THE government yesterday cleared the air on inaccurate reports circulating that it has granted an extension to the contract of Chinese logging company, Baishanlin, to operate here.The Department of Natural Resources and the Environment, in a statement yesterday, said note has been taken of the maelstrom that arose from reports that government has granted the Baishanlin International Forest Development Incorporated a two-year extension to fulfil its obligations, and also, permission to continue the export of logs as normal.

“Both reports are inaccurate and not factual,” it declared, noting that “by way of clarification, the Department of Natural Resources & the Environment issued a statement in which it sought to inform the public that it has not granted the company a two-year extension as mistakenly reported in the media, and wishes to advise that the reference to ‘two years’ made by the Minister of Governance was merely to make the public aware that a two-year extension was being sought by the Company.”

The department said, too, that it has not considered the request and has requested information from the company about its proposed business plan and evidence of financing. It is only upon receipt of those documents that such an application can be objectively scrutinised and a decision made about the future of the company’s operations in Guyana.

With regard to the valid concerns about the export of logs, the department advises that the company has not shipped logs in several months, following an earlier restriction placed on exports.

However, it must be noted that a large quantity of locust logs remain in a holding area and their quality is rapidly degrading, and while it is expected that a sizeable quantity will be released into the local market for use by furniture manufacturers, it is anticipated that a surplus will remain and this will either be allowed to depreciate further, or would have to be exported.

The Department of Natural Resources & the Environment assured that it would endeavour to keep citizens informed of any further developments.