Vice President, Dr. Bharrat Jagdeo addressed concerns during a press briefing on Thursday about the nationality of individuals connected to the International Group Investments Inc, the company that was recently awarded two oil blocks.
The company was reported to be 100% Guyanese owned and operated and deemed eligible for two shallow water blocks called S5 and S10. Both blocks were among eight which attracted bids in the country’s recently concluded auction. The bid round had a total of 11 shallow water blocks and three deepwater concessions. However, there have been recent reports on social media that at least of one of the beneficial owners is actually Nigerian.
Addressing the concerns, the Vice President emphasized the government’s stance, stating, “Whether they’re Guyanese or not, we never prevented anybody from bidding on the basis of nationality.” He also highlighted the importance of meeting specific requirements for obtaining an exploration licence, including a US$10 million signing bonus, which requires some companies partnering with others. “If they fail to pay that, they don’t get the exploration licence,” he asserted.
Moreover, the Vice President stressed that the government is focused on assessing proposals based on their merit and adherence to stipulated requirements, not on the nationality of persons in charge of the bidding entities. “It is the proposal that needs to meet our requirements,” he clarified.
He said that as Guyana moves forward with finalizing agreements, the government remains committed to verifying all aspects of the awarded contract and once the company passes its due diligence test it will be awarded the licence.
The Vice President concluded by emphasizing the importance of financial readiness, stating, “If they have the money now to pay us on the day it is signed, to deposit US$10 million in the Bank of Guyana, the government’s account, they pass the first hurdle. If they say no, we have nothing more to discuss with them.”
Nevertheless, media operatives insisted that indeed the nationality of the company is not the issue, but if due diligence is being done on a company marketing itself as 100 percent Guyanese when it is not then it should be flagged in the process.
