GUYANA and Brazil have opened talks on financing options for paving and upgrading the Linden-Lethem road expected to cost an overall US$250M, Prime Minister Sam Hinds said yesterday.

A team from Brazil on Monday met Mr. Hinds, several cabinet Ministers, including Finance Minister Dr Ashni Singh and Transport and Hydraulics Minister Robeson Benn and top officials from related ministries at the Office of the President for exploratory talks on the road.

At the opening of the border Takutu River Bridge on September 14, Brazil President Luiz Inacio Lula da Silva announced that a team of Brazilian officials was to visit Georgetown to discuss financing modalities for the road.

The modern highway on the 454km Lethem-Linden road is envisaged as a key link to buttress trade and other possibilities opened with the Takutu River Bridge.

Prime Minister Hinds told the Guyana Chronicle the Monday meeting was an initial exploration between the two sides on development of the road and new bridges along the route, including one across the Kurupukari River, estimated to cost about G$250M.

The first broad exploratory discussions covered various approaches on how the financing can be arranged, he said.

“Both parties re-emphasised the commitment of their governments and peoples to explore innovative ways to bring about this development which they consider very strategic for development of southern Guyana and northern Brazil”, Mr. Hinds said.

The Prime Minister said further discussions are projected on finalising the financial arrangements, including with ministers from the Brazilian Government.

Minister Benn said both parties have put forward options on the design and financing of the road.

Lula said at the bridge opening that a team is due here early next month, led by his Minister of Mines and Energy, Edison Lobao, to continue discussions on developing an 800MW hydropower project in the Middle Mazaruni in Region Seven.

At the ceremony, President Bharrat Jagdeo said the bridge opens new vistas for the two neighbours and the Caribbean Community (CARICOM).

Guyana sees the bridge as the gateway for CARICOM to South America and Lula announced that Brazil will host the first Brazil-CARICOM summit next year, noting that a strong Caribbean presence is needed in South American integration.

He said the two sides are “indispensable partners” in building greater integration in the region.

The Takutu Bridge is one of 335 projects identified by the Integration of Regional Infrastructure in South America (IIRSA), an initiative by South American governments to build a new infrastructural network for the continent, including roads, waterways, ports and energy and communications interconnections.

Also on the cards with the new bridge link is a deep water harbour on the Berbice River which will offer Brazil a cheaper and faster route through the Atlantic Ocean for exports from its northern regions, including Roraima.

In tandem with the new bridge, Guyana and Brazil have been discussing plans for the hydro-power project in the Middle Mazaruni with support from the Brazilian government.

President Jagdeo recently met Charge d’ Affaires of the Brazilian embassy here, Minister Rodrigo Fonseca, and two representatives of Andrade Gutierrez Construction, Gianfranco Miceli, Commercial Director, and Pablo Arruda, Business Director, to discuss the possibility of establishing the hydro-power station.

Lula said Brazil is ready to have Brazilian firms finance construction of hydro-power plants here.

He said electricity from hydro-power stations here can also be used in Roraima State and Guyana can benefit from the success of that state in producing soya bean and rice.

At the ceremony, President Jagdeo said the bridge marks the fulfillment of a dream long held by Guyanese, pointing out that its completion faced many obstacles.

Noting that Guyana and Brazil share a common continental and hemispheric destiny, he said the bridge has implications for greater trade and economic activities and opens new vistas to be explored between the two countries and the Caribbean.

The bridge opens the way for CARICOM, through Guyana, to one of the top 10 economies of the world, the President pointed out.

“The message is clear”, he said, adding that despite recent improvements, there is vast room for improvement in trade between Guyana and Brazil and between Brazil and CARICOM.

Mr. Jagdeo declared that Guyana’s vision is clear and its political will is resolute for advancing ties with Brazil.

He welcomed the statement of support from Lula and said Guyana is committed to finding the resources and partnerships to develop other aspects of the deeper integration plans.

The President said Guyana sees its future and prosperity tied to that of Roraima State and vowed to do whatever it takes to improve relations between the two countries.