Another Canadian company boasts about Guyana’s lucrative gold fields to investors

Aug 19, 2023 News

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Kaieteur News – Another Canadian gold company has revealed to investors how rich Guyana’s gold fields are. Tajiri Resources entered Guyana’s mining sector back in June 2020 and has labeled its mining projects in Guyana as “pretty good.”

Tajiri Resources considers itself as a junior mining company. The company has three mining projects in Guyana: the Kuburi, Gargantuan and Epeius.

During an interview in April, the company’s Executive Chairman Dominic O’Sullivan joined Steve Darling from Proactive Investors with an update on the company’s K4 North prospect in Burkina Faso, West Africa. During the interview, O’Sullivan shared that while their gold projects in West Africa are in a more advanced stage; their projects in Guyana are of good quality. He had also promised to release other news on Guyana mining projects.

About Tajiri

Tajiri Resources Corp. is a junior gold exploration and development Company with exploration assets located in greenstone belts of Burkina Faso, West Africa and Guyana, South America.

It is engaged in the exploration and development of mineral properties. Its Guyana gold projects include Kaburi Gold Project, Gargantuan Gold Project, and Epeius Gold Project. The Kaburi Project is located about four kilometers (km) northeast of the operating Smarts Mine. The Kaburi project comprises six medium-scale tenements covering over 2597 hectares (ha). The Gargantuan Project covers about four to 6.5 km strike of the source area (the Gargantuan Source). Epeius Gold Project is located about six km north of the Karouni Gold Mine. Its Reo Gold Project covers approximately 1,002 square kilometers of a confluence on the Hounde and Boromo greenstone belts in Burkina Faso. It also has interest in Wineperu Creek property, which has interest in six mining permits located in the Wineperu Creek, Guyana.

Canadian gold companies in Guyana

On July 27, Kaieteur News reported that Canadian mining company, Alerio Gold Mines hailed Guyana as a country with favourable mining laws and strong support from a pro-mining government. This was relayed in a presentation on their gold mining projects in Guyana to investors. Alerio is the same gold company that had told its investors that there is “gold fever” in Guyana.

The company posted the news about Guyana’s favourable mining laws and pro-mining government on their website.

Alerio entered Guyana’s mining industry in June 2021, and had announced its presence in the country via multiple press statements it had posted on its website. Notably, while the company was sure to announce its presence in Guyana via its website, the Guyanese government made no formal announcement to its citizens about the arrival of Alerio Gold.

Moreover, on July 17, 2023, just three weeks after Canadian gold company, Omai Gold Mines announced drilling results showing significant gold deposits in their Wenot pit, located in Region Seven (Cuyuni-Mazaruni)–the company announced “similar excellent drill results.”

Omai is one of the few large-scale foreign mining companies working in Guyana. Omai holds a 100% interest in the Omai gold project in Guyana, which produced over 3.7 million ounces of gold between 1993 and 2005. The property hosts two gold deposits: the shear-hosted Wenot Deposit and the adjacent intrusive-hosted Gilt Creek Deposit.

On June 22, the company in a press release disclosed that within the first six months of 2023, it has drilled 11 holes which showed significant gold in their Wenot pit.

In their July statement, Omai Chief Executive Officer (CEO) and President, Elaine Ellingham, said: “similar to our excellent drill results from a couple of weeks ago, these new results again confirm the significant expansion potential for the Wenot deposit, to depth as well as along the flanks.”

The company had disclosed that since their return to Guyana’s gold industry, they have been expanding their search in their pits as well as increasing the depth at which they search for gold. Ellingham had noted that the results so far have proven to be fruitful.

SECRECY OF CONTRACTS

As the foreign companies continue to explore Guyana’s gold fields, the government is yet to deliver on its promise to make all mining contracts public.

While foreign companies have been rushing to cash in on the “gold fever” in Guyana, the country has been suffering massive declines in its annual declarations since 2017.

Kaieteur News had made several requests for the Government of Guyana to release the mining contracts, particularly large-scale mining contracts.

In 2019, when Guyana became a member of the Extractive Industries Transparency Initiative (EITI), the country agreed to adhere to several requirements. In this case, EITI requirement 2.4 (a) of the 2019 Standard states that Guyana should publicly disclose all mineral agreements entered into force prior to the reporting period, in this case, 2019. Although the requirements were known to the administration, it continued to make excuses to avoid the release of these contracts.

In this vain, this newspaper reported in December 2022 that Vice President Bharrat Jagdeo dodged the matter on four different occasions. During a press conference in April however, he publicly committed to releasing the fiscal terms for all mining agreements. This was the second time the Vice President promised to “personally intervene” for the release of the fiscal terms of all large-scale mining contracts.

The Vice President made a similar commitment in August 2022 during an appearance on ‘The Glenn Lall Show’ aired on Kaieteur Radio. While appearing on that radio programme, he told the Kaieteur News’ publisher, Glenn Lall, “I don’t see the reason why many of these are not in the public domain already. I’ll find out about it.”

When pressed further Jagdeo said, “I can undertake to find out with you there, what the GRA [Guyana Revenue Authority] is so cagey about that it doesn’t want to release… I will undertake anything that is non-propriety that you get it. I will personally now see that this happen.” However, despite the promises by the Vice President, the contracts remain hidden.

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• Chairman, Dominic O’Sullivan, Executive, pretty good, Tajiri Resources

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