–Natural Resources Minister credits production boost to new quarry operations
–says country could produce approximately 5M tonnes to meet increasing demand

AT the end of July 2024, Guyana has reportedly produced 1.6 million tonnes of aggregate, almost tripling production of the mineral that is used primarily in construction, in the past three years.

This was recently disclosed by Natural Resources Minister Vickram Bharrat, who, during a news conference last week, told local reporters that the mining sector has recorded a massive increase in commodities.

“In the mining sector, [it] is mostly to answer the demand as created by the massive infrastructural works ongoing from both government and the private sector, and also the major developments in the oil-and-gas sector, and the housing sector as well,” the minister said.

He explained that Guyana, last year, was producing just about 900,000 tonnes of aggregate, while back in 2020, the country was producing aggregate at the rate of 600,000 tonnes annually.

The rapid increase, the minister noted, was as a direct result of policies implemented by the current government to facilitate the expansion of the quarry industry.

“That is because of the expansion of the quarry sector; the refinancing and the additional investment being made by the existing, long-standing quarry operators, and also the new licensing that we were issued over the last few years. Some of those quarries are now coming into operation and production,” Minister Bharrat said.

“We’ve seen many of them started production; new parties started production, which has added to our production figure,” he added.

Currently, Guyana is undergoing an infrastructural transformation with the construction of massive highways, the building of new housing schemes, and other major projects, and to meet these demands, the minister noted that the country is expected to produce over two million tonnes of aggregate by the end of the year.

“And it will increase in 2025, because we have a number of other new quarry operators who are in preparation; who are developing their operation to start producing in 2025. Mind you, as we do that, the demand continues to increase again, because of what is happening in our country in terms of development,” the minister added.

He noted that based on the current demand, the forecast is that in another two to three years, the country will need over five million tons of aggregate.

“The GGMC [Guyana Geology and Mines Commission] is making preparation to ensure that within another few years, we will be in a position to produce, if not all, most of what the demand is opening; we have seen an exponential increase in sand mining and sand production. Again, it was a massive development,” Minister Bharrat said.

In addition to this, the government has maintained a position in the aggregate market which will prevent price hikes.

Since assuming office in 2020, the government has been pushing an unprecedented developmental agenda. This includes a key focus on improving transport infrastructure countrywide, and results in the stoking of the nation’s economy, job creation and wealth circulation.

This has placed a tremendous demand on the local aggregate (crusher run and stone) supply, which saw prices, in some places, increasing by 100 per cent.

In 2022, in an effort to understand the capacity of the current market, the government met with several noted local aggregate providers/quarries and new quarry operators to ascertain their capacity and logistical challenges.