China Railway rejects claims by VICE News, says it abides by the law

China Railway First Group Co. Ltd today said that it abides by the laws of Guyana and it expressed  “strong indignation” at claims made in a recent broadcast by VICE News on the activities of Chinese businesses here.

A statement by China Railway follows:

Clarification by CRFG to VICE NEWS’ Coverage

Recently, a footage named “Guyana for Sale” aired by the media VICE NEWS indicated that China Railway First Group Co. Ltd (CRFG) had connections with a Guyanese citizen Su Zhirong in its tracking for Amaila Falls Hydrpower Project and the road project, misleading the public through online media based on the groundless fabrication of so-called factors in an attempt to defame Chinese enterprises here in Guyana. CRFG hereby solemnly states that CRFG has never signed any agreement with Su Zhirong, nor has it conduct any actions that were shown in the footage.

 

Regarding to Amaila Falls Hydropower Project, Sithe Global, a U.S. based company, as the investor of the project and beneficiary of the concession rights, publicized the invitation for bid for the project across the globe in May, 2008, and CRFG participated in the bidding process. In November, 2008, CRFG was announced the successful bidder for EPC Contract of Amaila Falls Hydropower Project, which was officially signed between CRFG and Sithe Global in September, 2012. In August, 2013, Sithe Global, due to the expiration of the concession rights for the project, exited the development of Guyana Amaila Falls Hydropower Project. Ever since then, the project was long-term laid aside.

 

 

In July, 2021, the Government of Guyana publicized the RFP (Request for Proposal) for Amaila Hydropower Project. Among all the Proposals submitted by the companies in September, 2021, CRFG’s Proposal presented the lowest price. Therefore, in November, 2021, the Government of Guyana expressed that it would proceed to next round of  negotiations for the project preferably with CRFG.

 

Similar procedures were followed for the fulfillment of the “East Coast Demerara Public Road Widening and Improvement Project-Better Hope to Belfield Village” (ECD Public Road Project) by CRFG. In November, 2013, the Government of Guyana publicized the notice for pre-qualification for this project, and eight companies including CRFG participated in the pre-qualification process. Later on, CRFG and other five companies were shortlisted to enter the official bidding as the second stage. The Bids were opened in May, 2014, and CRFG, with its lowest price (lower than the Engineers’ estimates), was announced the successful bidder among all four companies who have submitted the Bids. In December, 2014, CRFG signed the Contract of this project with the Ministry of Public Works. And CRFG delivered to Guyanese people so far the best roadway in Guyana with the highest quality at the lowest price , which is highly commended by local residents.

 

Since its presence in Guyana from 2008, CRFG strictly abides by the laws and regulations of Guyana in conducting its business operations in the country. We express strong indignation on the behaviors that VICE NEWS and Su Zhirong deliberately fabricated stories and spread such untruthful information on the internet to mislead the public and damage the reputation of our company. We strongly condemn such behaviors of defaming Chinese enterprises. Given such, CRFG hereby declares that it reserves the rights to seek legal actions against VICE NEWS and Su Zhirong for their reputation damaging behaviors and the rights to claim compensations for loss so incurred to our company’s business.

 

China Railway First Group Co., Ltd.

July 9, 2022