By Antonio Dey
The Linden to Mabura Hill road project was going well until the Guyana Geology and Mines Commission (GGMC) issued a cease work order to Alya Constructora for mining laterite without a licence, Toshao of Malali in Region Ten Orlayne Williams has said.
His disclosure came following concerns that allegedly raised by Malali residents over the Brazilian contracting company was mining laterite from their land without them being fully compensated.
This was also mentioned at the 57th sitting of the Parliamentary Public Accounts Committee (PAC) where Opposition Member Ganesh Mahipaul asked whether the villagers were being compensated for laterite mining on their indigenous land.
Public Works Permanent Secretary Vladim Persaud then revealed that the GGMC had issued a cease order on mining of the laterite to the Brazilian company.
Subsequently, Mahipaul had requested copies of the contract with the Brazilian firm, as well as signed agreements for compensation between the company and the village to be forwarded to the PAC as evidence. A document granting permission for the company to mine laterite was also requested.
However, Toshao Williams confirmed that following a meeting with the Malali Village Council, Alya Constructora was given permission to mine laterite and other quarrying materials. “We had given them the permission to mine laterite following a meeting with the village council, until we were informed that GGMC issued a cease order claiming that the company was mining without a licence.
“So, we had to now follow the protocols and they had to stop mining these materials. What I can say for now, they are awaiting their licence from GGMC before we can re-enter an agreement with them concerning the mining of laterite.”
Williams said that over two kilometres of asphaltic road had been completed, while preparations were ongoing for another five kilometres.
He said the Brazilian company had so far done a fantastic job on the community road, as well as a playground designed for recreational purposes. When asked if the residents were satisfied with the project and if they were being compensated while the company was mining laterite on their land, Williams said, “yes the residents are satisfied and the laterite mining was not done on their lands but that of the Malali Quarry Inc.
“As far as I know any resident who said that the mining was done on their lands and sought compensation is misleading and trying to hinder progress in the community.” He said only Malali Quarry Inc should be concerned as it had given Alya Constructora the greenlight to mine laterite.
Williams posited, “When we met with Alya Constructora, it was a unanimous decision at a village council meeting for the laterite to be mined, since the road will benefit everyone in the community. So I don’t know who is trying to cause confusion, but I will get down to the bottom of it.
“There has been a lot of development in our community since Alya came onboard so I can say that 95% of these works have been completed.”
Stabroek News spoke with two villagers who said they were grateful for the project but lamented that many times residents fail to maintain public infrastructure.
The villagers, who preferred anonymity, also said that many times projects were done in a subs-standard manner and they hoped that the Linden-Mabura Road did not fall into that category.
A source with in-depth knowledge of the operations at Malali Quarry Inc told this publication that the quarry company currently has a lease agreement with Alya Constructora where laterite mining is done on a scale production of US$1 per tonne including royalties. According to the source, $8 million is paid per annum to ensure that this agreement is followed.
“GGMC will not allow a foreign company to mine laterite unless it is operating legally and has its licence,” the source added.
“The Ministry of Amerindian Affairs supposed to reject any mining agreement between Alya and the Malali Village council. The village council is acting against the agreement with Malali Quarry Inc.
“The road the Toshao talking about was just graded by Alya, and the company cleared six acres of the forested area so that it will not be an impediment for the guys to do their work.
“To date Malali Quarry Inc paid in excess of $15 million to the village council and I don’t like how the Toshao talking about this Brazilian company as if villagers in that community did not assist with the project, there a few persons from MQI who have assisted with that project.
“I don’t know what the Toshao is saying, the Government of Guyana in 2022 expanded the road and Alya just graded it, they did not construct anything.
“Alya had wanted to extract 133,000 cubic metres of laterite for free and MQI told them no and that is why GGMC stopped them because firstly they don’t have a licence and secondly, they had wanted to mine at a minimum cost. At first they were considering to do it free and the quarry told them that is not how business is done in Guyana.
“The company doesn’t have a problem with Alya mining their laterite but it must be done in accordance with the contractual obligations, they can extort Guyanese for the value of this mineral, the resources must be protected.
“And there is something not right about the agreement between Malali Village Council and Alya Constructora.”
Stabroek News was reliably informed that the GGMC indeed issued a cease order to the Brazilian company for the illegal mining of laterite which is in contravention of Guyana’s mining laws.
The Mining Act of 1989 stipulates that “mining area”, means an area of land in relation to which a mining licence has been granted; while “payment” refers to a royalty in relation to the mining of any mineral to be paid by the holder of a mining licence, mining permit, claim licence, special mining permit or quarry licence in kind, construed as a reference to delivery of the mineral by way of royalty, and cognate expressions shall be construed accordingly.
