Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1698073057193.pdf (Guyana)
Guyana geology And mints Commission 1996 Ruud OMAI GEORGETOWN • Report P.O.

Box 1028 Upper Brickdam Georgetown Guyana December 2000 Liu " TABLE OF CONTENTS Pages 1.

THE GEOLOGICAL SERVICES DIVISION 1.1 Recruitment of Geologists through Technical Asst.
Schemes 1.2 Field Section 1.3 Technical Assistance - South American Mapping Project (SAMMP) 1.4 Employment of Professional Staff 1.5 Visits by British Geological Survey Personnel 1.6 Technical Assistance Information - US Forest Service 1.7 Other Proposed Technical Asst.
Geological Projects 1.8 Allocation of Mining Blocks in Mandia 1.9 Geological and Geophysical Reconnaissance Permission 1.10 National Resources Management Project (NRMP) 1.11 National/International Conferences 1.12 Training 1.13 Cartographic Section 1.14 Petrological Laboratory 1.15 Chemical Laboratory 1.16 Training 2.

MINES DIVISION 2.1 Technical Section 2,2 Inspection of Mines and Quarries 2.3 Inspectorate 2.4 Mineral Processing 3.

PETROLEUM UNIT 4.
PETROLEUM UNIT 4.

ADMINISTRATIVE DIVISION Personnel and Industrial Relations 4.1 4.2 Information and Publication Department 4.3 Services Department 5.

LEGAL DEPARTMENT 6.

FINANCE DEPARTMENT 7.


1996 FINANCIAL STATEMENT 1 1 3 4 5 6 6 6 7 7 8 8 9 13 15 16 16 22 22 23 27 28 30 34 34 37 38 42 43 "7 1.
THE GEOLOGICAL SERVICES DIVISION The Geological Services Department consists of the Field Section, Cartographic Section, Petrological and Thin section Laboratories and the Chemical Laboratory.
In keeping with its functions under the Guyana Geology & Mines Commission (GGMC) Act, in 1996 the Field Section undertook Geological Projects and administered Prospecting Licences, Medium Scale Prospecting Permits, Geological and Geophysical Reconnaissance Surveys Permits and this included monitoring of field exploration programmes and regulating terms and conditions of the licences/permits/permissions.
Participation in the allocation of Mining Blocks in Mandia, principally in Golden Star Resources' relinquished Prospecting Licences areas, the recruitment of Specialist Geologists through Technical Assistance Schemes to lead and participate in Mineral Resources surveys in the New River area in southeastern Guyana are also covered in this report.
The Cartographic Section essentially described and verified prospecting and mining properties, mainly Prospecting Permits; compiled prospecting and mining property status maps; listed and filed Geological map sheets and printed/photocopied maps for internal use and for the public.

Finally, the Chemical Laboratory's contribution in terms of analyses, status of equipment, reports on training, visits and other important matters such as the upgrading of the laboratory are covered.

Ar.
Ar.

1.1 RECRUITMENT OF GEOLOGISTS THROUGH TECHNICAL ASSISTANCE SCHEMES Three (3) geologists were recruited during 1996 through Technical Assistance Schemes.

Mr. V.A.

Meyers, Dr. Raju Dulla and Dr. Michael Peterson, Mr. Meyers was recruited as a CESO Volunteer on attachment for six (6) weeks during the period 12th January - 22' February, 1996.
Mr. Meyers is an independent Consultant from Calgary, Alberta since 1976, and has amassed considerable experience from 1965 as a Mining/Exploration geologist working in mining and integrated exploration for minerals ranging from silver, antimony, zinc copper, nickel, barite, uranium and gold.
During his period of attachment he reviewed the airborne magnetic and radiometric reports and data submitted by the Golden Star Resources Limited, namely:- Report on Exploration on ground relinquished from the Upper Potaro-Ireng geological/geophysical permit area.

1 2.

 Report on Exploration on ground relinquished from the Upper Mazaruni - Kurupung Geological/Geophysical Permit area.
Based on his review Mr. Meyers prepared and submitted two (2) reports, namely:- a) Report on Diamond Exploration - Upper Potaro - lreng Area b) Report on Potential areas for Gold Exploration based on data submitted by Golden Star Resources Limited of Western area of Guyana bordering Venezuela.

In these reports Geologists Meyers made important evaluations on mineral prospectivity and recommendations for target areas for large scale gold and diamond exploration.
Dr. Raju Dulla accompanied by his wife and daughter, arrived on January 26, 1996 under the Indian Technical Economic Co-operation (ITEC) Scheme.

Dr. Dulla is a geologist specializing in Geochemistry, with fourteen (14) years experience at the Geological Survey of India.

After a review of the Petrological laboratory Dr. Dulla made important recommendations for the upgrading of the laboratory and the training of Geotechnicians.
He conducted petrological analyses on some rock and heavy mineral samples collected during the first two (2) phases of the New River Project area.

This was done to obtain a clearer understanding of the geology and mineral potential of the area and guide in the planning of future geological/geochemical work to be undertaken in the New River Triangle.
In preparation for the field project, Dr. Dulla conducted a successful six (6) week intensive training course in Mineralogy, Petrology and Heavy Mineral Identification during November 12- December 19, 1996 for all of the available geotechnicians and field assistants.

Three (3) practical and theoretical evaluation tests were given and the students were found to have performed well.
Dr. Michael Peterson, Geologist from the British Geological Survey, was recruited through the Commonwealth Technical Assistance Scheme, and began his attachment from 2'd July 1996.

Dr. Peterson was selected as the leader of the New River Project and was responsible for elaborating the Work Programme and Budget for the project.

The project area and consequently the work programme were substantially expanded to accommodate collaborative field work by four geologists who were now available.
Assisted by geologist Chris Ashley, Dr. Peterson conducted a two (2) week training of Geotechnicians and Field Assistants in Mineralogy and Petrology during October, 1996.

He returned to England in mid-November, due to the illness of his son.

2 1,2 FIELD SECTION Geological Field Projects One major field project occupied the attention of the section throughout the year - the New River Project 1996 - 1998.
The aims and objectives of this project are as follows:- c) d) e) f) e) f) g) h) i) To undertake a multi disciplinary geological study of a defined project area within the New River Triangle area.

To produce a series of maps and reports.

To produce up to date geological databases on Southern Guyana.

To archive representative suites of geological materials from the project area.

To increase scientific and geological skills level of the GGMC staff.

To increase geological knowledge of Southern Guyana.
To increase the advisory capabilities of GGMC.

To stimulate environmentally friendly mineral development.

To increase the scientific acumen and productivity of the GGMC.

The project is expected to contribute to the GGMC and Guyana Mineral Development in the following ways:- i) Production of an up to date geological database, expressed as maps, reports and digital database of Southern Guyana.

ii) Increase in skills level of GGMC staff.

iii) Stimulation of Mineral Development.


iv) Creation of a well archived geological materials collection from Southern Guyana.

v) Increase in advisory capabilities of GOMC.

vi) Experience in running an integrated scientific programme vii) Increased interaction between private and government geoscientific sectors.

viii) Outside technical assistance and funds brought in to help GGMC.

3 The following will derive benefit from the project.

The Guyana Geology and Mines Commission (GGMC).


Guyana Mineral and Mining Community.

i) ii) iii) Guyana Scientific and Educational Community.

Staff Requirements Staff Requirements for the Project are as follows:- Messrs. Peterson, Dulla, Nestor and Ashley.

Four (4) geologists:- Eight (8) geotechnicians:- Messrs. Paul Welsh, Julius Griffith, Elton Sampson, Orin Riddle, Larry Ferreira, Carl Matthews, Michael Abraham and Kerion Husbands.
One (1) supply logistics officer - based in Georgetown.

Five (5) to seven (7) local guides.

` Fifteen (15) labourers from Georgetown which comprised:- 4 Boat Captains 2 Camp Attendants 4 Cooks 2 Store Keepers 2 Chain-Saw Operators 1 Foreman Project Budget The estimated cost of the project was twenty-three point three two million dollars (G$23.32M); the major projected cost ($7.845 M) was for transportation, followed by (G$5.5M) or 26% for field equipment which included several outboard motors.
This represented a significant increase over the G$ 17.0 Million that were approved, and approval was sought for the additional budgeted expenditure which was due to a significant expansion in the project area.
The project of which Phases 1 and 11 had begun in 1995 with Geologists Lowe and Nestor, was to be significantly expanded and continued as a Technical Assistance Project under Dr. Peterson, a Technical Assistance Geologist under the Commonwealth programme, and Indian Technical Assistance Geologist, Dr. Raju Dulla.

A two (2) week reconnaissance to the project area took place during the last quarter of 1996 to enable senior project geologists Peterson and Dulla to become acquainted with the area.
However, the major field expedition was postponed to early in 1997 since just about the time the new budget was approved the project leader was suddenly recalled to his home in England due to the illness of his son.

, For the major expedition the following proposals are made for sample numbers and sample types to be collected.
Sample Type Minimum Amount Maximum Amount Stream Sediments Heavy Mineral Concentrates Rock Soil Total 1,000 1,000 500 100 2,600 2,000 2,000 1,000 400 5,400 1.3 TECHNICAL ASSISTANCE - SOUTH AMERICAN MAPPING PROJECT (SAMMP) On August 27, 1997, the SAMMP Associate Member Products were received at the Commission according to the terms of its participation in the SAMMP as an Associate Member.
These are:- • One (1) Technical Report and Survey Atlas One (1) Diskette and one (1) Compact Disk One (1) SAMMP Poster, and One (1) Magnetic Anomaly Map The South American Mapping Project is an initiative undertaken by Geophysical Exploration Technology (GETECH), in collaboration with Peterson, Grant and Watson Lrd.

(PGW) of Toronto, Canada and sponsored by five major multinational Oil Companies - AMOCO, CONOCO, EXXON, INOC and UNOCAL.
Aero magnetic and marine magnetic data - including data from Geological Survey organisations - are collected, standardised, compiled, enhanced and analysed to prepare a digital data set, and provide information on prospecting and potential for oil and gas deposits.

Collaborating Geological Survey organisations, such as GGMC, are Associate Members.
1.4 EMPLOYMENT OF PROFESSIONAL STAFF Mrs. Devica Prashad was employed as Senior Chemist of the Guyana Geology and Mines Commission (GGMC) with effect from April 1, 1996 from which date she has been seconded to the Guyana Gold Board.

Mrs. Prashad previously worked at Linmine from January 1992.

5 Mr. Chris Ashley of Unionville, Ontario, Canada, assumed duty as a geologist on April 15, 1996 on a three-year contract from Canada.
He is a 1995 graduate of the Queens's University in Canada with BSc.

Hons.

in Geology.

1.5 VISITS BY BRITISH GEOLOGICAL SURVEY PERSONNEL In mid November, 1996, Mr. Ian Jackson, Group Manager, Data and Digital Systems Group of British Geological Survey on invitation from Dr. Peterson, paid a visit to the Commission.
During his brief visit Mr. Jackson submitted a proposal to the Commissioner for a pilot scale project to establish a GIS for geological data over a selected area and gave a demonstration lecture to the Commission's Technical staff showing the work of the British Geological Survey in this area.
1.6 TECHNICAL ASSISTANCE INFORMATION US FOREST SERVICE In August 1996, the Manager Geological Services received technical assistance information from Mr. John Gutierres, Co-ordinator, International Projects, US Forest Service Advisory Group.

