Minister of Social Protection, Amna Ally on Tuesday rescinded a cease work order issued by Minister with responsibility for labour, Keith Scott on October 10 which triggered a shutdown of operations by Australian gold miner Troy Resources and the laying off of hundreds.

Ally’s rescission of the order by her junior minister was a likely sign that the APNU+AFC government had not been aware that Troy would take drastic action as a result of the Scott cease order which had come after a geologist was crushed to death at the company’s Karouni mine site in Region Seven on October 8.

 “I, Amna Ally, Minister of Social Protection, hereby wish to notify you that the letter dated October 10, 2019 under the hand of Hon. Keith Scott, Minister within the Ministry of Social Protection, is hereby rescinded,” a letter to Troy Resources General Manager Eric Olson, dated 15.10.2019, stated.

Further, the correspondence stated, “We are concerned with the operations of Troy Resources Guyana Inc., as well as the Occupational Safety and Health Matters connected therewith. This matter will be addressed shortly.”

Several calls to Ally’s mobile number yesterday went unanswered.

In a statement on Tuesday, Troy Resources explained that following the death of geologist Ryan Taylor on the site, Scott issued a stop order directing “that there be a cessation of all mining activities with immediate effect until further notice from [the] Ministry.”

This order was issued before the completion of investigations which had been launched by the Guyana Geology and Mines Commission (GGMC), the Guyana Police Force, the Ministry of Social Protection and the Company itself.

It was after receiving that letter that the company announced a suspension of mining at its Karouni, Region Seven operations.

The move by the company appeared to have taken the government by surprise and it is still unclear if the action by Scott was sanctioned by his senior minister or if he notified her.

The action saw hundreds being placed temporarily out of work even as the company raised concerns about the restart of its mining and the viability of operations at a key section of its mine site.

Some employees complained bitterly of the actions by the company saying that it was without warning that they were told of the layoffs.

One employee told this newspaper yesterday that he was concerned about the uncertainty because he has family and other commitments. “They said they will fly us out and they can’t say when or if they will begin again…them say that they ain’t even know if I will go in back. We don’t even know what is the arrangement with pay. What is that?” the worker told Stabroek News. 

And while the Minister of Social Protection intervened, it is unclear if or when operations at the site will resume.

Ore stockpiles

Troy had stated that in keeping with Scott’s October 10 order, it had ceased all mining activities and as a consequence all milling activities since the exhaustion of ore stockpiles during the recent wet season meant that there were negligible quantities of ore available for processing.

Highlighting that the Company does not know when, or if, approval will be given to resume mining activities, Troy had directed that all site employees stand down with the exception of those undertaking security duties, exploration activities ­­­and those involved in preparing the processing plant for a full shutdown.

The company maintained that “employees are not dismissed and can resume their normal duties if, or when activities on-site are able to resume” but had said that under Guyanese Law, a Company is permitted to stand down the workforce without pay for up to six weeks in certain cases.

“Troy will not reinstate any of the laid-off employees nor recommence mining and processing activities until such time as the Company has clear approvals from all relevant government agencies,” they said.

The company was critical of Scott’s action claiming that the stop order was inconsistent with normal protocol in such situations. Normal protocol they argue is to cordon off the area of the incident, being the Hicks 1 Extension Trench, a process the Company had already undertaken immediately after the death.

Having taken this action Troy expressed surprise at the cease order which covered all mining areas including the Smarts 3 and Larkin Pits which are not where the fatal accident occurred.Notably the company said that Scott possibly “chose to act as a knee-jerk reaction in response to extensive false and misleading information beig circulated on social media by various groups and individuals concerning the accident and the safety record of the Company generally.”

The company maintained that Troy, and its Directors, management and supervisors are strongly committed to the long-term health and safety of all its employees and that the Company provides significant occupational health and safety training, both at induction and on an ongoing basis at Karouni.