Latest update April 25th, 2024 12:59 AM
Jun 03, 2018 News
– Aircraft belongs to Canadian company
By Abena Rockcliffe-Campbell
“In 2017, AGM decided to purchase a Twin Otter to transport its workers into the Aurora Mine located in Region 7 in Cuyuni.”
That is an extract of a full page advertisement by Guyana Gold Fields Inc., the parent company of Aurora Gold Mine (AGM).
A letter by someone who claimed to be an “AGM aviation employee” stated, “AGM did not hire a Canadian airline to provide service to its mine. AGM bought a Twin Otter DHC6-300 aircraft and as the owners of said aircraft, contracted a Canadian management firm which has current international experience managing Twin Otters for several years.”
However, Canadian records say otherwise. On paper, AGM does not own the aircraft.
This newspaper did extensive research. About five different Canadian websites have data that reflect Canadian Flyers World Aviation Services as the sole owner of the Twin Otter bearing registration C-GGIR.
However, the most authentic of these websites seemed to be www.regoserch.com. This website said that all its information was sourced from Canadian Civil Aircraft Register (CCAR).
It said that the aircraft registration database was last refreshed from the Canadian Civil Aircraft Register (CCAR) less than a week ago.
The information show that the aircraft does not have multiple owners. The one owner is Canadian Flyers World Aviation Services.
In the certification category, it is stated clearly that no sale was reported. This means that up to May 29, the plane was still owned by Canadian Flyers.
The base of operations for the 44 year-old aircraft was registered to be Guyana. It would appear as if the Canadian Service provider bought the plane to service Guyana.
Also, a visit to Canadian Flyers website proved that the firm considers Guyana as a “base.”
In its advertisement, Aurora said that the primary reason for its decision to “buy” its own plane was that use of local airlines began to be too expensive. Aurora said that it spent over $1B on local airline services.
If it is indeed true that Aurora spent over $1B in air transportation, then this and more will be paid to the Canadian firm as local aviators say “it is highly unlikely that a Canadian firm will operate in Guyana cheaper than us.”
But, before the advertisement, in a letter to the editor Aurora had said, “Please take note that the entry of this aircraft was made at the time when there were myriad aircraft accidents and incidents involving various local operators.” (See link for full letter: (https://www.kaieteurnewsonline.com/2018/05/26/aurora-gold-mines-supports-local-aviation/#)
Local aviators say that this is nonsense. As recent as last night, one aviator pointed out that the accidents that occurred were all in shuttle areas.
“Flying from Ogle to Aurora is a very straight forward flight; there are no challenging or tricky areas.”
Additionally, there has never been an accident along that route.
Another aviator was keen to point out that a company can buy an aircraft and hire another firm to crew it. However, the aviation operative said, “Still, the aircraft will have to be registered in that company’s name, that’s basic.
“Remember there is insurance and all these things, and North American countries are strict on those things. No way can I own an aircraft and have it registered in your name.”
Saying that it owns the aircraft is not the only misleading information that Aurora has fed the nation.
Aurora also gave the impression that local pilots operate the aircraft.
“Our flight team consists of four Canadian pilots and three Guyanese pilots…Our Georgetown flight operations team comprise (sic) a young Guyanese pilot and another AGM employee.”
Aurora tried to convey that it is still using local content even at that level.
However, it has been highlighted that Guyanese pilots are not allowed to operate the aircraft because the plane is not registered locally.
Also, insurance from the Canadian firm would not cover Guyanese pilots.
For years, it used to be Air Services Limited (ASL), Wings Aviation, Trans Guyana Limited and Roraima Airways benefitting from Aurora’s operations.
The Twin Otter now makes about five trips daily for Aurora. Those trips used to be divided among the aforementioned local operators.
Businessmen in the aviation industry are not the only ones feeling the squeeze from Aurora’s preference for foreign goods and services.
Just recently, Aurora discontinued its contract with Morrison Trucking and Equipment Rental. At least two other contractors have been told that their contracts are coming to an end and will not be renewed.
The company also no longer uses Guyana as its main buying market.
Aurora moved its procurement office from Guyana to Canada. The company claimed that it had to move the office as it was getting a hard time procuring some goods from Guyana.
However, the contract that the company signed with Guyana is strict on local content.
The contract says, “In Guyana, the Company shall use all reasonable efforts to give preference—to the maximum extent compatible with efficient Operations and good mining practices using standards applicable in the international mining industry—to products and services produced and offered in Guyana, provided these are offered at competitive terms and conditions.”
The contract also stipulates that within 90 days after the end of each fiscal year, the company must submit a report to the Government “setting forth (i) the relative percentages of foreign-sourced and Guyanese-sourced goods and services used by the Company, (ii) measures taken to enhance the role of Guyanese-sourced goods and services in the Project and (ii) measures to be implemented so as to improve such performance.
The contract also makes demands on Aurora to enhance steadily, its local content. On the contrary, the company seems to be scaling down its local content.
The Aurora Agreement was signed on November 12, 2011 under the People’s Progressive Party/ Civic (PPP/C).
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