The information includes excerpts of Forest Service reports.
Mr. Gutierres response was based on an initiative of the Manager, Geological Services, who met the Deputy Associate Chief of the Forest Service, Mr. Janice Mc Dougal at the "Investing in the Americas' 96 Conference" in Miami earlier in 1996.

1.7 OTHER PROPOSED TECHNICAL ASSISTANCE GEOLOGICAL PROJECTS The CDB Step Fund Project - Characterisation of Selected Industrial Minerals Deposits.

Contracts were submitted for signature by the Commission.
Some discussion was initiated at the Board Technical Sub-Committee for CDB Projects.

Training in the Interpretation of Geophysical Data Application for grant funds from the United Nations Development Programme (UNDP) was made through the Ministry of Foreign Affairs, but there has been no response.

Geological/Mineral Surveys in Southern Guyana Application was made through the Ministry of Foreign Affairs for European Union funding but no response was received.
Cartographic Training in Geological Map Production The short term training in Cartography to give guidance in the preparation of geological atlas map sheets under Technical Assistance from Brazil did not take place as planned.
In fact although the Commission received confirmation that a Brazilian team was scheduled to visit Guyana between September 23-27, 1996 to examine and conclude technical aspects of the 6 projects proposed during the third meeting of the Guyana/Brazil Joint Commission, this visit did not take place.

Thus, the Technical Assistance Programme in Cartography as well as others in Geochemistry and Mineral Processing did not come into effect.
1.8 ALLOCATION OF MINING BLOCKS IN MAHDIA Based on a meeting between the Prime Minister, officials from the Guyana Gold and Diamond Miners' Association (GGDMA) and officials of the Guyana Geology and Mines Commission (GGMC), held on January 19, 1996, the Prime Minister appointed a representative Committee to be chaired by Senior Geologist 11, K. Persaud for the co-ordination, planning and execution of the lottery for the relocation of mining blocks delineated over the Proto-Mandia gold reserves.
As a result of successful execution of the lottery on January 29, 1996, one hundred and eighty-nine (189) blocks were allocated and it was obvious that even more blocks would be available for staking claims.

One hundred and fifty (150) applications for blocks were processed.
Regular meetings were held by the special committee to deal with matters arising from the Mandia Project such as distribution of blocks, collection of fees, contracting of topographic surveyors, infrastructural development and overall management of the project.

A surveying contract was signed with Survey Systems Limited for Seven point zero four million dollars (G$7.04 M) and field work commenced on April 10, 1996.

The final survey plans of all blocks to be allocated were completed by the end of the year.
Areas not blocked out were made available for staking claims from December, 1996.

The working of these claims will have to be in accordance with the Environmental Management Agreement.

Management of the project was contracted to Tafya, which therefore has responsibility of overseeing of compliance of miners with the Environmental Management Agreement and also the supervision of the construction of dams, canals and access roads by the contractor.
The permit holders are expected to repay the GGMC the cost of all infrastructual works in the development and blocking off of the mining blocks in Mandia.

1.9 GEOLOGICAL AND GEOPHYSICAL RECONNAISSANCE PERMISSION Two (2) Geological and Geophysical Reconnaissance Permission were granted during August to Broken Hill Proprietary (BHP) Minerals International of Delaware, USA, and to XAMUTEBA of Brazil.

The press was in attendance at both signing ceremonies which took place at the GGMC.
Later in the year, two (2) other companies, Vanessa Guyana Int.

and BARAMA were also granted Geological and Geophysical Survey Permission.

Y /v Geologist Chris Ashley spent a two (2) week attachment period, from October 2-15, 1996 at the B.H.P Geological and Geophysical Survey Permission area in the Upper Berbice River near Kwakwani, Wiki River and Kari Kari River.
Mr. Ashley worked with Golden Star Resources Ltd. which was undertaking reconnaissance stream sediment sampling on behalf of the BHP.

Large stream sediment samples were taken to be sent to BHP's operations in Chile for Bulk Leach Extractable Gold (BLEG) analysis.
1 10 NATIONAL RESOURCES MANAGEMENT PROJECT (NRMP) The Manager, Geological Services, one of the two (2) GGMC representation on this national project, attended two (2) meetings held by Project leader Mr. Andrew Bishop at the Guyana Natural Resources Agency (GNRA).
Dr. Fischer, representative of the LUSO Consut/GTZ, also anticipated in these meetings, the first of which reviewed the status of the NRMP and the schedule of activities for the remainder of 1996, and the last of which dealt with an evaluation of the progress of the Base Map and the planning of the work scheduled for until the end of January 1997.

Several important activities took place through the NRMP, the first of which involved two (2) weeks of training in Land Use Planning (LUP) from July 18-31.
This was attended by Manager, Geological Services and Mr. D. Husbands, Mining Engineer.

This programme was run by Dr. Ridgeway at the University of Guyana campus.

Another important activity which the Manager, Geological Services attended was a Geological Information Systems (GIS) training programme on the use of the ARC-INFO software.

This took place during September 16-24, 1996.

From November 13-22, 1996 the Manager, Geological Services attended training session in GIS held at the Embassy Club.
Mr. D. Husbands was a part of a team that visited Belize from November 25-29, 1996.

The overall objective of the visit was to observe the application of GIS and Land Use Planning in Belize.

During the month of December, the Manager Geological Services also received training together with Mr. D. Husband in PC ARCEDIT and PC ARCPLOT modules.

The training was conducted by Mr. Stephen Schillinger (German Technical Assistance, Germany).
1.11 NATIONAUINTERNATIONAL CONFERENCES The Second National Conference on Mining and Quarrying was held at Watooka Club, Linden over August 28 & 29, 1996 and attended by several professional staff of the Geological Services.

This conference took place at a time when the Manager, Geological Services was acting Commissioner (in the absence of both the Commissioner and the Deputy Commissioner) and in 8 this capacity delivered the Opening Address at the conference.
The Feature Address was given by the Prime Minister (Minister of Minerals and Mines).

Two (2) papers were presented by the Division dealing with strategies for Mineral Development in Guyana.
The 'Investing in the Americas' 1996 Conference and Exhibition, held at the Sheraton Bal Harbour Hotel Miami, Florida from April 22-25, 1996 was attended by the Manager, Geological Services, Mrs. K. Livan and Senior Geologist 11, Mr. K. Persaud as part of the official Guyanese delegation led by Acting President and count ry representative, His Excellency, Dr. Samuel Hinds, and including the Commissioner, Mr. Brian Sucre.

Guyana's country paper was delivered by His Excellency Dr. Samuel Hinds.
Mrs. Livan and Mr. Persaud were responsible for the setting up and manning of GGMC's booth at the exhibition.

Attendance by GGMC representatives at this Miami conference was organised by the Manager, Geological Services.

The Geological Services Division responded to enquiries from mining companies and individuals in relation to the 'Investing in the Americas '96 Conference.
Initial contact , and interest shown by XAMUTEBA of Brazil's representative, came to fruition with an application in June 1996 for permission to undertake Geological and Geophysical Surveys over two selected areas in western Guyana.

1:12 TRAINING Three (3) Geotechnicians, Ms. Aretha Crawford, Mr. Rollins Nelson and Mr. Balwant Arjune were sponsored by the Commission to pursue studies leading to the BSc Degree in Geology.

Studies begun in September and were pursued at Canadian Universities.
Prospecting Licences - Large Scale There were twenty-eight (28) Prospecting Licence Applications, listed below.

Table 1:- Prospecting Licence Applications in 1996 No.

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

21.

22.

23.

24.

25 26.

27.

28.
Applicant Area Mineral of Interest Koalin ' Gold, diamond Gold & precious stones Do Do Do Gold, diamonds Gold, other valuable minerals Gold & Diamonds Gold & other valuable minerals Kaolin Gold, diamonds Gold Gold, precious stones, all minerals Do Do Do Gold, diamonds Do Gold Craton Development Inc. II " Wenamu Mining Co. Mazda Limited " 71 Makari Mountains Mines Ltd Marassa Minerals Resources Ltd Perreira Mining Company Warabaru Ituni Ituni Muruwawe River Blackwater Creek, L. Bank Konawaruk River, R.B Deer Creek, L.B Konawaruk R. Makari Mts, Moam river Makari Mts/Christmas Falls fssano near Honey Camp Guyana Diamond Trading Perreira, Patrick Romeo & Julio Kurupung Appapaaru & Kanaimapu Edgeworth Construction Guyana Ltd IBI Gold (Guyana) Ltd Vanessa (Guyana) Inc Vanessa (Guyana) Inc. Vanessa (Guyana) Inc. Vanessa (Guyana) Inc Vanessa (Guyana) Inc Camintra (Guyana) Inc ., It " Case Development Company Ituni Pereroombe Quartzhill R.B Wenamu River At “ 0 " II " ” ,t L.B Cuyuni River Kopang 1 2 3 LI .
,, " II '' " " 4 5 Makari Mt.

(Demerara River Head/ Christmas Falls) Sudeen's Enterprises Inc JRS Enterprise Red Hill Loop R.B Mazaruni river, near Banana Landing 10 Grants/Issues of Prospecting Licences (Large Scale) Nineteen (19) Prospecting Licences were granted/ issued in 1996.

These included fifteen (15) Prospecting Licences granted and issued to Golden Star Resources in their former Geological and Geophysical Permissions areas.
The remaining five (5) Prospecting Licences, although approved, were not issued due to problems arising from objections made by Barama Company Ltd. Table 2:- Prospecting Licences granted/issued in 1996 Company Area Minerals 1.

Golden Star Resources Noseno 2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.


Golden Star Resources Golden Star Resources Golden Star Resources Golden Star Resources Golden Star Resources Golden Star Resources Golden Star Resources Golden Star Resources Essequibo Timbers Ltd Cathedral Gold Corporation II II Piai Head Amatuk Fish Creek 1 Fish Creek 2 Whana West Kaliaku Whana East East Taeima River 9 Miles, Issano Hit or Miss Creek, Kaburi 13.

Golden Star Resources Ltd Rocky River 14.

15.

16.

17.

18. "

,.
„ Il I H „ „ II „ Barama Head West Membaru Mouth Erakiri Makapa Hills Wapai Head 19. Pegasus Gold International Inc, South Black Water Creek 11 Gold, precious stones, base metals and all other precious metals and minerals Do Do Do Do Do Do Do Do Gold Gold Gold, base metal, precious minerals Gold, precious stones Do Do Do Gold Diamond, gold precious stones, minerals gold, precious metals & stones Of a total of thirty-six (36) planned new Prospecting Licences granted, nineteen (19) were granted in 1996.
Rentals The total rentals received for 1996 was $54.46 m, (60%) of the budgeted value.

At the end of the year forty-nine (49) Prospecting Licences were in force against a projected sixty (60).

