If Ramps Logistics Guyana Inc. is not granted a Local Content Certificate of Registration, it will likely lose significant contracts with major industry players like ExxonMobil affiliate, Esso Exploration and Production Guyana Limited (EEPGL).
According to court filings which form part of a judicial hearing over the State’s refusal to award the certificate, Ramps explained that it is facing financial ruin as it could lose a US$25 million contract with EEPGL.
Ramps said it is the holder of an existing contract with Esso which expires on November 30, 2022. The new contract, it explained, is ready for signature but has not yet been signed because it has been unable to secure the certificate. The said contract is for a period of five years.
Without the certificate, Ramps also explained that it has lost crucial business with Schlumberger Guyana, International SOS, Baker Hughes, G-Boats, Frank’s International, and CGX Resources Inc.
Ramps said it is armed with several accountants who can testify extensively to the losses sustained thus far. The company said it is clear that the Local Content Certificate is an essential requirement to secure contracts in the sector.
It also expressed how critical this certificate is to its operations. In fact, the company said if it is not granted the certificate then it will be forced to scale back operations and render 100 employees redundant.
The Local Content Secretariat had denied Ramps the certificate since documentation provided on beneficial ownership of the firm as well as its share structure, were not in conformity with the law.
Ramps has since refuted such claims. Hence, legal proceedings were initiated. Ramps, through its attorneys, is asking the court to grant several orders, one of which declares that it is entitled to be issued with a Certificate of Registration and that it be entered into the Local Content Register.
The judicial hearing on the matter is set for oral arguments on November 15, 2022, at 1:15 pm before Chief Justice Roxane George S.C.