‘Genuine interest’ as five proposals submitted for mining operations at Karouni mine

The government has received five proposals to operate the Karouni Mine, which Troy Resources previously managed.

In October 2023, the government announced the termination of its agreement with the Australian company – Troy Resources and revoked its mining license in the country.

“We have been engaging a number of investors, and I want to say that yes, we have five proposals submitted by local and international companies that we are currently reviewing,” Minister of Natural Resources, Vickram Bharrat recently revealed at a press conference.

He added that a decision regarding the proposals would be made soon and expressed satisfaction with the level of interest shown in the Karouni mines.

“There is a genuine interest in [Karouni] and we as a government are pleased that there is an interest because our intention is to have it restart as early as possible.

“The AG office is completing the process of total acquisition but at some point in time soon we will make a decision with regards to the proposals that we would have received,” Bharrat stated.

The decision to terminate the agreement with Troy Resources was due to payment of outstanding royalties and rental fees; non-compliance with the agreed work programme and issues related to environmental management

In August 2023, Troy Resources announced it would cease its operations in Guyana, but the company did not provide an exit plan to the state.

Troy Resources faced significant challenges in October 2019 after a geologist tragically died in a mining cave collapse. This incident led to the mine’s closure for investigation and the subsequent layoff of hundreds of workers.

In November 2022, Troy Resources announced plans to resume gold mining and production by the fourth quarter of 2023. However, these plans did not materialize.

Since its shutdown in 2023, the site has remained under state care and management.