Drop in gold declaration, sales
Minister of Natural Resources, Raphael Trotman before the Parliamentary Sectoral Committee on Natural Resources, Friday (Adrian Narine)
Minister of Natural Resources, Raphael Trotman before the Parliamentary Sectoral Committee on Natural Resources, Friday (Adrian Narine)

…due to mercury exposure issues at Gold Board

GOLD declaration and sale at the Guyana Gold Board (GGB) have dropped ever since the mercury exposure fallout at the Guyana Geology and Mines Commission (GGMC) compound, Brickdam close to two months ago.

Minister of Natural Resources, Raphael Trotman in a report to the Parliamentary Sectoral Committee on Natural Resources on Friday disclosed that there has been “an appreciable downturn” because of the negativity surrounding the incident. According to information provided by Trotman, GGB projects declarations to be 800,000 ounces with Licensed Gold Dealers 275,000 ounces, GGB-225,000 ounces, Guyana Gold Fields 200,000 ounces, Troy Resources 100,000 ounces. Additionally, the GGB had projected for January to April 2018 purchases will be 96,000 ounces, while for the same period foreign sales will be 88,208 ounces with revenue in the sum of US$111,585,144.

In April, the GGB was forced to close its Brickdam, Georgetown laboratory due to the high levels of mercury emissions in the compound. The laboratory is used to burn amalgam to rid the gold of mercury. Mercury is mixed with gold, forming a mercury-gold amalgam which is then heated, vaporising the mercury to obtain the gold. This process can be very dangerous and lead to significant mercury exposure and health risks.

Chairman of the Committee, PPP MP, Odinga Lumumba questioned whether there has been any revenue loss as a result of the closure of the laboratory. “We have seen a direct impact on gold sales at the gold board,” said Trotman during his presentation. The incident, which resulted from a blockage in the laboratory’s chimney, resulted in approximately 65 staff of the GGMC being sent home.

The staff have since been tested and treated for the high levels of mercury found in their bodies. Describing the situation as unfortunate, Minister Trotman said testing of mercury levels in staff continues but made it clear that high levels of mercury could be present in some persons as opposed to others as a result of their diet.

“What we have done to date, we have called in the EPA, I know that the Ministry of Social Protection is also carrying out its own studies. Each member of staff was tested, recognising that some staff are working in the field, in mining communities —they would be exposed to mercury. We have not disaggregated to see who was in District 6 or Brickdam,” he explained.

Minister within the Ministry of Natural Resources, Simona Broomes making a point before the Parliamentary Sectoral Committee on Natural Resources on Friday (Adrian Narine)

The Minister reminded that gold is burned at several locations across the city and the blockage of the chimney in the GGMC compound is but one way individuals can be exposed to mercury. He said there are strict measures in place to protect workers while noting that as soon as the problem arose, workers were removed from the laboratory and provided with medical attention.

Speaking to reporters just after he briefed the parliamentary committee on natural resources, Trotman said he believes the negativity about the gold and the GGB has left miners “uncertain”. “We also believe, we weren’t ashamed to say, some of the measures government introduced in 2016 and 2017 may have had an impact hence the minister of finance removing the tributor’s tax and so on,” he explained.

Trotman also pointed to the “Rasul effect”, the removal of Bartica gold dealer Saddiqi “Bobby” Rasul from the system “has seen some dropping off of declarations.” On March 27, 2017, Rasul signed an Acknowledgement of Debt and Undertaking, admitting that he, while fully knowing that his account at Citizens Bank (Guyana) Incorporated had been closed, fraudulently and by false pretence sought to negotiate and obtain payments on the cheques. On March 31, 2017 he was arrested and charged on April 1, 2017, with six counts of Obtaining Money by False Pretence, contrary to Section 194 of the Criminal Law (Offences) Act Cap.8:01.

The aforementioned charges were withdrawn and on April 21, 2017; the applicant was then slapped with six charges of Obtaining Credit by False Pretense, contrary to Section 213 (2) of the Criminal Law (Offences) Act Cap.8:01. He again pleaded not guilty and was placed on $1,500,000 bail on each count after these charges were read to him at the Bartica Magistrate’s Court. The matter is still engaging the attention of the court in Bartica.

Meanwhile, Trotman said there are nine licenced dealers along with the GGB, all of which have the power to buy and burn gold but acknowledged that there are a number of unauthorised places buying and burning gold.

Meanwhile, in the interim, Trotman said a company has agreed to assist the GGB with finding “a new home”. Questioned on what can be deemed an “incestuous relationship” where the regulatory body is using the facility of a miner to carry out its functions, Trotman said, “It has been raised and we are satisfied and we have our staff there; it is a temporary situation. We are actively scouting a few sites; it is only temporary.”

Staff of the GGMC is currently occupying a building in Subryanville, Georgetown, the minister disclosed.

Meanwhile, Trotman indicated that there is a system set up to ensure that all workers receive the required medical attention.

By virtue of examination from medical professionals and collaboration with the National Insurance Scheme (NIS) some staff have been sent on sick leave and given medication. “As some go off, others come one. There have been disruptions at GGMC and the Gold Board,” he said adding that only administrative services are being offered at GGMC’s Brickdam office.

Asked whether the incident was caused by staff incompetence or the breakdown of machinery, Trotman said the blocked chimney is regularly maintained but became blocked over a period of two days. He said, “It was maintained but not daily. It wasn’t any wanton or deliberate act.”

Member of the Committee of Jermaine Figueira questioned whether other persons, miners or otherwise, who frequent the GGMC compound were tested for high levels of mercury. Minister within the Ministry of Natural Resources, Simona Broomes, a miner for most her life; said complete evaluations were done on all mines officers.

“While there was a problem with the chimney- there were persons always before tested for mercury before the chimney broke down for decades. Persons were tested and did not receive their results and so I don’t want us to lock the situation that is specific to the Brickdam compound. It is a bigger problem.”

Broomes said, what is important is that the safety of the workers is being dealt with as priority. The workers and their safety are being taken seriously, said Broomes who pointed to their evacuation from the compound.

“We are encouraging all of the miners to equip themselves with the equipment that they can use to test themselves. It is your health; it is not only a government responsibility. You come out of the interior where many persons are not in compliance…persons still squeezing silver with their hand, resting it on their clothes…no gloves are used so there and you are exposed to mercury.”

The Minister within the ministry of Natural Resources said testing miners who frequent the GGMC compound will not solve the problems as they are not specific to the Brickdam location. Meanwhile, Trotman said government has been looking to alternative measures to the use of mercury. He reminded that last September, Guyana signed the Minimata Convention which calls for the reduction and eventual eradication of the use of mercury in mining.

He said his government is working with local and international stakeholders such as mining organisations, the UNDP and Conservation International (CI) to realise this objective.

Government’s intention is to work with miners to introduce new technologies for the safe recovery of gold, while highlighting the dangerous effects of mercury, Trotman posited.

 

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