Prospecting Permits - Medium Scale Table 3:- Prospecting Permits statistics for 1996 No.

of Prospecting Licence Granted No.

of Prospecting Permits Applications No.

of Prospecting Permits Renewals No.

of Prospecting Permits Cancellations No.


Of Prospecting Permits granted and renewed Jan-Dec 1996 Jan-Dec 1995 % Change 753 917 838 85 1092 -31% 1288 -29`)/0 459 +83°/0 88 -03% 1591 1551 +02% 12 Monitoring of Prospecting Licences The following table shows Prospecting Licences monitored during 1996.

Table 4 - Monitoring of Prospecting Licences Areas No.

Company Area Geotechnicians 1. Pegasus Gold 2.

3.

4.

5.

6.

7.

8.

9.

10.

11.
H.G.B Ventures Case Development Ltd Camdico Golden Star Resources Ltd Golden Star Resources Ltd Sea Hawk Minerals/Pegasus International Inc Exhall North American Resources Inc Canadian International Mining & Investment Co. Ltd GIDCO Minrich Inc Deer Creek & Black Water Creek Monosse-Mazaruni Five Star Groete Creek Fish Creek Fish Creek 11 Deer Creek & 1 & Konawaruk River Mid Mazaruni Putareng Tamakay Pott Falls Wamara Hills A. Crawford & E.Sampson P. Welch R. Nelson J. Griffith P. Welch P. Welch 0.
Riddle 0.

Riddle E. Sampson E. Sampson E. Sampson J. Griffith J. Griffith 1:13 CARTOGRAPHIC SECTION Property Description Nine hundred and thirty-eight (938) Medium Scale Prospecting Licence Permits, twenty- eight (28) Prospecting Licences and four (4) Geological/Geophysical Reconnaissance Surveys Permit applications were processed and verified.

During the verification process, property descriptions were plotted, rewritten or adjusted as was necessary.
Topographic sheets at Scale 1:50,000 depicting new applications were processed.

Upgrading Property Status Maps The 1:1,000,000 property status map showing Prospecting Permits and Licences, Prospecting Licence Applications, Mining and Quarrying Licences and Geological/Geophysical Reconnaissance areas, and the 1:50,000 stock sheets with the same information were updated.

13 Property status maps were printed and hand coloured for sale to the public.
Compilation of Geological Map Sheets Compilation and tracing was done for the 2W Geological map sheets of Ekereku, Omai, Kamarang and Waini.

Maps showing Amerindian Reservation boundaries at Scale 1:500,000 were plotted unto stock sheets at Scale 1:50,000 (Wakapau, Kuru Tuku and Arau areas).

Geological Atlas sheets at 1: 200,000 scale covering Bartica, Matthews Ridge, Orinduik and Ekereku.

Completed maps were further reduced to 1:250,000 scale.
Compilation and tracing was done on the 11/2° Geological Atlas sheets of Ekereku, Kamarang and Kaiteur.

Two (2) others - Bartica and Wonotabo sheets are almost complete.

External Photocopying/Map Printing The Commission's Plan Printer has been out of order during the entire year and photocopying is done externally at the Xerox Copy Centre, Prints are made for internal use as well as for the public.

The public is charged a markup on photocopied prints.
During 1996 one point eight million dollars (G$1.8M) was earned in this way for the Commission.

Listing/Filing of Maps Two hundred and thirty (230) maps submitted to the GGMC by Golden Star Resources Limited covering their reconnaissance areas, have been listed and filed by the Cartographic Unit.

14 1:14 PETROLOGICAL LABORATORY Examination and Sealing of Rock Samples for Export.
Company Omai Gold Mines Ltd Number of Samples 2 7 14 boxes Caribbean Basic Industries Ltd 20 pails Caribbean Basic Industries Ltd 56 pails Golden Star Resources Ltd Golden Star Resources Ltd Golden Star Resources Ltd 4 pails 3 pails 8 pails Golden Star Resources Ltd 39 pails Golden Star Resources Ltd 114 Golden Star Resources 219 in 7 pails Sonic Soil Company 11 Oratop Development Inc. 5 in pails Oratop Development Inc. Toolsie Persaud Ltd 2 1 Sample Type Rock (boulders Core Soil Soli Core (rock) Soil Rock/Soil Rock/Soil Rock Soil Soil Rock/Soil Soil (Kaolin) Kaolin Rock In addition to the above, over one thousand, one hundred (1,100) samples were examined from the following companies - Coast Mountain Geological Limited, Golden Star Resources Limited and Omai Gold Mines Limited.
15 Preparation of Thin Section and Slabs.

Number of Samples 17 5 15 Job Type Rock Type Requested by Slab Semi-Precious Marcel Yip Thin Slab Metamorphic Dr. Dulla Thin Section N. Chuck-A-Sang In an ongoing exercise to upgrade the geological sample display, labeling of the rocks were undertaken by Mr. Chris Ashley and Ms. A. Crawford.

In addition, a two (2) week training of Geotechnicians and Field Assistants in Petrology and Mineralogy was conducted by Messrs Peterson and Ashley.
Assistance to the Public Assistance was given to students of Secondary schools and the Cyril Potter College of Education in the form of samples donated and explanations of the major rock groups.

A large group of students from the Belladrum Community High School visited the laboratory and were treated to an informative lecture in Mineralogy.

1:15 CHEMICAL LABORATORY See attached sheets for synopsis of analytical work done during the year, 1996.
Status of Equipment During January 1996, the 220 V Atomic Absorption Spectrophotometer was calibrated against standards from Loring Laboratories (Guyana) Ltd and was found to be highly accurate and efficient.

A letter was written to the Head, Department of Chemistry, University of Guyana seeking the services of the instruments Technologist of that department to effect repairs to the Mettler AE 100 Balance and the Jarrel Ash Spectorgraph.
However, despite that and subsequent visits to the University by Geologist Mr. G. Nestor and Senior Chemist, Mrs. S. Smith, no positive response was obtained.

Arrangements were put in place to facilitate the use of the main Chemical Laboratory for heavy mineral analysis and training of Geotechnicians and Field Assistants by Dr. Raju Dulla.

During the year and especially the latter part, the heavy duty electrical equipment have been affected by the inadequate electrical power supply.
This has held back analyses and in particular that of seventy-eight (78) samples submitted by Dr. Dulla.

16 Towards the end of the year a supplementary list of equipment approved by the Board was submitted to the Chemistry Laboratory for ordering from an overseas supplier.

The acquisition of these equipment form part of a programme to enhance the laboratory capability in high precision gold assays.

Meeting attended for which reports were submitted 1.

2.

3.
2.

3.

Chemical Safety Workshop by Ministry of Labour/ILO - attended by Senior Chemist 11 (ag).

Training in the use of the Model 3203 Cyanide Analyser for the detection of cyanide by Dr. Michael Straka of Perstrop Analytical, conducted at Omar Mine Site Laboratory - attended by Analytical Officer 1 (ag).
Guyana National Bureau of Standards Workshop on "Quality Management and Laboratory Accreditation" - attended by Chemist, Petroleum Unit on behalf of the Senior Chemist 11 (ag) who was on Annual Leave at the time.

Inaugural Meeting of the National Laboratory Committee - attended by Senior Chemist 11 (ag).

5.
5.

 Visit with officials of the Guyana National Bureau of Standards to King's Jewellery World and to Gaskin and Jackson Jewellery Establishment - attended by the Senior Chemist 11 (ag) and the Chemist, respectively.

A draft report of research work done by the Senior Chemist 11 (ag) on "Method for the Determination of karat of Gold Jewellery" was submitted to the Deputy Commissioner.

Visit to the Laboratory 1.

2.

3.


Dr. G. O'Campo of the Royal Canadian Mint visited the Chemical Laboratory concerning plans to have the laboratory prepared for conducting bullions assays for the Gold Board.
Mr. Edwin McKoon, Managing Director and Mr. Rean Maharaj, Scientific Support Specialist of Western Scientific Company Limited of Trinidad, visited the laboratory to acquaint themselves with the Senior Chemist 11 (ag) who had requested from their company a quotation for the purchase of materials and equipment for the chemical laboratory.

The two (2) gentlemen were on a scheduled visit to the country in the interest of promoting sales for their company.
At the request of Mr. J. Punwasee, a group of seventeen (17) mining students from the University of Guyana, were conducted around the Laboratory where they witnessed several demonstrations geared to present them with a practical exposure to the theory being taught in their courses.

17 4.

 A team from the Guyana National Bureau of Standards visited the laboratory on an inspection of the Assaying facilities.

A report of this visit was submitted to the Manager, Geological Services.

1.16 TRAINING 1.
1.16 TRAINING 1.

2.

Three (3) members of the laboratory namely, Senior Chemist 11 (ag), Mrs Sandrene Smith; Analytical Officer 1 (ag) Ms. Roxanne Adams, and Laboratory Assistant, Mr. Rondell Wilson, together with Guyana Geology and Mines Commission, Senior Chemist on secondment to the Guyana Gold Board, Ms Device Prashad, proceeded to the Royal Canadian Mint, Ottawa on a two (2) week training programme in Fire Assaying.
The training came as a result of a Guyana Gold Board initiative with the Royal Canadian Mint and CIDA and was funded by these latter two (2) organisations.

Reports on this training were submitted to the Manager, Geological Services.

Mr. T. Hicks, Technical Assistant 1 and Mr. B. Currie, Laboratory Assistant have successfully completed a first year course in CHM 111, at the University of Guyana.
This course was conducted for six (6) weeks during the summer vacation by the Chemistry Department, Faculty of National Sciences.

Reports were submitted by the trainees to the Manager, Geological Services.

Mr. Clyde Thompson who has proceeded on study leave since 1990, completed the Bachelor of Science Degree in Chemistry and graduated from the University of Guyana during 1996.

He was subsequently appointed as a Chemist.


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 MINES DIVISION The Mines Division comprises the following sections:- -O.. 1.

2.

3.

4.
2.

3.

4.

Technical and Drilling Inspectorate Mineral Processing Registry and Data Management Prior to July 1996 the Mines Division was under the direct charge of a Divisional Manager, who reported directly to the Commissioner.
The Mines Division is now divided into two (2) areas comprising:- _ a) b) the Technical, Mineral Processing and Drilling sections, which can be called the Technical Department, supervised by S. Edwards, Manager Mines (ag) and; wr the Inspectorate, Registry and Data Management sections, which can be called the Inspectorate Department, supervised by Senior Mining Engineer 11, J. Mingo.

Both supervisors report directly to the Commissioner.
S. Edwards, who acted for the past six (6) years in the capacity of Division's manager is currently acting in the same capacity, although he has no authority nor responsibility for the sections supervised by SME Mingo.

2.1 TECHNICAL.
2.1 TECHNICAL.

SECTION The activities executed by the Technical section for 1996 included the following:- a) b) c) d) Surveys Technical Inspection of Mines and Quarries Supervision of contract drilling and drill rental services Dissemination of technical information to the small scale mining community.

Surveys The Table shows the proposed surveys for 1996.

No Of Surveys No.
No Of Surveys No.

