–R3PSInc. Head

THE Region Three Private Sector Inc. (R3PSInc.) has described the signing of the US$300 million contract to construct a shore base at Vreed-en-Hoop, West Coast Demerara as a hallmark of Guyana’s local- content policy.
Head of R3PSInc. Halim Khan said as a result of the local-content legislation, Guyanese nationals and Guyanese companies are guaranteed participation in the petroleum sector.

“This is in line with President Irfaan Ali’s vision, and the local-content policy will provide for training and capacity building, and allow the authorities to assess the level of preparedness of local companies and their capabilities, particularly over the next year,” Khan noted.

To deliver on its legislative target, Khan said that the Bill puts in place regulatory mechanisms to implement, investigate, supervise, co-ordinate, monitor, and evaluate participation in local content in Guyana. It also includes hefty fines for non-compliance.

Khan explained that not only would a company have to have a Guyanese national owning 51 per cent of its shares to be considered a “local entity”, but the company’s management team also has to comprise 70 per cent Guyanese, while its overall staff complement has to also be 90 per cent Guyanese.

He also noted that he submitted a list of Region Three contractors that are capable of supplying services and supplies for the Vreed-en-Hoop shore base construction.
A consortium of local businesses, in collaboration with Jan De Nul, an international maritime infrastructure company, has landed a contract to support future construction activities of ExxonMobil.

The consortium comprises three local entrepreneurs: Gold miner Andron Alphonso of ZRN Investment Inc; Azruddin Mohamed of HADI’S World Incorporated, and Nicholas Deygoo-Boyer of National Hardware Guyana Limited.

Together with Jan De Nul, the businesspeople will design and build an 85 per cent Guyanese-owned Vreed-en-Hoop Shorebase Incorporated (VESHI) on the West Coast of Demerara (WCD) at a cost of some US$300 million (G$62.7 billion).

Through the new contract, ExxonMobil-Guyana will use this shore base to do more of its needed fabrication works in Guyana.