— Goldfields executives say hundreds of jobs to be created

GUYANA Goldfields Inc said the future of operations at the Aurora Gold Mine (AGM) is underground mining and it is now awaiting permission from the Guyana Geology and Mines Commission (GGMC) to begin operations in this regard.

While underground mining has been conducted in Guyana in the past and is being conducted in the present, it has been noted that the intentions of the company far out-scales the past and present operations.

On February 20, 2019, the Environmental Protection Agency (EPA) issued the Canada-based, mid-tier gold producer with a permit for the construction of the mine decline and has since made mine exploration decline submissions to the GGMC.

On Thursday, Guyana Goldfields invited media operatives to its AGM operations in Cuyuni-Mazaruni (Region Seven) for a day-tour where talks of the underground mining operation took the fore.

In a presentation, Chief Executive Officer (CEO) of Guyana Goldfields, Scott Caldwell, stated that the company believes that the future of the AGM is underground mining.
“I think the profitability of the underground mine is actually going to [be] better than the open pit because I think it’s a unique deposit,” Caldwell stated.

Meanwhile, a presentation from Senior Vice President and Chief Operating Officer, Suresh Kalathil, highlighted that the venture could become one of a kind in the Caribbean, utilising industry standard technology and expertise.

He stated the venture will guarantee sustained long-term employment for Guyanese, continued revenue to the government, strengthened foreign exchange reserves, and opportunities for nationals to train and develop in the best industry practices and standards.

Later, standing at the Mad Kiss pit at the AGM, Kalathil pointed to an entrance which he stated will become the portal to the underground mine in the future.

Regarding the pending permits, GGMC Commissioner Newell Dennison, who was present on the trip, stated that the commission has received the necessary documents from the company and will soon report on whether the go-ahead can be granted.
“From what I am aware, they have submitted [the documents]. I am of the view that we are in good way to be conducting the examination to determine whether we need anything more. To the extent that we ascertain that what is therein is sufficient representation of what they plan to do and it is in keeping with our regulations and what we consider typical practices for these types of activities, we would then issue the permit,” Dennison said.

NO INTENTION TO DELAY
He added that if there are any issues in this regard, the company will be notified and will likely work to rectify such even as he assured that the GGMC does not intend to delay the process.

Speaking to what underground mining could mean for the country, he commented: “It is not something that we hadn’t anticipated would happen because we know that most of the mining that has been happening [in Guyana] is alluvial… but I suppose it’s what you call maturing and becoming mature has a certain responsibility and the responsibilities that we’re expecting that we should have will dictate that we will have to grow with the situation that we are confronted with.”

The commissioner added that while there are other cases of underground mining currently being conducted in Guyana, they cannot be compared with what the Guyana Goldfields is pursuing.

From the third quarter of 2019 to 2021, the company intends to conduct both open-pit along with exploration and underground development activities in preparation for production in 2022 and onwards.

The exploration development phase will cost an estimated US$25M with an estimated US$100M to be spent on the production phase.

For a safe transition, during the first year of exploration development, an Underground Development and Mining Methods Training Centre will be established for workers and government stakeholders to be trained in underground mining.

The expertise will be sourced from expatriates and other non-national specialists in underground mining.

One area of training to be covered includes emergency response and mine rescue.
Teaching methods will include practical skills training even as Guyanese will be trained in several other areas to replace foreign miners.

The training centre is to be located near the portal of the Mad Kiss pit for ease of access.
During the exploration and development period, the company will also test, build and enhance underground technology, ensure they are in keeping with international and national health and safety standards, revise mine development and production plans and more.

MORE WORKERS
Caldwell told media operatives that in the next three years, some 300 additional workers will be needed for the functionality of the underground mining area. The company currently nas some 700 workers.

He stated that Guyana Goldfields’ staff consists of 96 per cent Guyanese and the company is working to eventually transform into a 100 per cent Guyanese company.

Visiting the storage site for drill core sampling from the Mad Kiss pit, media operatives were shown samples with visible gold seen as yellow specks on the majority of samples.
Exploration Geologist Boaz Wade stated that the samples represent a “really good upside” to the potential for underground mining at the pit.

Meanwhile, Junior Geologist Kumar Persaud agreed, stating: “This deposit has been extremely favourable.”
With Guyana’s big on sustainability, the Guyana Goldfields heads were questioned on how underground mining would stand up in this regard.

However, the chief operating officer pointed out that the surface footprint of an open-pit mine is actually far more than that of an underground mine footprint.

He added that the AGM will be conducting “back-filling” in areas where the ore is extracted; a method used to fill voids during mining excavation.
Speaking to the challenges the company may face moving forward, Kalathil added: “One of our biggest challenges is that underground mining is new to Guyana, so we need to talk to people and make them understand that it’s not unsafe.”

Another challenge highlighted was the short timeframe in which locals must be trained to meet the new development, but he assured that when underground mining is done in a proper way, challenges can become opportunities.

The Guyana Goldfields has over 22 years of active presences in Guyana and contributes some US$300M in its operations locally.