Gas-to-energy project: Former GECOM chair was offered $20M for land worth $7M

…refuses to show independent evaluation – court documents

Former Guyana Elections Commission (GECOM) Chairman, Dr Steve Surujbally is in a legal battle with the Government over plans to acquire his lands for the gas-to-energy project. While Surujbally has claimed he received a lowball offer, the State is countering that it offered him almost triple the value of his land.
Surujbally, who served as Chairman of GECOM for 15 years before retiring in 2017, has taken the Government to court over its move to compulsorily acquire his land at Plantation Nouvelle Flanders, Region Three (Essequibo Islands-West Demerara).

Though the former GECOM Chair is not disputing the State’s legal right to acquire his land, he has claimed that the State made a lowball offer for his land which violated his right to fair compensation and is demanding $100 million in cash and land before he parts ways with 1.5 acres of land for the gas-to-shore project.
The Head of the Gas-to-Energy Task Force, Winston Brassington, meanwhile contends in his affidavit to the court that the land is worth nowhere near that amount. According to Brassington, the 1.5 acres needed for the project was actually valued by the Ministry of Finance’s Valuation office at $7 million.
“I am informed by the Attorney General and do verily believe that the Attorney General indicated to the Applicant through his Attorney-at-Law that the counter-offer made by the Applicant was grossly inflated; and further, that the said counter-offer was unreasonable, given that the State was already in the process of compensating similarly circumstanced landowners at true, current market value, which said valuations were at significant odds with the Applicant’s inflated valuation of $100 million,” the Chairman said.
Brassington noted that Government offered to double this amount. However, Surujbally was not interested. Nor was he interested when the State, in an effort to expedite negotiations, increased its offer to $20 million.
Brassington contends that Surujbally first made his $100 million counter offer in February 2023 and this was promptly forwarded to Attorney General Anil Nandlall for his advice. Nandlall in turn informed Surujbally that this counter-offer was unreasonable. Brassington also claims in his affidavit that even though Surujbally claimed to have a valuation that supported his demands, he refused to show it to them.

“I recall that at the said September 2022 Applicant indicated to the Attorney General and team, that he has a valuation, several years old, as well as a current valuation, both of which were above the valuation provided by the Valuation Division. (“I) recall that the Attorney General asked the Applicant for copies of the valuations.”
“He refused to provide same. In an effort to commence good faith engagements with the Applicant, I further recall the Attorney General then asking the Applicant to at least show him the valuations. The Applicant again refused and said that his lawyers would contact the Attorney General. All of this took place in my presence and hearing,” Brassington said in the court documents.

Brassington disputed much of what Surujbally said in his claim and further said that were the State to pay Surujbally what he would ask for, it would not only unjustly enrich him but also constitute a misuse of State funds. The State is seeking the dismissal of Surujbally’s case, with costs… though Brassington indicated that the State stands willing to conclude negotiations and fairly compensate Surujbally… within reason.
“I have read the Fixed Date Application filed herein on 3 August 2023 (“the Application” or “the FDA”) and the Affidavit of RSM Surujbally sworn and filed on the same date in support thereof (“the Applicant’s Affidavit”) save and except where expressly admitted, I deny each and every averment of fact and contention of law made and contained therein as if the same had been set out verbatim and traversed seriatim.”
“I am advised by my Attorneys-at-Law and verily believe that in an effort to advance the settlement negotiations, the Honourable Attorney General reached out to the Applicant’s Attorney-at-Law, Mr Christopher Ram, on several occasions in respect of the offer of $15.21\h, and thereafter, in respect of a further offer of $20.2Mn,” Brassington also said.
The gas-to-energy project will see 225 kilometres of pipeline being laid from offshore Guyana, to Wales on the West Bank of Demerara where it will be utilised to produce energy in the Wales Development Zone. (G3)