Completed Stone Quarries a) St. Mary's b) Baracara c) Teperuiltabu Sand Quarries Roraima Mining Co. 4 4 •r Sand Pits(along the Linden/Soesdyke Highway) Hydrological a) Essequibo b) Cuyuni c) Mazaruni 4 3 1 Only one (1) survey of the Sand Quarries was done by a contracted Surveyor for 1996.

This was due to the absence of a Surveyor on staff.

No other survey was done.


2.2 INSPECTION OF MINES AND QUARRIES Most of the Technical Department's activities, for 1996, were centered on the Technical inspection tours.

The Table below shows the tours completed for 1996.
Tours Planned 15i Quarter 2nd Quarter 3' Quarter 4th Quarter Tours Completed Comments Exercise Bauxite P. Pereira & G. Hicks Mazda Ltd Sand Pits and Sand Quarries 4 4 4 8 Omai Monitoring continuous W. Phillippe Stone Quarries Total 2 4 26 1 1 2 1 5 1 1 1 1 4 1 2 1 1 2 3 3 1 1 6 2 14 365 days Approximately 53% of the Inspection tours were completed.
The posting of two (2) engineers at Omai's site, on a monthly basis, together with the inclusion of the Mandia Project severely affected the realisation of a greater percentage of the Technical section tours for 1996.

Omai commenced operation in February 1996.

The company had ceased operation due to the August 19, 1995 cyanide spill into the Omai and Essequibo.

.tw • 23 16.

Bauxite The Table below shows the month and personnel conducting bauxite inspection tours for 1996.
Tour # 1 2 3 Month March June Personnel Mining Engineer, R. Glasgow Mining Engineer, A. Sargeant November Mining Engineer, C. Todd During 1996, only the East Montgomery Mine at Linmine was in operation.

This year saw a transition of the mining method in the East Montgomery mine operation.

This entails the elimination of scrapers for intermediate stripping and extends the use of the BWE 1310 to strip both primary and intermediate levels.
The Aroaima Bauxite mines and also Bermine bauxite operations were inspected during 1996.

Emphasis, during inspection was placed on safe mining practices and occupational health and safety within the operations.

P. Pereria and G. Hicks These two (2) operations were planned to be inspected on the same tour since they have the Bartica-Issano Road as a common access.

However, only the Pereira Mining operations were inspected in April 1996, by Mining Engineer, D. Babb.
This was because the officer travelled to Pereira's operation via aircraft and did not have transportation to reach G. Hicks' operations.

Both the 9 Miles and Honey Camp operation were inspected.

At Honey Camp no activities were in progress while at 9 Miles Issano location, mining and other related activities were being done.

Pit conditions and developmental works (for all areas of operation) were inspected.
It was observed that sections of the benches on the Northern wall area had collapsed and management was advised to rectify the situation to prevent further collapse.

Mazda Ltd In February, Mining Engineer R. Glasgow and Mining Technician C. Sparman inspected this operation while in August this was done by Mining Engineer D. Babb and Mining Technician C. Sparman.

Emphasis were placed on MAZDA's dredging practice of the Konawaruk River.
It was observed on both tours, that the dredge practice is to place tailings in dredged out areas along the river bank, thus avoiding blocking of the river channel.

Occupational health and safety measures of a high standard, were observed to be in place at location.

24 Sand Pits and Quarries e4- The Table below show the month and personnel who conducted these tours for 1996.
Tour Sand Pits Month January Sand Quarries March Personnel Mining Engineers, E. Watson and R. Glasgow.

Mining Engineers, R. Vieira and D. Husbands.

Sand Quarries June Mining Engineer, D. Husbands.

Sand Quarries August Sand Pits September Sand Pits November Sand Pits Snr.

Mining Engineer E. Watson and Mining Technician A. Ramcharran Snr.

Mining Engineer, E. Watson and Mining Technician A. Ramcharran.

Snr.
Snr.

Mining Engineer, E. Watson and Mining Engineer, P. Hutson.

On these tours, the condition of the pits and excavation practice were the primary focus.

Several operators were cautioned about their excavation practice and the condition of their pits.

Some improvements were noted during the year.

Sand Quarries Only Roraima Mining Company Sand Quarry was operational for 1996.

Inspections were made to ensure compliance with safe quarrying practice and occupational health and safety.
Omai Monitoring Omai Gold Mines Ltd. commenced production in February 1996.

The company had ceased production due to the August 19, 1995 cyanide spill into the Essequibo and Omai Rivers.

From February, two (2) engineers were posted at Omai continuously throughout the year.

The engineers were responsible for the inspection and monitoring of Omai's operation particularly ensuring that the Commission of Inquiry's "Terms of Resumption" were adhered to by the company.
Omai commissioned an additional milling facility in July and also an Explosive Manufacture Plant was constructed and made operable in the third quarter of 1996.

• 25 Stone Quarries Two (2) inspection tours of the stone quarries were done for 1996.
Following are the quarry 4. operations that were inspected on each tour; a) b) c) d) Baracara St. Mary's Itabu Teperu One (1) tour was carried out in March by Mining Technician , C. Sparman while the other was carried out in June by Mining Engineer, E. Watson.

On these tours, the officers inspected the general operation of the quarries with particular emphasis on occupational health and safety and quarrying practices.
It was observed that during 1996, both St. Mary and Baracara Quarries were involved in refurbishing work.

Both operations installed new jaw crushers to their plants.

-Ir Drilling During 1996, the Commission continued to partially fulfill its mandate in the rental of drills and ancillary equipment to both local and expatriate companies engaged in geological exploration.

The Table shows the drill rental services for 1996.
Company Equipment Canarac Resources Interterra Resources Pereira Mining Company Ontario Inc BBS #25 Drill Long Year 38 Spares HW Drill Ancillaries BBS #25 In addition, one (1) mechanical Auger drill and one (1) Banka drill outfit was rented to local operators for 1996.

During 1996, the drill section was involved mainly in the maintenance and refurbishing of drilling equipment owned by the Commission.
Others In January 1996, the Commission held a lottery which facilitated the allocation of two hundred and eleven (211) mining blocks in the Mandia area.

In July, the Technical section held the Blasters Certificate of Competency Examination.

Four (4) candidates were successful at this examination and were awarded certificates.

These were from St. Mary's Quarry, the Guyana Police Force and the Private Sector.
X • 26 In August, the Commission hosted the Second National Conference on Mining and Quarrying.

Mining Engineer, A Sargeant presented a paper on "Stone Quarrying".
2.3 INSPECTORATE During the year, the Inspectorate section of the Mines Division was involved in the following activities:- a) b) c) d) Inspection tours Manning of Mining Stations Verification of Claims Settling of Disputes Inspection Tours Inspection tours were carried out in mining areas not serviced by mining stations, by Senior Mines Officers and Mines Officers who inspected and reported on activities within these areas.
Revenue collection, work stoppage and general monitoring were also done during these tours.

Inspection tours were carried out in the following areas.

Mining Districts Area District No.2 District No.

3 District No.

4 Tumatumari, El Paso, Lower Potaro River, Konawaruk and Kuribrong.

Enachu, lmbaimadai, Kurupung, Eping, Meamu, Apaikwa, Kamarang.
Ekereku, Upper Cuyuni, Wenamu, Eterinbang, Kanaima, 'tabu, District No.6 Monkey Mountain, Maikwak, Echilibar, These stations were manned by one (1) senior and one (1) junior Mines Officer.

Work done at these stations were the same as that done on inspection tours.

Verification of Claims One hundred and seventeen (117) claims were verified for 1996.

These verifications were done mainly in the Mandia, Matthews Ridge (North West District) and Kurupung areas.
Fifty seven (57) of these verifications were done in the North West Distict.

27 The Table below shows the number of claims verified for each quarter.

Quarter First Quarter Second Quarter Third Quarter Fourth Quarter No.

Of Claims Verified 35 1 70 11 Twenty-seven (27) of these claims verified were for River Locations.

Disputes Throughout the year Mines Officers continued to settle disputes between Claim Holders in the Mining Districts.
Court matters were attended, during the year, by the officers from the Inspectorate Department.

These were held in the Bartica, Mandia, Christianburg and New Amsterdam courts.

Most of the matters were postponed and dismissed for want of prosecution.

Others Ad hoc trips were made to various mining locations during the year.

These were made by the Commissioner, B. Sucre, Chief Mines Officer, I. Smith, and Senior Mines Officer.
2.4 MINERAL PROCESSING Project During 1996, the Mineral Processing Section of the Technical Department met with limited success.

The decision to mount the IHC jig and Knelson Concentrator on a trailer, and use same as a Mobile Demonstration Plant, was handed down for implementation towards the end of April.

Commencement of the initial stage of this project was adversely affected mainly by prolonged rain fall.

The other projects of the Mineral Processing Section had very little success during 1996.
Work did not commence on the Coal-Gold Agglomeration nor the sluice Box Recovery Projects.

Others Most of the work of the Department was mainly surrounding the installation of the pilot plant and mineral processing laboratory.

However, four (4) field trips were made locally - two (2) to Omai, one (1) to Mandia and one (1) to Middle Mazaruni.

One (1) overseas trip was made to Brazil.

8 A four (4) day Workshop/Seminar was held at the Learning Resource Center of the University of Guyana.
The course content was on Alluvial Gold Mining and Processing emphasis being placed on Sluice Box development and application.

Staffing levels for the Mineral Processing Unit for 1996 were as follows:- Senior Mineral Processing Engineer Mining Engineer 1 1 a) b) c) Registry — Statistics The following were filed for 1996 1) 2) 3) Two (2) Challenges Thirty two (32) Complaints Twenty one (21) Statement of Complaints Five (5) Challenges were before the Hearing Officer, one (1) was determined.
Five (5) Complaints were also before the Hearing Officer for the year.

No objections were made before the Hearing Officer.

Licences Application The following were received for the year:- 1) 2) 3) 4) 5) a) b) c) d) Two hundred and twenty two (222) Trading Licence Application.

Two hundred and forty five (245) Goldsmith's Licence Application.

One hundred and one (101) Business Permission Applications.

Sixty eight (68) Residential Permission Applications.
Seven hundred and sixty nine (769) Claim Licence Application 337 for Gold 139 for Precious Stones 250 for Gold and Precious Stone 43 for river Locations Dredge Registration )4 Two hundred and twenty (220) dredges were registered for 1996.

Five hundred and thirty eight (538) dredge licences were renewed for the year.

Thirty (30) dredges were scrapped during the year.

29 Eighteen (18) dredges were transferred during 1996.
Gold and Diamond Production for 1996 Gold 109,239 Diamonds 46,323.85 Comparative Gold and Diamond Production for 1995 91,448_ 52,014.78 3.

 PETROLEUM UNIT The Petroleum Unit's performance for 1996 was at least, better than average and in all fairness, easily categorised as "good".

The Unit managed to execute about eighty percent (80%) of the work programmed for 1996.

This was despite the late approval of the Budget by the Board of Directors.
The Work Programme progressed through the year as anticipated.

However, in July, the field project activities slowed when flooding in the coastal belt became severe and persisted through to August's end.

