New US$300M Vreed-en-Hoop Shore Base will help position Guyana as transport hub – Pres Ali

The US$300 million Vreed-en-Hoop shore base, a product of collaboration between local and foreign investors with support from the Government, was officially opened on Saturday.

And according to President Dr Irfaan Ali, this is a major step towards Guyana’s overall ambitions to become a regional transportation hub.

The President was the keynote speaker at the opening of what is Guyana’s second shore base, after the Guyana Shore Base Incorporated (GYSBI) opened its doors a few years back.

This time around, the Vreed-en-Hoop shore base is the product of a joint venture between NRG Holdings Inc, a 100 per cent Guyanese-owned consortium, and Jan De Nul, an international maritime infrastructure company.

The importance of partnerships was emphasised by the President, particularly on a national scale.

“Many Guyanese sit and complain about other nationalities that soaked up the opportunities in the region. They were able to do so because their countries were positioned in the particular time in history to allow them to do so. And they took advantage of the country’s positioning. This is that one additional asset that allows us to build one of the best marine industries and marine sectors in the region.”

“They invested in distribution chains; they moved from sole trading to corporations. They built consortiums. And they established themselves firmly throughout the region. Because they never saw their market confined by the boundaries of the country. What are we doing? How are we going to leverage?”

According to President Ali, this project will play a critical role in positioning Guyana to become a transport and logistics hub that will bring more opportunities for Guyana. And he noted that harnessing these opportunities will require critical thinkers, innovators, risk taking and partnerships.

“This is not just about a shore base today. I’d be very disappointed if you looked at this and said, oh this is a shore base. This is that one additional asset that allows us to build one of the best marine industries and marine sectors in the region,” the Head of State said.

“This is that one additional asset that positions us to build a transport and logistics hub and link that is key and critical and brings new opportunities. This is a means to an end and not the end by itself,” President Ali also said, going on to draw the audience’s attention to the impact of policy making and investment in infrastructure, to national development.

According to the President, Guyana has much going for it right now, including the fact that the country will soon have one of the cheapest energy rates in the region, as well as other advantages. He noted that Guyana must harness these various advantages to increase its competitiveness.

The President also pointed out that his Government’s emphasis on infrastructure, through successive budgets, is critical to ensuring that Guyana can optimise its natural resources and growing oil economy.

He gave the example of the new Demerara River Bridge currently being built, noting that if such investments are not made, then projects like the Vreed-en-Hoop shore base would not reach their full potential.

President Ali also acknowledged the workers who made the shore base a reality, noting that they are not only gathered to celebrate the investment, but also the more than 400 men and women who helped to build the facility, as well as the 200 employees who will work there in the initial phase.

The President said the facility will also help Guyana to retain its technical expertise.

The consortium of investors in the Vreed-en-Hoop shore base includes Nicholas Deygoo-Boyer and Eddie Boyer of National Hardware Guyana Limited; and Andron Alphonso of ZRN Investments Inc. NRG hold a majority stake of 85 per cent in VEHSI, while the remaining 15 per cent is owned by Jan De Nul – the company that constructed the facility.

In his address at the commissioning, Alphonso revealed that they were able to overcome obstacles meant to break their spirit. He hailed his partners, noting that it is not easy to find true believers in the overall vision.

Alphonso also noted that had it not been for President Dr Irfaan Ali and his clarion call on the private sector to form partnerships, as well as the financial and technical support of ExxonMobil and Jan De Nul, this project would not have come to fruition.

Meanwhile, ExxonMobil Guyana President Alistair Routledge explained that they received 20 different proposals for a shore base, but after a competitive process, it was the one submitted by NRG and Jan De Nul for the Vreed en Hoop shore base that was the one that stood out the most.

He also noted that this is only the beginning of Exxon’s investments in the shore base.
“This is the beginning of a 20-year contract. Our industry is one that invests over decades, it’s one that requires long-term investment… We look forward to supporting further investments for the expansion of this port,” Routledge said.

The over 50 acres commissioned on Saturday will serve as a world-class Subsea Umbilicals, Flowlines, and Riser (SURF) shore base for ExxonMobil Guyana Limited (EMGL). It will provide essential services related to the oil and gas sub-sea infrastructure such as equipment storage, inspections, repairs and fabrication.