Govt. acts contrary to its own decision to move oil from Natural Resource Ministry

Govt. acts contrary to its own decision to move oil from Natural Resource Ministry – Ram

Oct 15, 2018 News

The Ministry of Natural Resources was months ago stripped of all its responsibility for the oil and gas sector. However, just a few days ago, the Ministry released an advertisement in its name inviting firms and persons to bid for the work to audit the pre-contract bill that ExxonMobil handed to Government.

Chartered Accountant, Christopher Ram

Minister of Natural Resources, Raphael Trotman

This left Chartered Accountant and Attorney at Law, Christopher Ram at a loss. Ram had been keeping a keen eye on Guyana’s nescient oil and gas sector.
Recently, the attorney spoke extensively about the weaknesses of the scope of the work to audit the pre-contract cost as outlined in the ad released by the Ministry of Natural Resources. Ram said that Guyanese should therefore expect deficient work.
Ram also questioned, “Oh, and how come the Ministry of Natural Resources is still engaged in petroleum matters? Perhaps that Ministry has not received their copy of the Official Gazette which has removed any responsibility of that Ministry for petroleum operations, transferring them to the Minister of State Mr. Joseph Harmon.”
Based on a notice posted in the August 2, 2018 edition of the Official Gazette, the Natural Resource Ministry is no longer responsible for petroleum matters, but still holds responsibility for gold and diamond-mining, logging and forestry sectors.
Ministry of the Presidency had said that the establishment of the Department of Energy has resulted in the Petroleum Division being shifted from the Ministry of Natural Resources to the department under the Ministry of the Presidency. The Ministry said, “All responsibilities for the natural resources sector, including the gold and diamond- mining, logging and forestry industries, among others, remain with Minister Trotman.”
The ministry even recalled that Minister of Natural Resources, Raphael Trotman publicly stated on February 28, 2018, that it was he who had proposed to Cabinet that a Department of Energy be established and managed under the Ministry of the Presidency.
In a concept note submitted to the Cabinet, Minister Trotman had outlined the need for the new department, and the role it would take on with regard to oil management.
Trotman has stated that “given the evolving macro-economic and national security considerations, and the transformative nature of the imminent production of petroleum,” it is his view that several matters must be taken into consideration.
Key among those matters was the proposal that “all policy matters, including, but not limited to, the negotiating and entering into contracts, and issuing of licences for exploration and production, be transferred/re-assigned to the Ministry of the Presidency and placed within a Department of Energy and Development.”