Special Projects were hampered in many ways, and beyond the Unit's immediate control.

The portion of the incomplete work programme is mostly associated with special projects.
A brief review of finances indicated that a very small portion of anticipated revenue was received while just about 50% of anticipated expenditure were incurred.

A summary section on finances is included in this document.

Projects (Field Projects) -- Coastal Basin Recee 11 This project was designed to provide the Petroleum Unit with geological, logistic and a general intimate knowledge of the Coastal Onshore Basin.
It required as a part of its objectives that the Shell wells drilled in 1966/67 be located.

At the end of 1996, the only coastal oil well not located was McClellan Island.

The absence of a living guide in the near area, vegetation and a non-functioning GPS contributed to the difficulties in locating this well.

Morgenstrand, L'esperance, Auroro, Skeldon, Drill and Rosehall wells were all located.
None of the wells were marked as intended since a suitable permanent fixture which could guide persons to the exact location was not finally decided on.

30 do Exercises on the major waterways into the basin have yielded no petroliferous shows but revealed some interesting issues in a more or less boring geological setting.

The Corentyne, Berbice, Mahaicony and Abary Rivers were traversed.
Another exercise in the Northwest District attempted to locate the sometimes mysterious Morowhanna water well but without success.

However, actual gas pockets (marsh gas) were discovered.

This is consistent with previous reports from the area.

The Canje Creek was not explored.

This was to be the focus of a magnetometer survey.

The magnetometer was purchased late in 1996 and not received in time.

One problem delaying the purchase resulted from trying to identify a suitably priced, quality instrument.
As it turned out, the unit cost twice what was budgeted by the time the instrument and necessary functional accessories were totalled.

The magnetometer is supposed to be compact, user friendly, sensitive and highly recommended by mining company personnel.

Monitoring Operations No petroleum contracts were in effect during 1996.

The Unit as an alternative, elected to observe the drilling of water wells.

One water well was located at Ithaca, West Bank Berbice, the other at Friendship, East Bank Demerara.
Both were drilled during September/October.

Two more water wells were scheduled by Guyana Water Authority (GUYWA) but none materialised at the end of the year.

To add to this routine, samples were taken to test for porosity, compressibility and other general engineering criteria.

A mineral aeromagnetic survey was monitored briefly as High Sense Geophysical completed contract work of BHP.

This was an interdivisional activity.

Special Projects The Petroleum Unit embarked on a number of Special Projects.
At the end of 1996 the status of these projects are summarized as follows: Data Storage Facility/Record Management The Unit's need for an adequate Data Storage Facility became more critical as data degenerated under the present conditions.

A floor plan was prepared and submitted with an estimate for the Commissioner's consideration and the Board's approval.

As the year came to a close, no action was precipitated and this project was incomplete.
However, a contracting firm engaged in operations for the Commission facilitated the Unit by examining the floor plan and proposed site.

It is expected that a real commitment to this project will occur in 1997.

31 Takutu Basin Palynofacies Study This project was severely hampered by: a) b) the incomplete Data Storage Facility.

This contributed to great difficulties accessing data and samples.

the very late arrival of the required additional laboratory purchases.
The equipment arrived in the country at the end of the year and had to be cleared through Customs.

In addition, examination of samples available for study indicated that the Karanambo and Lethem cores could not be included in the study because they were in shambles.

The usefulness of the study diminished since the data base shrunk.

Despite the set backs, Turantsink #1 well samples were partly processed for analysis.

This project will have to be continued in 1997.


Takutu Basin Promotion The Terms of Reference for the promotion was completed and an itinerary prepared.

The various packages were ready for despatch on September 30, 1996.

The project was cancelled and the Terms of Reference withheld after TM Services Limited offered to promote the Takutu for Guyana Geology and Mines Commission under an agreement similar to that which Petrel Petroleum Corporation had in force.
The schedule for the promotional work is much the same as the itinerary but the promotional agreement could not reach the GGMC Board for approval before the end of 1996.

Technical Co-operation, Staatsolie/GGMC This special project was planned for April 1996 but was postponed by Staatsolie until November 1996.

The programme was an immense success.

Contract Negotiations Century ( Guyana) Limited was the only company entertained by the Petroleum Unit.
The penultimate round of negotiations were conducted during October 8 - 10, 1996.

The contract was ready for circulation to the various Government functionaries at the end of 1996.

It could not reach the GGMC Board before the end of 1996.

Petrel Petroleum Corporation's Agreement expired in November but was extended for a final three (3) months.

Petrel is confident that it has the ability to bring a company to the negotiating table.
Expenditure (Current and Recurrent) Variances in the current expenditure were evident in almost every area.

The key cause for this was over budgeting.

Careful management of supplies also contributed to the excesses.

The fact that a portion of the project that involved current expenditures were not completed added to the variances.

32 In general, current and recurrent expenditures were less than that budgeted.

For expenditures such as Information and Legal Expenses, Employment etc.
actual expenditures were compatible with budgeted expenditures.

Expenditure - Capital Variances in Capital Expenditure related to projects will show amounts actually spent were less than budgeted.

The explanation for variances of those kinds that were substantial follows:- Special Projects with capital components were cancelled e.g.

The Takutu Basin Promotion was budgeted at G$33,000,000 and this amount was eventually saved.
The Technical Co-operation Project at its completion resulted in savings of nearly G$1,500,000 as a consequence of limiting expenditures.

Contract Negotiations did not, after all, require a consultant nor was any travelling overseas required.

These circumstances saved almost G$13,000,000 when taken together.

The Coastal Basin Recee Phase 11 was estimated to cost about G$3,000,000.

The activity was 95% completed while actual expenditures were just at about G$1,000,000.
On the other hand, with respect to the technical programme, some expenditures on equipment was almost twice estimated.

This was the situation with the magnetometer, purchased for the Coastal Basin Recee Phase 11.

Income Petroleum Unit's income for 1996 was budgeted at about G$18,000,000.

No contracts were signed as anticipated so the income was much less, at just under G$300,000 that was the result of a payment for extension on a contract by Petrel Petroleum Corporation.
Short comings in this area were beyond the control of the Petroleum Unit.

Conclusion In conclusion the technical programme for the Petroleum Unit was fairly well accomplished.

The tasks of compiling an expanded report from the many submissions still remains and is formidable but at least the basic and rudimentary exercises that were necessary for the Unit to move in the direction of becoming technically capable did take place with modest but valuable results.
The general performance of the Unit was also good.

Certain inputs to further unite the available skills into a functioning team are necessary and further linkages have to be sought to compensate for the inadequate quota of skills that will come to light as the Unit becomes more aggressive in its quest to become technically proficient and to orchestrate exploration activity in the coastal and other sections of Guyana.

33 4.
ADMINISTRATIVE DIVISION During the year 1996, the Administrative Division comprised:- 1) 2) 3) The Personnel & Industrial Relations Department The Information & Publication Department The Services Department 4.1 PERSONNEL & INDUSTRIAL RELATIONS DEPARTMENT Staffing Employment Resignation Termination Month January February March April May June July August Secretary to the Commissioner (1) Office Assistant (2) Security Guards (1) Senior Chemist 1 (1) 2 Typist Clerk 11 (2) Temporary Telephonist Finance Manager Transport Officer 2 Security Guards September October Driver Mining Engineer Canteen Attendant Geologist November December Transfer Accounts Clerk 11 Senior Accountant Security Guard Security Guard Senior Mining Engineer 11 Clerk IV (Mines) (1) Driver to the Commissioner (2) Draughtsman 1 (1) Secretary to the Commissioner - (2) Electrician A Canteen Attendant was transferred to the Accounts Department to the position of Clerk 1.
Retirement Five (5) employees including two (2) cleaners, the Assistant Manager (Services), a Senior Ranger and a Technical Assistant 11 were retired.

The two cleaners were re-employed on a temporary basis.

Death One (1) employee died during the year.


34 Wages and Salaries r Salaries were increased by 15% with effect from 1" January, 1996. in addition merit increment of ten percent (10%), five percent (5%) and two and one half percent (21/2%) on salaries as at 31' December, 1995, were awarded to employees, with effect from 1" January, 1996, based on an evaluation of their performance for the year January to December, 1995.

Welfare Uniforms were issued to various categories of staff.
The allowance granted to the female employees to offset sewing cost, was increased from three thousand($3,000) dollars to four thousand dollars ($4.000).

The males were granted an allowance of two thousand dollars ($2,000) for the first time.

Uniform allowances for the Managers, Deputy Commissioner and Commissioner, were increased also.

- Employees were supplied with their annual issuance of glasses and towels as well as monthly and quarterly supplies of toiletries.
The Commission held a family fun day on 5th August, 1996, in celebration of its 17th Anniversary at Guysuco's Enmore Community Centre.

The Annual Bursary Award Presentation Ceremony was held on 9th September, 1996.

Three (3) awards of ten thousand dollars ($10,000.00) each were presented.

The Annual Christmas party was held on 16th December, 1996, at the Georgetown Club.
Training Georgetown Women's Junior Chamber - Seminar for Clerks February, 1996, at Pegasus Hotel Ms. D. Minns Ms. D. Foals Mr. C. Braithwaite Mr. S. Williams Ms. G. Scott Mr. W. French Clerk 111 Clerk 1 Clerk 1 Clerk 11 Clerk 111 Clerk 11 Interpersonal Relations and Staff Conflicts Course - February, 1996 by the Public Service Management Ms. Kim Hughes Mr. Moses Collymore Ms. Margaret Jefford Ms. Sharon Dannett Canteen Supervisor Printing Services Supervisor Chief Clerk Clerk IV 35 Georgetown Women's Junior Chamber Seminar/Symposium for Secretaries/Stenographers - April, 1996 Ms. Louella Benjamin Secretary to the Commissioner National Association of Secretaries - April, 1996 Ms. Louella Benjamin Secretary to Commissioner Summer Course - Introductory Chemistry - University of Guyana July, 1996 Mr. T. Hicks Mr. B. Currie Technical Officer 1 Laboratory Assistant Computer Training Centre - Computer Repairs - July, 1996 Mr. E. Hunte - Mr. 0.
Forsythe - Chief Electrician Tradesman 1 Foundation Certificate in Accounting - Government Technical Institute - September, 1996 Mr. Dormon Moses Clerk 11 Accounts Association of Guyanese Environmental Media - July, 1996 Mr. W.H.
Woolford Deputy Commissioner Ministry of Labour, Human Services and Social Security Occupational Health and Safety Legislation - August, 1996 Mr. C. Roberts Personnel Officer Guyana National Bureau of Standards - Accreditation and Quality Management Programme Ms. D. Miggins Chemist 36 ir dr -7 Post Conference Course on Alluvia!
Gold Mining and Processing All Staff - Technical Section Section National Conference on Mining and Quarrying Miners Mineral, Petrology - GGMC Boardroom - by Dr. Duna (Geologist from India on Attachment with the Commission) November, 1996 All Geological Technicians Overseas Training Training of Laboratory Staff - MA - Royal Mint of Canada Mrs. S. Smith Mrs. D. Prashad Ms. R. Adams Mr. R. Wilson Senior Chemist 11 (ag) Senior Chemist 1 Analytical Officer Laboratory Assistant Training in Geology - BSc Geology Canadian Universities Ms. A. Crawford - Mr. B. Arjune - Mr. R. Nelson Geological Technical ( The University of Western Ontario) Geological Technician (The University of Western Ontario) Geological Technical (Mc Master University 4.2 INFORMATION & PUBLICATION DEPARTMENT During the year 1996, this Department comprised: a) b) The Library The Printery and Bindery Section 37 Library The Library fulfilled its mandate in disseminating information through books, journals, maps and other publications to the Commission and its clientele of mining companies, individual miners and students.
Fifty two (52) new publications were accessioned by the Library, eighteen (18) of which were purchased by the Commission.

