NICIL looking for $10-15B to reopen Enmore, Skeldon estates

The Government’s investment and privatisation arm NICIL is in “advanced talks” with a commercial bank to source $10-15 billion to reopen the Enmore and Skeldon sugar estates to make them attractive for potential buyers, Finance Minister Winston Jordan said Wednesday morning.

He said the financing arrangement being sought is a short-term syndicated bond that can be repaid with revenues that will come from the sale of the estates and lands.

Jordan indicated that the reopening of the estates will not see them operating as they were before operations ceased on December 29 last year, but as “a prelude” to getting buyers.

“If they are closed and mothball and you know buyers come, they probably would not be impressed as if they are working and seeing the estates as properties to be acquired,” Jordon told reporters on the sidelines of an event at the Pegasus Hotel in Georgetown.

He said that an “interesting model” is being pursued for Enmore, namely, putting back the estate to grind for producing molasses to supply local rum manufacturers Demerara Distillers Limited, DDL. The company had hinted that it is looking at the option of importing molasses or cane juice in order to produce rum.

“We don’t want them importing molasses,” Jordan quipped.

He said that the Government was hopeful that the financing arrangement can be completed by mid-March.