South African firm on gold, diamonds hunt here
by Robert Bazil
A SOUTH African firm, Migrate Mining Limited, yesterday got the green light to check for gold and diamonds in the Roraima region here. The geological and geophysical reconnaissance survey which involves drilling in the final stages, is expected to cost more than US$3M, officials said. Prime Minister Sam Hinds and Migrate Mining Limited Country Manager, Mr. Bill Yeomans signed the contract for the search, to be executed over portions of western and central Guyana, at the Guyana Geology and Mines Commission (GGMC) boardroom in Georgetown. The technical rationale of the project is based on the similarity of the Roraima Formation's geological environment with that of the Withwatersrand deposits of South Africa, Mr. Hinds explained. He told reporters that based on a preliminary study, a South African technical team here in April found a similarity between the Roraima Formation and the Withwatersrand deposits. The Prime Minister said the reconnaissance arises out of studies by a number of professors in South Africa who studied the Withwatersrand and other similar formations. The geological theory is that millions of years ago, when all the continents were together, and South America was up against Africa, the river flows were different, depositing sediments in the Roraima Formation with Guyana, Brazil and Venezuela. Mr. Hinds stated that the experts used layers of the earth in the Roraima area and tried to determine the flow of the streams to see the way material was being deposited, to find out where deposits of interest were. "Basically, they are trying to see where a huge river that flowed millions of years ago and left some deposits of gold and diamonds, and laid it out," he explained. He pointed out that where Guyanese find gold and diamonds in the streams coming off the Roraima area, gives some credibility to the theory that these deposits are being liberated from sediments that were laid down in the Roraima Formation a billion years or so ago. While he hoped that the exercise will turn up gold and diamonds and other minerals, Mr. Hinds was certain it would reveal information that is very interesting and exciting from a geological perspective. Yeomans, who left Guyana yesterday to return in September, congratulated the Government and its agencies for the efficient and timely manner with which they proceeded with the firm's application. The firm is hopeful that the exploration programme it is about to undertake will be successful using the Withwatersrand model, he said. Yeomans emphasised that that particular style of deposit launched South Africa into becoming one of the largest gold producers in the world. The official said that in the 130 years, South Africa has produced about US$350 billion worth of gold at today's gold prices. "If we are successful in identifying similar deposits within the Roraima Formation, it will have a great positive impact on the country," he stressed. Yeomans acknowledged the need for a good working relationship with the Amerindians on the plateau which can be achieved with open dialogue. There is an abundant indication of mineralised `palaeoplacers' buried at depth in the Roraima conglomerates and sandstones. It is believed that the `palaeoplacers' were the source of the substantial gold and diamond workings in the Mazaruni, Potaro and Kuribrong areas. The permission is for 36 months and the company is required to relinquish at least 50 per cent of the original area after the first 12 months and a further 25 per cent after the end of the second 12 months. The company can apply for up to 20 prospecting licences at any time during the period of reconnaissance. According to the contract, prospecting over Amerindian areas can only be done after consultation and signed agreement between Migrate Mining Limited and affected Amerindian villages. GGMC Chairman, Mr. Robeson Benn said the commission was pleased to be part of a new approach to exploration in Guyana with regards to the evaluation of prospects of diamond and gold. He added that the `palaeoplacers' presumed present in the Roraima Formation, and which are supposed to have analogs in Western Africa and Withwatersrand, are being brought into a new model and interpretation. These, he said, are based on the expertise and technical knowledge of the South African mining industry, their experience in mining those deposits and the particular scientific expertise of the university community of South Africa. "A new South Africa is making efforts to reach out to other underdeveloped countries; to share technical and professional knowledge and mining expertise, and to have cooperative programmes to assist development on both sides," he said at the ceremony. Minister of Amerindian Affairs, Mr. Vibert DeSouza noted that almost all the land that such exercises are taking place on, include Amerindian areas and urged that the indigenous people be consulted regularly. He said the Government was concerned about the welfare of the Amerindians and that they benefit from investments in Guyana's hinterland regions. Acting GGMC Commissioner, Mr. William Woolford felt that the new contract was an important sign in view of the fact that the price of gold now is extremely low. Woolford remarked that Migrate Mining Limited was making a great step forward, adding that the GGMC had done geological work in the 1970s which the firm was able to utilise to help it make a quick decision. MAP REVIEW: from left, Minister Vibert DeSouza; Senior Geologist, Mr. Kampta Persaud; Mr. Robeson Benn; Prime Minister Hinds and Mr. Bill Yeomans.
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