The Commission's public awareness programme was hindered by the absence of an Information and Publication Officer, a position which the Commission was not allowed to fill.
Inadequate space also, to some extent, prevented the Library from providing a better quality service to its clientele , It is expected that the service will be improved with the provision of additional space for the Library operations, in 1997.

 Printery & Bindery Section The Printery and Bindery Section produced all the books and forms which were used by the Commission and those which were sold to the mining public.
Ninety nine thousand six hundred and seventeen (99,617) forms, one hundred and thirty five thousand, nine hundred and ninety one (135,991) book pages and six thousand, three hundred and twenty five (6,325) cards were produced.
One thousand three hundred and six (1306) books were bound from the printed pages, one hundred and nineteen (119) books from various section of the Commission were also bound and two hundred and nine (209) books were rebound, Two hundred and forty five (245) Internal Stores Requisitions from sections of the Commission, were filled, 4.3 SERVICES DEPARTMENT During the year 1996, the Services Department comprised:- a) b) c) The Radio & Electronic Workshop The Carpentry & Maintenance Workshop The Mechanical Workshop 38 14, 1' a The Radio & Electronic Workshop Except for major repairs to air-conditioners, transmitting sets and computers, all other repairs to electrical and electronic equipment, were done by the Radio and Electronic Workshop.
7 Installations during the year 1996 included:- 1) 2) 3) 4) 5) 6) Fluorescent lamps, panels, socket outlets and points Fans Water Coolers Three (3) 100 KVA transformers for power supply Lighting Systems in various sections Air Conditioners Repairs were done to the following:- 1) 2) 3) 4) 5) 6) 7) 8) 9) 10) Fluorescent lamps Water pump at Lapidary 24" Floor model T.V in Boardroom Electrical motor in the Thin Section Transmitting Sets Computers Lighting system in various sections Radio/Tape Recorders Grinding Machine in Mechanic Shop Hot plate in Chemistry Laboratory The Printing Press was also serviced.
Carpentry & Maintenance Workshop The Carpentry and Maintenance Workshop was reasonable for the maintenance of building, the construction of and repairs to furniture, and repairs to fixtures and fittings in the buildings.
Included in the assignments completed were:- a) b) c) d) e) f) Construction of an office for the Assistant Manager (Services) Construction of a platform and fence to house the transformers Casting of a concrete base for the vehicles ramp Construction of Canteen boxes Repairs to the walls of the lapidary building Repairs to the reservoir in the lapidary compound • 39 g) h) i) j) k) I) Repairs to the roofs of the Carpentry Workshop, Mines Division, Assay Laboratory, Electrical Workshop and Accounts Division Painting in various sections of the Commission Repairs to Cupboards Installation of pipelines Repairs to leaks and chokes in the water system Daily cleaning of the compound.
Mechanical Workshop & Transport The Mechanical Workshop was responsible for repairing and servicing approximately 50% of the Commission's fleet of vehicles, the standby generator and the weed cutter.

The following vehicles were repaired and serviced by the Mechanical Workshop.

1) 2) 3) 4) 5) 6) 7) 8) GDD 1686 PDD 1393 PDD 1771 GDD 596 PDD 4273 GCC 7075 GDD 7181 PFF 4709 Repairs and servicing were also done to three (3) Outboard Engines.

Transportation was provided by the following vehicles.
Motor Cars Pick-Ups Buses Trucks PDD 4273 PDD 4274 PDD 4943 PDD 4944 PDD 1771 PCC 9949 GDD 7181 GCC 7075 GDD 8486 GDD 596 GFF 3475 GFF 4665 GDD 1686 PDD 5854 PDD 1393 PFF 4709 Vehicle GDD 8486 was stationed at Omai Gold Mines, vehicle GFF 4665 was stationed at the Arakaka Mining Station and vehicle GFF 3475 was stationed at the Mandia Mining Station.

Capital Projects The building progamme which was planned for execution in 1996, did not progress as was expected.
40 The consultancy contract for building works in relation to the construction of a building to join the Gold Board Building and the Accounts building, and for raising and renovating the Mines building, was awarded to the Caribbean Engineering and Management Consultants Limited (CEMCO), The Company had scheduled the production of plans and the award of contracts, to be completed by December 1996 and construction to commence in January 1997.
The production of the plans were, however, not completed by December 1996.

It was difficult to get the construction of the Mines Officers' house in Mandia started , because of the shortage of contractors who work in the area.

A contractor was however identified, and the Ministry of Local Government was requested to assist in the supervision of the project.

Construction however did not commence in 1996.


Difficulty in obtaining land in Matthews Ridge delayed the start of the construction of a Mines Officers' house in that area.
Capital Equipment Among the most expensive of the capital equipment purchased were:- 1) Two (2) double cab reconditioned pick-ups 2) One (1) reconditioned 15 seater mini bus 3) Three (3) transformers 4) Truck 5) Six (6) transmitting sets 6) Fifty percent (50%) deposit on CIF for a generator Budget 13,650 4,000 3,000 2,500 1,320 11,000 Actual 5,200 2,400 1,185 2,400 1,350 3,945 It was expected that the generator would be delivered early in 1997.
Efforts were made to obtain approval from the Police for the purchase of twelve (12) revolvers for which an amount of $1.6M was budgeted in 1996, The purchase was not finalized by 1996, because the approval was not granted by that time.

As was directed by the Board, the purchase of capital equipment for the Mechanical Workshop, the Carpentry and Maintenance Workshop and the Printery and Bindery, were put on hold and the budget amounts for their purchase, remained unspent.
Infrastructure The Mayor and City Council after a long delay, gave approval for the construction of a parking lot on Brickdam.

Construction however could not commence before the end of 1996.

This facility would ease the congestion of parking in the compound, especially while building construction is in progress.

41 No extensive repairs were done to the driveway.

This was rescheduled to after the building extension and renovation works have been completed.

4.
4.

LEGAL DEPARTMENT The Department was staffed by: Legal Officer/Secretary (ag) Confidential Secretary 11 General 1996 was a year of continued frustration through a dearth of equipment.

However, this matter was partially addressed and it is hoped would be corrected totally in 1997.

The Department continued to serve as a support to all departments on request and as it became necessary.

In particular, the department worked closely with Administrative and Mines Division in execution of their duties.
Commission of Inquiry - Omai Spill The work of the Commission concluded at the end of January, 1996 with the collating, typing and submission of the report.

The resources and ability of the department's support services were severely tested and the work was completed within time schedule.
High Court Matters There was continued litigation in 1996, though of no greater volume than the previous year.. Matters initiated were as follows: AGRIPPA MINING CO. vs. CRAWFORD, GGMC ET AL BRISTOL SAMUELS, JAMES v GGMC LESLIE SOBERS v. GGMC, CORLETTE P. MIGGINS v GGMC A. NARAIN v HALLEY, ADES ET AL S. MOHAMED v. GGMC R. BACCHUS v GGMC ET AL LESTER v. GIDDINGS ET AL FRANCIS VIEIRA V. GGMC, SMALL 42 Hearing Officer • Mining Court The Hearing Officer continued to hear and concluded maters.
There was no significant increase in complaints.

Conclusion Generally, this year was one mainly of service to other departments with the assistance of external counsel being retained for some of the litigation.

Instructions, of course, are provided by the Legal Department in collaboration with the Mines Division.

5.0 FINANCE DEPARTMENT In 1996 the Finance Division not only showed consistent improvement in service to our staff and clients, but accomplished something even more important.
From efficient supervisory control to good cash flow management, also we have put in place the people, the system that will allow us to respond to rapid changing condition.

As a result of our expertise in accounting and data analysis our staff can provide all financial and managerial information.

The importance of the Finance Division cannot be overstated, being the center of activities in the Commission we try to provide quality service.
Elimination of excess spending to the provision of timely reports and service have been our main objectives.

The Finance Division is committed to standards of excellence as outlined in each Department.

The Division has its own mission statement.

An important part of that mission is to provide efficient service and to spend and account for the Commission's financial resources efficiently.
In every Department we have written guidelines in order to keep cost down and efficiency, for example accounting has detailed step for processing an account so that statements accurately reflect the financial state of the Commission.

Management information can be made more quickly because information is readily available.

We continue to grow without increasing in size.

By making communication easier procedurally we are unified.

We strive to work together as a team and to make decision as a team.
We believe that teams working together offer the greatest chance of success.

Financial Report Income The Commission's main source of income is rentals and royalties received form miners.

Our income in 1996 totalled G$1028M representing 86% of the budgeted figure of G$1196M.

Royalties and rentals represented 74% and 17% of total income received.
The short fall in income of 14% of budgeted figure resulted from the short fall in royalties and renal, these fell by 10% and 32% respectively of their budgeted figure.

Omai Gold Mines Ltd commenced its operation in February after the spill in 1995, this has also resulted in the short fall in royalties.

During 1996 the Commission invested its excess cash in Treasury Bills and in a Business Cash Management Account.

These investments yield in excess of G$33M in interest.
The Petroleum Unit has not generated any income in 1996, but better is expected in 1997.
1996 INCOME Budget Variance %Total Income 43,669 14,670 848,375 270,132 3,228 16,205 - - - -19,437 -1,789 -83,035 -87,449 689 -14,675 33,923 - 3,334 2.5 1.25 74.45 17.77 0.38 0.15 3.30 - 0.35 Actual 24,232 12,881 765,340 186,683 3,917 1,530 33,923 - 3,334 1,027,840 1,196,279 -168,439 Income$,000 Fees and Fines Permits Royalties Rentals Internal Sales Drilling Financial/Admin Petroleum Others Total 44 Expenditures In the year 1996 the Commission expended the sum of G$244M which represented 68,7% of budgeted figure of G$355M.
Employment cost and Administrative cost were G$165.9 M and G$78.1M, this represented 86% of their budgeted figure of G$192M and G$163M respectively.

The Finance Division has been striving to be very cost efficient and measures have already been taken to purchase consumables at a cheaper rate.

In 1996 all statutory deductions were paid over promptly to the relevant authorities.

The Commission paid over G$37.1M comprising of PAYE G$28.8M and NIS G$8.3M.

