Guyanese businessman to invest over $237M in concrete batching plant as oil sector fuels construction boom

Mar 10, 2022 News

Kaieteur News – Suresh Jagmohan who was conferred with the Medal of Service back in 2019 is gearing to expand his range of business ventures with an investment of over $237M in a concrete batching plant along with associated infrastructure to manufacture prestressed and precast concrete members.

Google Earth image of the Little Diamond Industrial Area0 (Block No. VIII) Surrounding Land Use

For those who may not be aware, precast concrete is a construction product produced by casting concrete in a reusable mold or “form” which is then cured in a controlled environment, transported to the construction site and lifted into place. Pre-stressed products are compressed during production, in a manner that strengthens it against tensile forces which will exist when in use. In contrast, cast-in-place concrete is poured into site-specific forms and cured on site.
In his project documents which are with the Environmental Protection Agency (EPA) for consideration, the businessman stated that his company, Jagmohan Construction and General Supplies Inc., is now gearing to venture into the production of prestressed and precast concrete products since it is the direction in which construction work is headed in many developed countries. His business plan also seems geared for success given that the oil sector has continued to fuel a construction boom since 2016.
He outlined that the project consists of the construction of a concrete products plant and involves the setting up of a concrete batching plant for mixing of the aggregates and the installation of various formwork into which the concrete would be poured to manufacture the products. It would also include quality assurance testing since these products are meant to be structural members of civil works.
Project documents also noted that this venture will see the company investing over $237M on plant and infrastructure development to make the production of such concrete components a reality. The company said it hopes to add more choices to designers of civil works that will enable more design scope, faster project delivery time and quality materials that are consistent for every batch.
It said too that the investment will provide much needed job opportunities for Guyana while adding that it will bring new technology to more persons since training is essential for its success. Prior to the commencement of this project, the developer is required to apply for and obtain an Environmental Permit from the Environmental Protection Agency (EPA). In compliance with this requirement, the developer submitted same.
Kaieteur News understands that the main source of energy for this project will be obtained from the Guyana Power and Light Inc. (GPL). This will be supplemented by a 178 kva, 430 volts 60 cycle generator which will only operate during power outage/failure from the GPL source. The generator will be housed in a self-enclosed area with sound attenuating materials situated under a concrete shed and mounted on a concrete base.
While the project’s capital investment is approximately $237,000,000 GYD, which will be solely funded by the developer, the projected annual turnover for this development is $300M. The proposed location for the project is along the East Bank Road corridor, specifically within the Little Diamond Industrial Area. This newspaper understands that the choice of location is based on proximity to raw materials and the availability of at least two acres of land in an industrial area where similar activities are being undertaken. The size of the land is approximately 1.98 acre.