82 claims for land formerly operated by Troy Resources given to small miners

Feb 02, 2024 News

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Kaieteur News – The Ministry of Natural Resources has allocated 82 claims to small-scale miners on the former Troy Resources mining concession at Karouni, Region Eight (Potaro-Siparuni).  The announcement was made by Minister of Natural Resources, Vickram Bharrat, during the budget estimates consideration for his ministry on Wednesday afternoon.

The Committee of Supply approved $400 million for the phase one of the mineral mapping project to be undertaken by the natural resources ministry in the various mining areas in Guyana.

The Australia-headquartered Troy Resources had left owing Guyana more than $2.6 billion in royalties. Given that the land is now back in the possession of the Government of Guyana (GoG), Opposition Member of Parliament (MP) Shurwayne Holder, specifically inquired whether the ministry’s mineral mapping will cover lands previously mined by Troy Resources and others.

Addressing the perennial demand for more land by miners, Minister Bharrat stated, “That is one where we are seeking to address the cry for land by small miners especially, not medium scale but small miners. To access their own land to work…”

The ministry’s approach to the former Troy Resources property in Puruni involves evaluating claims showing mineralization potential. However, Minister Bharrat noted limitations in conducting surveys due to a lack of equipment and technology at the ministry.  As a result, he disclosed that the ministry has incorporated a provision that allows miners to relinquish a claim if dissatisfied, with another claim being issued in return.

The Natural Resources Ministry has capped the allocation at 100 claims, each covering 27 acres. Presently, 82 claims have been awarded to small miners, irrespective of whether they are existing players in the sector or newcomers. Additionally, plans are underway to distribute 18 more claims through a lottery system, where miners will randomly select claim numbers.

Mineral Mapping

Moreover, Minister Bharrat explained to the Committee of Supply that the mineral mapping of the mining areas in Guyana is badly needed, since the current data is over 40 years. He added that the project will assist his ministry in making informed allocation of claims and mining blocks. The minister said too that it will also reduce the cost of prospecting and exploration, particularly for small and medium scale miners.

MP Holder asked the specific areas the $400 million will cover for the mineral mapping and what other minerals besides gold and diamond will the ministry be surveying for. Minister Bharrat explained that in light of other critical elements being sought after around the world to produce batteries and solar panels, the government will be surveying for other critical elements. “We know that lithium is in big, big demand across the world…so it is a much sought after element around the world and we know that they are a few countries in South America producing lithium so we believe that they maybe a possibility that we do have that in the critical mineral here too… that’s why we are not only focused on gold and diamond,” Minister Bharrat said.

He explained that the team will be focusing on a few of the main mining districts in phase one which is Mazaruni, Puruni and North West District.

Land Reclamation and Reforestation

Moreover, the sum of $300 million was approved for land reclamation and reforestation. Minister Bharrat said, “The project had advance significantly in Region Ten, it was an area of almost 60 acres identified for reclamation and reforestation…”

He explained that the allocation is for a continuation of the project which started in 2023 but will be done in other regions this year. This year’s project will target Region Eight and Region One, particularly the mined-out areas near the Mahdia Township and Matthews Ridge, respectively. Bharrat disclosed that the allocation will also cater for the establishment of a plant nursery at Bartica, Region Seven. He said there are currently plant nurseries at Wismar, Region Ten and Yarrowkabra, on the Linden-Soesdyke Highway.

“That is part of the cost and we are not using some of the fast-growing species because of the evasive nature of it, so we will use the traditional species it may take longer to grow but it will be worth more in the long run,” the minister added.

He said too that $10 million will go towards advertisement and developing mining policies at the ministry.

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• Diamond, gold, mineral mapping, Mining, Vickram Bharrat

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