Expenditure Actual Budget Variance % Total Exp.
Employment Cost Transportation/ Travelling/M'tce Materials & Supplies Rentals & Professional Service Information/ Publication Utilities/Insurance Field Expenses Welfare & Sundries 165,959 16,823 8,746 18,903 4,086 5,888 12,080 10,470 Assistance to Miners - Others Total 1,250 244,205 192,741 21,591 14,601 7,336 -26,782 -4,768 -5,855 11,567 1,988 2,098 19,335 84,956 12,224 - 974 -13,447 -72,876 -1,754 - 276 355,746 -111,541 67.95 6.88 3.58 7.74 1.67 2.42 4.95 4.30 0.5 Contribution to Central Government The Commission remitted the sum of G$794M to the Central Government.
Refundable expenditure to the OMA1's Disaster Fund was G$29,4M.

45 Surplus The Commission recorded a surplus of income over expenditure before depreciation.

The surplus was G$311M unaudited.

Creditors The Commission's payable consist of the following as at December 31, 1996.

Refundable Deposit Sundry Creditors G$ 5.014M 5.014M 10,801M These payable accounts are interest free, no cash was therefore paid on interest.

Debtors The Commission's receivable consist of the following at December 31, 1996.
Staff Loan Advance to Staff G$ 9.848M 7.535M 17.383M Loans given to staff are interest bearing account.

Advances are given to staff stationed at various Mining Stations and also staff who are sent on Projects and Inspection Tours.

An aged analysis of advances given to staff is as follows.
Under 3 mth 4.297M 3-6 mths 2.613M 6-9 mths 0.089M 9-12 mths 0.536M Total 7.535 The Accounts Department initiated action to recover long standing debt, also better controls were put in place to ensure that advances are cleared promptly.

Cash Position The Commission has always retained an adequate liquidity level and its excess cash have always been invested wisely.
Our year end cash position is G$202M, this amount is in the Commission's Business Management Account, with interest payable on a monthly basis.

It is worthy of mention that the cash position remained stable throughout the year devoid of any cash flow difficulties.

46 Capital Expenditure The Commission invested in capital items throughout the year.

No renovation or construction of any building was done during this period.

It is expected that all construction will commence in 1997.
A deposit of 50% of the cost of the generator was made, delivery is expected in 1997 when the final payment would be made.

Listed below are significant capital acquisition: Office Fixtures and Equipment Electrical Equipment Telephone & Transmitting Equipment Motor Vehicle Stock Verification $G M 12.80M 6.05M 1.63M 11.00M 31.48M A Stock Taking exercise was done at the end of December, 1996 and all relevant adjustments were done.

The Stores Ledger Card was put in place in September 1996.
Stock levels were closely monitored during the period to ensure that the Commission's cash was wisely spent and committed.

Final Account The Commission was unable to get all of its past Financial Statements audited.

The years outstanding are 1994 and 1995.

As regards to 1993 final Accounts, an audit report has not yet been issued by the Auditor General, Asset Register An Asset register existed and all the Commission's assets were properly accounted for.
An Asset Verification exercise is expected to be conducted during the period 1997.

In 1996 some of the Commission's unserviceable vehicles were disposed of, this exercise is expected to continue in 1997.. Investment During the year 1996 the Commission continued to invest its excess cash.

Investments were made in Treasury Bills issued by the Bank of Guyana.

At the end of 1996 the Commission had G$146M of its cash in Treasury Bills with a face value of G$150M, maturity date is January 10, 1997.
Stores and Purchasing The Stores and Purchasing Department were able to service the Commission, the Mining Stations and all Projects and Tours adequately.

Systems were improved which have impact favourably on cost and efficiency of the department.

47 Disposals of obsolete items commenced in the 2nd half of the year and this exercise is expected to continue in the new year.

It is proposed that on completion of this exercise the stores bond will be examined and rehabilitated once feasible.
General The Finance Division had 25 staff members at the end of December 1996.

The Accounts Department was air conditioned and given a face lift, staff were generally more comfortable.

During this period several staff members successfully completed their exams and other staff members were encouraged to upgrade themselves.

The Division expects to computerise its accounting activities which will facilitate more expeditions processing and timely submission of reports.
Employees will be trained so that they will be more conversant with the accounting functions in a computerised environment.
48 1996 FINANCIAL STATEMENT vdr r 4 rt GUYANA GEOLOGY AND MINES COMMISSION STATEMENT OF INCOME AND EXPENDITURE FOR THE YEAR ENDED 31 DECEMBER 1996 1995 INCOME 743,837,722 ROYALTIES 149,315,093 LICENCES 16,045,505 FEES, FINES ETC 683,496 ;CONCESSIONS 77,243,659 I OTHERS 987,125,475 EXPENDITURE: 140,762,838 EMPLOYMENT COSTS 60,354,4101 ADMINISTRATION ' TRAVELLING AND 11,575,669 TRANSPORT 17,324,921 , DEPRECIATION 0 I STOCK ADJUSTMENT 230,017,838 757,107,637 SURPLUS/(DEFICIT): APPROPRIATION TO 664,300,143 CONSOLIDATED FUND 92,807,494 RETAINED SURPLUS/(DEFICIT) NOTES 1996 G$ 766,079,221 163,538,565 22,396,758 13,366,089 57,227,290 174,177,646 96,641,525 21,894,494 20,550,206 19,286,103 STATEMENT OF ACCUMULATED SURPLUS (DEFICIT1 371,967,344 BAL.
AT BEGINNING OF YEAR 92,807,494 RETAINED SURPLUS/(DEFICIT) FOR THE YEAR: 464,774,838 BAL.
AT END OF YEAR 1,022,607,923 332,549,974 690,057,949 794,202,803 (104,144,854) 464,774,838 (104,144,854) 360,629,984 GUYANA GEOLOGY AND MINES COMMISSION BALANCE SHEET AS AT 31 DECEMBER 1996 NOTES 0_1 1995 88,390,749 FIXED ASSETS CURRENT ASSETS: 24,770,972 39,030,081 1 INVENTORIES 132,670,353 249,708,600 8,505 16,060,190 462,248,701 3,377,050 I 74,418,750 _ 5,693,987 83,489,787 378,758,914 467,149,663 SUNDRY DEBTORS CASH ON HAND AND IN BANK SHORT TERM INVESTMENT LORING LAB.
INVESTMENT SUSPENSE ACCOUNT CURRENT LIABILITIES: SUNDRY CREDITORS DEFERRED INCOME ACCRUED EXPENSES NET CURRENT ASSETS: FINANCED BY GOVT.

OF GUYANA 5,988,241 45,814,045 144,812,120 146,289,000 8,505 16,066,468 358,978,379 9,933,005 86,919,633 2,791,206 99,643,844 11 12 13 14 15 16 17 18 19 1996 103 670,274 259,334,535 363,004,809 2,374,825 360,629,984 363,004,809 .11n.
2,374,825 CAPITAL 464,774,838 ACCUMULATED S/PLUS 467,149,663 COMMISSIONER CHAIRMAN GUYANA GEOLOGY AND MINES COMMISSION NOTES ON THE ACCOUNTS 1.

 ACCOUNTING POLICIES (a) ACCOUNTING CONVENTION • )41P The accounts have been prepared under the historical cost convention as modified for the valuation of certain fixed assets.

(b) Depreciation No depreciation is provided on freehold land.
Depreciation on other fixed assets is charged on the straight line method calculated at the rates specified below which are estimated to write off the assets over the terms of their useful lives as follows:- Buildings Scientific, field and mining equipment Motor vehicles Office furniture, fixtures and fittings.

 (c) Inventories 2% 10% - 20% 25% 5% - 10% - These are valued at the lower of cost and net realisable value.
Cost is arrived at using the first-in-first-out method.

.4 2 - ROYALTIES - $766,079,221 1996 .

1995 ROYALTIES: BAUXITE GOLD - GGB GOLD - OMAI PRECIOUS STONES SAND STONES OTHERS 3 - LICENCES - $163,538,565 GOLD & PRECIOUS STONES PROSPECTING LIC.

(SM) PROSPECTING LIC.

(MED.)

PROSPECTING LIC.


(LG) GOLD CLAIM LICENCES PRECIOUS STONES LICENCES RIVER CLAIM LICENCES QUARRY LICENCE MINING LEASE TRADING LICENCES GOLDSMITH LICENCE DREDGE LICENCES MINING LICENCES MINING PRIVILEGES DUPLICATE LICENCES 4 - FEES FINES ETC - $22,396,758 FEES FINES TRIBUTES APP.
FOR DREDGES REGISTRATION FEES TRANSFER OF DREDGES DUTY ON TRANSFERS - CONCESSIONS - $13,366,089 MINING PROPERTIES CONCESSION DREDGING CONCESSION DUPLICATE MINING PERMIT EXCL.
PERMISSION 6 - OTHERS - $57,227,290 APPLICATION OF PROSPECTING LICENCES MINING EQUIPMENT PROFESSIONAL SERVICES CERTIFICATE OF REGISTRATION INTEREST ON INVESTMENT SALE OF OFFICIAL PUB.

- CARTOGRAPHIC SALE OF OFFICIAL PUBLICATION-LIBRARY DRILLING RENTAL CORE DRILLING GEOLOGIAL & GEOPHY.
SURVEY SALE OF LAPIDARY PRODUCT DISPOSAL OF ASSETS INTEREST ON LOAN CONFERENCE & QUARRYING FEE BANKA DRILLING CANTEEN SALES SURCHARGE VERIFICATION OF CLAIMS GAIN ON FOREIGN EXCHANGE MISCELLANEOUS 12,642,519 0 0 723,570 0 __ .4 1 7 - EMPLOYMENT COSTS - $174,177,646 1996 1995 SALARIES WAGES SALARIES OVERTIME COMMUTED OVERTIME WAGES OVERTIME STATION/BUSH ALLOWANCE HOUSE ALLOWANCE DUTY ALLOWANCE SUBSISTENCE & TRAVELLING RISK ALLOWANCE CASH IN LIEU OF LEAVE TRAVELLING ALLOWANCE ENTERTAINMENT ALLOWANCE PENSION SCHEME(EMPLOYERS CONTRIBUTION) N.I.S.
EMPLOYERS CONTRIBUTION DIRECTORS EMOLUMENT LEAVE PASSAGE RESPONSIBLITY ALLOWANCE ACTING ALLOWANCE UNIFORM & SAFETY GEARS TRAINING AND EDUCATION MEDICAL SCHEME UTILITY ALLOWANCE GRATUITY AND SEVERANCE PAY - ADMIN EXPENSES - $96,641,525 1996 LOOSE TOOLS & SUNDRY EQUIPMENT LUNCH & SNACKS FUEL LUBRICANTS - VEHICLES ETC.
MAINTENANCE OF RADIO & COMM.

EQUIP.

