direction of transparency and make all other contracts public. He said if others are made public, they too can be scrutinized and corrections can be made.
 
Another ex-cop faces court for carjacking
 
-under probe for vehicle theft, fraud

From the evidence, it appears as though a number of former police ranks are part of the recently dismantled carjacking ring.
Yet another ex-cop was charged on Friday for a carjacking he allegedly committed in 2015.
Jason Harry, 26, of 458 Kuru Kururu, Soesdyke/Linden Highway was arraigned before Senior Magistrate Leron Daly at the Georgetown Magistrates’ Courts.   Particulars of the charge against him allege that on May 26, 2015, at D’Urban Backlands, Georgetown, while armed with a gun, he robbed Phillip King of a Toyota Premio motorcar valued $3.2M, a phone valued $60,000, a pair of slippers and a cologne—all totaling $3.3M.
Harry pleaded not guilty to the charge and was remanded to prison until March 3, when the matter will be called for reports.
During a bail petition for Harry, Attorney-at-Law Melvin Duke told the court that police has no case against his client in the matter that is three years old.  According to the lawyer, at the time of the alleged offence, his client was a member of the Guyana Police Force.
In explaining why Harry was in possession of the suspected stolen motorcars and parts, the lawyer said that his client’s father, who is now deceased, owned a welding shop.
Objecting to bail for the robbery accused was Police Prosecutor Richard Harris, who pointed out that a gun was used to commit the robbery.  The prosecutor said that Harry was positively identified by the virtual complainant.
Further advancing his objections to bail, the police prosecutor revealed that Harry is currently being investigated for car theft and fraud, and there is a likelihood of other charges being brought against him.
According to Prosecutor Harris, at the time of his arrest, Harry could not provide police ranks with a reasonable explanation as to why the suspected stolen items were in his custody. Moreover, the prosecutor stressed that it was Harry along with others who robbed the victim of his belongings.
Harry, Prosecutor Harris added, should not be released on bail based on the possibility that he could tamper with witnesses. These objections were upheld by Magistrate Daly.

GGMC boss refuses to speak to K/News on any matter

Head of the Guyana Geology and Mines Commission (GGMC), Newell Dennison is refusing to talk to Kaieteur News on any matter. He made this clear yesterday during a brief telephone conversation.
The public official did not offer a reason as to why he does not want to speak to this newspaper.
When contacted, Dennison was greeted professionally, and was referred to an article published in Thursday’s edition of the Kaieteur News. The article carried the headline, “GGMC shuns statutory responsibility for best interest of local miners.”
Dennison told the reporter, “I do not know what you are speaking about.”
When the reporter attempted to offer Dennison a synopsis of the referenced article, he asserted, “Do not explain it to me, because I ain’t got any comment on whatever it is.”
This newspaper wanted to speak to Dennison on several issues, these include the matters highlighted in the published article as well as on the role he played in negotiation of the Petroleum Sharing Agreement (PSA) that the Government of Guyana signed with ExxonMobil.
 
Govt. not forthcoming on border security issues – Opposition Leader

The People’s Progressive Party (PPP) has accused the coalition administration of not being forthcoming on border security issues.
Opposition Leader Bharrat Jagdeo said that the party supports the Government on security and the integrity of the borders.
“I have been President of Guyana for over 12 years and so I am acutely aware of the need for confidentiality in the conduct of border affairs, but I do believe that any Government has to balance the need for confidentiality with the necessity of keeping our public informed,” Jagdeo noted.
In recent months, there have been concerns expressed by citizens and miners living in border communities with represent to foreign gangs operating in the mining districts. The military has debunked these claims.
Jagdeo said that there is need for the public to be informed, particularly when there are enhanced threats.
“I believe that there is an active threat to our territorial integrity and that our Government is not forthcoming enough in addressing that threat and informing the public of the nature of the threat, but it is an enhanced threat and I do not say these words lightly, because I have been president for several years.”
Jagdeo assured that the Government has the PPP’s full support in responding to the threat.
“This doesn’t belong to APNU [A Partnership for National Unity] or to the coalition Government alone…it is the people of this country who would be called upon to defend it,” Jagdeo noted.

---

---