Forutna Mining Corp

May 13, 2026 Editorial, News

Editorial

(Kaieteur News) – It was Senior Minister in the Office of the President with Responsibility for Finance, Dr. Ashni Singh, who first informed the nation of world-class foreign gold companies being partnered with, to explore Guyana’s gold sector. Since then, a number of Canadian firms have entered Guyana’s mineral rich regions in the hunt for gold. Fortuna Mining Corp (FMC) is the latest venturing into local goldfields. It does so with a splash, and a different arrangement.

FMC paid US$5M for a stake in a local gold operation in the greenstone belt of the Guyana Shield. FMC could grab as much as a 70% interest in a 73,143-acre gold project, should the relationship and benefits follow a progressive arc. A Guyanese company, Qstone Inc., has sealed this deal with this new Canadian mining presence, and a formidable one from its record. This deal was signed on April 20^th, and announced in the international media, including Bloomberg, in the days since. One would think that, though an arrangement negotiated and struck between private parties, the nation would have been given some information on a development this large. It would be interesting to hear from the PPPC Government, either Dr. Singh, or the Minister of Natural Resources, Vickram Bharat, for their reaction to this news.

On our part, we have issues with how sections of Guyana’s gold sector are parceled out to local and foreign entities, and how these entities then either swap them out, flip them, or alter them, in some form, to other deep-pocketed partners. Does the government not have some concern over this? Is there provision in the documents allocating large tracks of promising gold lands that precludes companies from, for all intents and purposes, passing from hand to hand, Guyana’s rich mineral assets? A vigilant government that is keen about managing the nation’s precious, nonrenewable assets would be concerned. It would take steps to prevent secondary deals that may not be in the interests of this country, and to safeguard citizens who struggle to get into gold operations, but find the power of the competition overwhelming.

We appreciate that the kind of funding needed for largescale gold operations could be a severe handicap for Guyanese companies who sit on thousands of acres of gold lands that are rich with promise. Therefore, as a matter of survival and remaining a player in the gold sector, by sharpening their prospects, it is understandable that Guyanese may move to seal agreements with partners, usually foreign. They bring money, other resources, and the weight of their skills and experience, which could make the difference between a profitable gold partnership, or a losing one. Having said this, we must record our displeasure and objection that a bargain of this magnitude could be made between private parties, one that involves so much of the mineral resources of this nation. How can this huge percentage interest in a local company that offers so much natural resource upside could be left to the ambitions of private entities? Millions of US dollars are involved, and that is being bartered, passed from one and to the next, like cards in a deck.

It was Dr. Ashni Singh who had assured the nation of world-class companies that his government was preparing to welcome to explore our rich bounties. When the vastness of Guyana’s riches is considered, there is a need for those investors. One of the conditions, however, is that there must be world-class rules and standards that help Guyana to get the most out of its various patrimonies. There should be limits on these sharing agreements, even when they represent Guyanese-to-Guyanese engagements. One should be a minimum holding period for the concession granted, with no less than five years seen as appropriate. Another would be that the percentage foreign interest in gold sharing arrangements should not exceed a certain maximum percentage. We think that Guyana’s Local Content limits should apply in these situations.

While FMC is putting up US$5M to open new opportunities in its partnership with Qstone Inc., we object to that 70% interest as being too high. Natural resources belong to all Guyanese. They are not government or private property to be played with like chips in a casino.

Discover more from Kaieteur News

Subscribe to get the latest posts sent to your email.

Dr. Ashni Singh, Editorial, Forutna Mining Corp, Guyana gold mining

Latest News