Reduction Activities of Contractors

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Google Translated version:
According to the statement from the company operating Ambatovy has not yet officially received the license to operate which will go into production. Also, the Company has decided to curtail the activities of contractors who are not directly related to the completion of commissioning and testing techniques of plant Toamasina. According to this statement, “Ambatovy notified date (note: yesterday) subcontractors and suppliers of a possible future reduction in non-core activities during the period of completion of commissioning and testing techniques. Ambatovy continues its dialogue with the Government of Madagascar for licensure. For now, regular activities continue as usual. Ambatovy not considering layoffs of employees for the time since the company expects to receive the permit as soon as possible. “

This announcement follows another statement dated August 26 which we reproduce below:

“Ambatovy phase is to complete the commissioning and testing techniques to the Factory Tamatave. The company confirmed that the government of Madagascar has not yet issued the operating license known as the “license to operate”. In accordance with Malagasy law, Ambatovy must be in possession of a permit to enter commercial production.

Ambatovy continues dialogue with the Government of Madagascar in order to obtain the permit.

Ambatovy is the largest company in Madagascar. During the construction phase, more than 500 companies have become subcontractors and suppliers Ambatovy. During this phase, Ambatovy has generated more than 2,400 billion Ariary local contracts. Ambatovy generated significant economic benefits to Madagascar, including thousands of local jobs, foreign exchange earnings, vocational training, and business relationships long term relationships with suppliers and subcontractors Madagascar.

Ambatovy continues to work closely with the Government of Madagascar to answer any concerns. Ambatovy hopes to receive a permit to operate soon. Ambatovy is confident that all requirements under Malagasy law for obtaining a license to operate have been met. ” (End of quote)

Many questions
Curiously, the Minister of Finance spoke last week from Brickaville, leakage of sulfur months ago at Sherritt (Ambatovy). He insisted on diseases caused by the leak despite assurances and explanations provided by the Ambatovy at the time. He cited cases of lung diseases, eye irritation or skin. Waters have been polluted and contaminated fish, he said, not to mention the consequences on the leaves of trees and shrubs that have withered and the bees have disappeared.

Become an environmentalist, Hery Rajaonarimampianina Minister stated that before such accidents causing damage which affect public health, the government then considered it his duty to seek to conduct investigations and on-site observations.

A Government Council for the month of June, 19 June, more precisely, was that after visits, inspections and investigations, plant Ambatovy Toamasina is authorized to enter service.

But last week, the Minister of Finance stated that this authorization is only temporary, that the state is not going to prevent Sherritt to proceed with the operation. Sherritt, however, must set aside a certain amount in anticipation of such a leak or accident or other “disaster”, it was understood. This amount must provide insurance or emergency use of such occurrences because it is the State which must bear the first emergency. In short, the state requires a certain amount from Sherritt but through dialogue, added the Minister of Finance who also speaks investigations or proceedings pending as both parties are looking for the international firm should perform them.

$ 800 million?
For some time, according to rumors from Toamasina where unemployment hovers over the technical partners of Sherritt Toamasina due to a certain amount, the project will pay the state. We speak mainly of a large amount of nearly 800 million. Could it be the amount set aside for this component and emergency insurance in case of “disaster” mentioned by the Minister of Finance last week? In any case, when asked about it, officials Ambatovy stated that there is no intention of this project to anyone unemployed and technical qu’Ambatovy is pending “allowed operate, “as they call authorization.

Yesterday, the radio Antsiva collected and reported the words of a lawyer, member of the Supreme Council of the transition, that implies ongoing negotiations about the surplus electricity qu’Ambatovy is able to produce and thus provide to the entire city of Toamasina, the latter suffering for months JIRAMA failures.

This member of the CST has also made statements regarding revenue from this national company but we will not mention for ethical reasons.