1234 MINERALS YEARBOOK, 1978-79 
 
which reversed its policy of requiring government majority interest in joint
ventures with foreign companies. The Government further announced its intentions
to incorporate various existmg and proposed invest ment incentive laws mto
one piece of legislation. The extent to which domestic and foreign investors
would take advantage of the new investment cede was uncertain, although some
foreign companies entered into exploration agreements during 1979. 
 After 5 years of preparation, Guyana Mining Enterprise, Ltd. (GUYMINE),
in mid-1979 officially opened the East Montgomery Mine. The mine represented
the first expansion of Guyana's bauxite mining industry since 1971. Bauxite
reserves at East Montgomery were estimated at 80 million tons with a mine
life expectancy of 40 years Initially the mine is expected to provide about
12% of Guyana's calcined bauxite production, but this figure is expected
to increase to 50% in 10 years. The new mine suffered a minor production
setback when a landslide buried 80,000 tons of exposed ore shortly after
opening. As with other bauxite mines in the Linden area, 200 to 250 feet
of overburden must be removed, and mining activity is complicated as a result.
In 1978, Guyana began operations at the Kaiakabra bauxite deposit, where
proven ore reserves have been estimated at 500,000 tons of calcine grade
bauxite. 
 Future assessments of total bauxite re 
serves may be substantially increased due to the inclusion of lateritic ore
deposits occurring over 15,000 square miles of the Pakaraima Plateau in western
Guyana. Reports on preliminary investigations have indicated the existence
of billions of tons of ore that would require little—if any—
overburden removal. 
 In 1978, it was reported that the U.S.S.R. would undertake a feasibility
study for construction of a 600,000-ton-per-year alumina plant in Guyana.
In 1979, Guyana's alumina capacity was about 300,000 tons per year. 
 A favorable feasibility study was completed in 1979 for the 750-megawatt
Upper Mazaruni Hydroelectric Project, and Guyana has applied to the World
Bank for financing. Companion to the hydroelectric project is the construction
of a 150,000-tonper-year aluminum smelter at a projected cost of $800 million.
The search for a technological partner for the smelter to share construction
costs was scheduled to begin in 1980, contingent upon financing of the hydroelectric
scheme by the World Bank. The proposed smelter site on the Demerara River
is only a few miles from an existing alumina plant and about 60 miles from
the coast. 
 The Guyanese Government has urged gold miners to step up production in response
to the dramatic surge in precious metal prices. In 1979 Guyana granted 
 
Table 4.—Guyana: Exports and reexports of mineral commodities 
(Metric tons unless otherwise specified) 
Commodity 
1917 
1978 
Principal destinations, 1978 
M~FALS 
 
 
 
Aluminum: 
Alumina: 
Hydrated                                 
UnhydratecL                               
15,553 
251,861 
12,981 
234,222 
United States 12,981. Norwayll5,613;United 
Kingdom 37,656; U.S.S.R. 24,740; France 23,163. 
Bauxite: 
Calcined~                                 
 Other thousand tons_ 
 
Gold metal, unworked or partly worked, all forms 
 troy ounces - 
Ironandateelsemimanufactures                       
693,465 
 
 
882 
 
 
69 
1,045 
578,338 
 
 
998 
 
 
39 
530 
UnitedStates 215,525; West Germany 83,564; United Kingdom 51,778. 
Canada 531; United States 
424. 
 
Canada 39. 
Barbados237;Trinidadand Tobago 118; Surinani 78. 
NONMETALS 
 
 
 
Diamond,gem carats~ 
9,625 
10,999 
Belgium-Luxembourg5,037; Netherlands 2,549; United Kingdom 2,246.