MAINTENANCE OF ELECTRICAL EQUIP.
MAINTENANCE OF VEHICLES MAINTENANCE OF CRAFT, EQUIPMENT HIRE OF EQUIPMENT TELEPHONE, TELEX, CABLES ELECTRICITY RENTAL OF OFFICE EQUIPMENT MAINTENANCE OF OFFICE EQUIPMENT PRINTING & DUPLICATING MATERIALS & SUPPLIES - DRAWING OFFICE PROFESSIONAL&CONSULTANCY SERVICES AUDIT FEES OFFICE STATIONERY OFFICIAL PUBLICATION & NOTICES POSTAGE MAINTENANCE & REPAIRS TO BUILDING MAINTENANCE OF GROUNDS JANITORIAL & CLEANING SECURITY SERVICE LEASES FUEL & LUBRICANT BURSARIES SUBSCRIPTION TECHNICAL & MANGEMENT SERVICES DRUGS & MEDICAL SUPPLIES ASSAY LABORATORY SUPPLIES ELECTRICAL SUPPLIES PETROLOGICAL LABORATORY SUPPLIES LAPIDARY LABORATORY SUPPLIES INSURANCE OF ASSETS BANK CHARGES RATION MISCELLANEOUS - OTHER EXPENSES ADVERTISEMENT DONATIONS - GIFTS, WREATHS, ETC.
BAL.
C/FW: - ADMIN.
EXPENSES 1996 BAL.
B/FW: 77,477,020 CHEMICAL LABORATORY FOOD PREPARATION MAINTENANCE GENERATOR/BUSH CUTTER MAINTENANCE PRINTING MACHINE MISCELLANEOUS EXHIBITIONS ENTERTAINMENT EXPENSE STORAGE CUSTOMS & EXCISE FREIGHT & HANDLING CHARGES LEGAL EXPENSES MINING SEMINAR AMMUNITION TRANSPORTATION & TOLL FEES WELFARE & SUNDRIES REVENUE STAMPS DEVELOPMENT SUPPORT & COMMUNICATION MATERIAL & SUPPLIES - COMPUTER FIELD EXPENDABLE FIELD EXPENSE PROMOTIONAL SEMINAR PERSONAL KIT GGB SUBSCRIPTION HIRE CHARGES SPORT CLUB STAFF PARTY ANNIVERSARY CELEBRATION WITHOLDING TAX PEST CONTROL WELDING MATRIEAL & SUPPLIES COOKING GAS MAINTENANCE OF CANTEEN EQUIP.
INTEREST PAID ''K - TRANSPORT AND TRAVELLING - $21,984,494 1996 1995 OVERSEAS CONFERENCE & VISITS ROAD AIR AND OTHER CHARTER 7,359,709 14,534,785 21,894,494 1,514,478 10,061,191 11,575,669 10 - APPROPRIATION TO CONSOLIDATED FUND - $794,202,803 Included in this amount is Omai Royalties which is paid into the Omai Gold Mines Account No.
964 at the Bank of Guyana.

All payments made are then transferred to the Consolidated Fund.

The The following is a breakdown of appropriations in this regard.

Omai Royalties Consolidated Fund 11 - FIXED ASSETS $103,670,274 1996 1995 473,702,803 320,500,000 794202,803 509,300,143 155,000,000 664,300,143 LAND & BLDGS.

MOTOR VEHICLES OFF.

FUR.

FIX.
AND FITTINGS SCIENTIFIC FIELD AND MINING E/MENT TOTAL COSTNALUATION At 1 January, 1996 G$ 5,199,991 G$ G$ 48,280,274 19,070,417 G$ 64,164,847 136,715,529 G$ Additions in 1996 1,406,452 11,000,000 11,091,368 12,331,911 35,829,731 Disposals Cost at 31 December, 1996 0 6,606,443 (147,536) 59,132,738 0 30,161,785 (147,536) 76,496,758 172,397,724 0 DEPRECIATION: At 1 January, 1996 798,678 30,864,262 4,132,496 12,529,344 48,324,780 Charged for the year 205,651 10,451,237 2,321,490 7,571,828 20,550,206 Depreciation on Disposals Accumulated Depreciation at 31 December, 1996 NET BOOK VALUES: 0 (147,536) 0 0 (147,536) 1,004,329 41,167,963 6,453,986 20,101,172 68,727,450 At 31 December, 1996 5,602,114 17,964,775 23,707,799 56,395,586 103,670,274 At 31 December, 1995 4,401,313 17,416,012 14,937,921 51,635,503 88,390,749 rt ow f / 1995 0 1,018 0 24,769,954 24,770,972 12,573,975 2,880 19,869,045 223,724 4,843,049 818,515 140,759 558,134 12 - INVENTORIES - $25,274,344 STOCK OF DRILLS STOCK OF GOLD STOCK OF DIAMONDS STORES CONTROL ACCOUNT 13 - SUNDRY DEBTORS - $45,814,045 SUNDRY DEBTORS CONTROL DEPOSITS LODGED OMAI RECEIVABLES PREPAYMENTS ACCOUNTS RECEIVABLE SHORT TERM LOAN STAFF LOAN CALL/CURRENT TRANSFER 14 - CASH ON HAND AND IN BANK - $144,812,120 1996 0 1,018 0 5,987,223 5,988,241 16,782,365 2,880 12,250,387 447,664 4,836,229 818,515 10,676,005 0 45,814,045 39,030,081 BANK BALANCES: GNCB G.B.T.I.
7 DAY CALL ACCOUNT G.B.T.I.
CURRENT ACCOUNT CASH BALANCES: PETTY CASH IMPREST STAMP IMPREST STAMP IMPREST (CASHIER) ICE IMPREST CANTEEN IMPREST 14,070,811 212,910,815 (82,461,881) 144,519,745 SUB TOTAL: 14,070,811 182,628,558 (64,151,116) 132,548,253 274,202 (2,224) 23,196 (2,899) 100 292,375 SUB TOTAL: 107,207 (2,224) 18,270 (1,253) 100 122,100 TOTAL: 144,812,120 132,670,353 ).4 15 - SHORT TERM INVESTMENT - $146,289,000 OPENING BALANCE NEW INVESTMENTS TREASURY BILLS FIXED DEPOSITS RETIREMENT OF FIXED DEPOSIT INTEREST CAPITALISED 1995 249,708,600 1995 188,013,967 146,289,000 488,458,600 (249,708,600) 0 0 146,289,000 1,651,003 (3,845,970) (424,569,000) 2491708,600 16 - SUNDRY CREDITORS - $9,933,005 SUNDRY CREDITORS CONTROL PROVISION FOR AUDITING REFUNDABLE DEPOSIT 6,309,023 662,997 2,960,985 9,933,005 970,068 562,997 1,843,985 3,377,050 17 - ACCRUED EXPENSES - $2,791,206 ACCRUED SALARIES ACCRUED WAGES OTHER ACCRUED EXPENSES PAYE N.D.S.
SALARIES PAYABLE N.I.S PAYABLE DIRECTORS FEE PAYABLE LIFE INSURANCE DEPENDANTS FUND PAYABLE DEPENDANTS FUND MORTGAGE PENSION FUND PAYABLE UNION DUES P.S.U.

CREDIT UNION RENT DUE AND PAYABLE MORTGAGE FINANCE PAYABLE LEAVE PASSAGE PAYABLE FIELD ALLOWANCE PAYABLE RESPONSIBILITY ALLOWANCE GNCB TRUST MORTGAGE RISK ALLOWANCE SUB.

& TRAVELLING SPORTS CLUB WITHOLDING TAX HOUSE ALLOWANCE PAYABLE PERSONAL ALLOWANCE PAYABLE D.I.A.

PAYABLE H.I.A.
PAYABLE H.I.A.

PAYABLE ACTING ALLOWANCE INTEREST PAYABLE ACCRUED LEAVE PASSAGE MISCELLANEOUS GROUP HEALTH INS.
PAYABLE MEDICAL SCHEME PAYABLE 19_96 239,019 100,318 (61,213) (1,547,373) 7,987 (1,015,197) (414,054) 3,000 701,910 (156,379) 717,030 (826,435) 1,580,036 (261,349) (1,678) 95,845 15,379 (51,819) 10,205 (35,171) (948) (133,877) (12,402) (730,968) 1,798 (274,196) 8,825 (800) 32,488 (14,917) (296,223) (57,421) 298,994 (711,620) (2,791.206) __ 1995 (79,618) (100,318) 3,799,948 1,141,820 (7,987) 1,150,470 344,378 78,484 (169,184) 156,379 (717,030) 804,251 (1,580,891) 261,329 1,678 (95,845) 259,135 180 (10,205) 35,171 948 25,695 12,402 378,037 (1,798) 274,196 (8,825) 800 (32,488) 15,600 (1,141) 57,410 (298.994) 0 5,693,987 18 - GOVT.
OF GUYANA CAPITAL - $2,374,825 This is comprised as follows:- Assets less liabilities at 1/8/79 Other expenditure 1985 2,139,306 235,519 2,374,825 The Commission came into existence on 1/8/79 by an order enacted through the Geology and Mines Commission Act 1979.
According to Section 35(1) and (2) of the Act, for the assets and liabilities vested at 1/8/79 the Commission shall issue to the Government debentures or debenture stock of such nominal value and bearing such interest rates and repayment dates as may be agreed upon between the Minister responsible for finance and the Commission.

The debenture stock has not been issued to the Government and the repayment I erms and interest rates have not yet been agreed.
19 - ACCUMULATED SURPLUS: $360,629,984 The Guyana Geology and Mines Commission Act 1979 Section 20 (1) provides that the Commission shall maintain a reserve fund and shall, out of the net surplus of each year, transfer to that fund a sum equal to not less than such sum as may be fixed by the Minister.
/Sr g 20 - RECONCILIATION OF OPERATING PROFIT TO NET CASH INFLOW FROM OPERATING ACTIVITES: OPERATING PROFIT INTEREST ON INVESTMENT WITHHOLDING TAX DEPRECIATION DECREASE IN STOCKS INCREASE IN DEBTORS INCREASE IN CREDITOR INCREASE IN DEFERRED INCOME INCREASE IN ACCRUALS INCREASE IN SUSPENSE GS 216,355,146 (42,774,014) 2,869,850 20,550,206 18,782,731 (6,783,964) 6,555,955 12,500,883 (2,902,781) (6,274) 225,147,738 21 - ANALYSIS OF CHANGES IN CASH DURING THE YEAR: BALANCE AT 96/12/31 BALANCE AT 96/01/01 INCREASE IN CASH EQUIVALENT 144,812,120 (132,670,353) 12,141,767 • AL GUYANA GEOLOGY AND MINES COMMISSION CA$HFLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER, 1996 NET CASH INFLOW FROM OPERATING ACTIVITIES RETURN ON INVESTMENT & SERVICING OF FINANCE INTEREST RECEIVED ON INVESTMENT CONTRIBUTION CONTRIBUTION TO CENTRAL GOVERNMENT NET CASH INFLOW FROM RETURN ON INVESTMENT & SERVICING OF FINANCE TAXATION WITHHOLDING TAX TAX PAID INVESTING ACTIVITIES.
1916 G$ 225,147 738 42,774,014 (320,500,000) (277, 725,986) (2,869,854) (2,369,854) PAYMENT TO ACQUIRE TANGIBLE FIXED ASSET SHORT TERM INVESTMENT FINANCING INCREASE IN CASH & CASH EQUIVALENT (35,829,731) 103,419,600 67,589,869 12,141 767 A