GOVERNMENT has set the new production target for gold at 700,000 ounces for 2017, encouraged by its record-breaking production of more than 600,000 ounces as at November 30, 2016.Natural Resources Minister Raphael Trotman, who addressed the gala awards ceremony and cocktail reception of the Georgetown Chamber of Commerce and Industry (GCCI), held on Thursday at the Marriott Hotel in Kingston, Georgetown, said: “Next year we hope to edge closer to the 700,000 ounces threshold, and hopefully surpass it.”

Trotman told the gathering of mostly persons in the business community that the projected gold target of 550,000 ounces projected for 2016 has been surpassed since before October; and the minister said he is happy that Guyana’s gold sector has broken its production record by a significant margin.

“As at November 30, gold declarations have crested the 600,000 mark. In putting this into context, it means that even in the days of higher prices and the presence of Omai, gold never went beyond 465,000 ounces, which was the highest-ever recorded production in 2013,” Trotman said.

Trotman’s revelations have shown that 2016 has been a jubilee year for the mining and quarrying sector, even though price of the precious mineral has dropped significantly on the international market.

Trotman has said that although oil is expected to create a paradigm shift in the country’s economy — with the country entertaining high hopes and preparing for accelerated economic development due to the EXXONMOBIL oil discovery — there have been recent formal expressions of interest in mining for commercial purposes, and gold mining is climbing.

“This year, the mining and quarrying sector grew significantly, thanks to a very dominant performance by gold; which, despite a significant drop in gold prices on the world market (today US$1163) and challenges in the mining sector, has seen gold production figures continually rising in 2016,” the minister said.

Small and medium scale miners have been credited for their high level of contribution, producing over two-thirds of the historic production. Their performance has been followed by those of the two large companies — Troy Resources and Guyana Goldfields.

According to the minister, Government, in recognising that gold is an important income-earner, will provide operational concessions to miners and lend support through infrastructural works, while putting in place systems to ensure higher declarations.

Diamond production has also surpassed its expected target, being 38 per cent ahead of its 2016 goal of 61,380 carats with declarations of 99,000 carats already at the end of October.

The bauxite industry has had a notable record achievement; as Guyana, in October 2016, celebrated 100 years of bauxite mining on its shores.

“Bauxite production in Guyana is one of the leading mineral sub-sectors, and accounts for a significant part of the GDP generated from exports of minerals,” Minister Trotman said.

He added that at the end of the third quarter of 2016, on September 30, bauxite production, at 1,138,182.80 tonnes or 80 per cent of the budgeted figure, increased by 38,000 tonnes compared to the same period last year.

Trotman said that despite the joys the mining industry brings, challenges of loss of life and limb, illegal mining, or other activities of grave disrepute continue to plague the industry, shading its success.

Government is stepping up compliance and safety in the sector in 2017.
“We at the Ministry endeavour to do much more in 2017 to ensure compliance and safe practices for the well-being of the thousands of men and women who depend on mining for the development of themselves and families,” Trotman said.