Underwater logging on Volta Lake begins 2010>

An ambitious underwater logging project seeking to save the carnage of boat accidents on the Volta Lake, whilst creating job opportunities for thousands of Ghanaians, is expected to begin in September next year.

This was made possible after Clark Sustainable Resource Development (CSRD), and Canada's Triton Logging, agreed in broad terms to join forces together to deliver both the SHARC system, which works in shallow waters, and the Sawfish underwater system, for deep water operations on the Volta Lake.

The two companies on Thursday initialed a commitment letter to that effect, paving the way for the implementation of the commercial phase of the Volta Lake Timber Project.

The signing also marks the most recent step in the amalgamation of the two companies to pursue the implementation of the project.

CSRD Founder and President, Wayne Dunn, and Triton's Founder and President, Chris Godsall, at the signing ceremony expressed satisfaction with the agreement.

“We are both very excited about delivering these technologies to Volta Lake in the latter half of 2010. We are equally excited about bringing our two companies together in a merger that will see us expand the underwater logging industry on a global basis. Our shared commitment to the principles of sustainable business development forms a strong foundation for success,” they noted.

The Volta River Authority (VRA), under the Government of Ghana, in February, 2006 entered into a 25-year agreement with CSRD to enable it harvest, process, and market all the timber in the Volta Lake, which was posing a danger to the transport system on the lake.

Five months later (July, 2006), the agreement was ratified by Ghana's Parliament, paving the way for the commencement of the underwater logging project.

The agreement comprises two phases - a preparatory phase and a commercial phase which allows the CSRD to develop and launch privately financed timber salvage and processing operations on the Volta Lake.

Highlights of the agreement include the CSRD to conduct underwater stock survey and inventory of commercial tree species in Volta Lake, a comprehensive Environmental and Social Impact Assessment study before commercial operations commence, execute the project at no cost to the Government of Ghana, secure all required financing for the project, and identify, source and finance appropriate technology for underwater harvesting of timber from the Volta Lake.

Ghana's Volta Lake was created with the construction in 1964 of the Akosombo Dam. Construction of the Dam resulted in the submergence of large tracts of forest, and forced the relocation of some 80,000 people to 52 newly-created townships on the lake's higher banks. Its untapped timber resource is estimated around US$2.8 billion.

The lake is now a transportation corridor for residents of the various lakeside communities, as well as a source of fish and water related wildlife.

For years, the Government of Ghana and VRA have been seeking solutions to remove standing trees that create safety hazards resulting in boating accidents on the lake, and at the same time, the government has been searching for strategies to enhance the socio-economic development of the area.

So far, the CSRD has spent about US$22 million in the completion of Phase I of the project, which was a feasibility study on the Volta Lake, and had submitted its findings to the Government of Ghana.

The objective of Phase I was to assess the timber resource potential in the Volta Lake, and determine the best harvesting, processing and marketing techniques.

It was also to determine relevant environmental and social interventions, financing arrangements required to develop the underwater logging industry, and associated value added activities in Ghana.

Phase II of the project will commence in third quarter of next year, and it is the period during which an integrated timber harvesting, processing, and marketing industry will be developed in Ghana.

The project is therefore expected to provide a safe transport corridor for the communities around lake.

The country would also benefit from the project, through the injection of direct foreign investment.

It is estimated that about US$100 million worth of investment would be brought into Ghana, in addition to payment of corporate taxes to the government.

The project would ensure environmentally certified timber products from Ghana to the global market, establish Ghana as a world leader in underwater timber harvesting, and develop technologically advanced processing and other value-added capabilities in Ghana.

Joe Clark, Chairman of CSRD, commented on the importance of the agreement for the project's next phase, saying, “With this agreement, CSRD is taking a significant step to deliver on our commitment to safe, efficient and environmentally-friendly underwater logging in Ghana. This agreement with Triton, and the decision to deploy Triton's proven technology, means that CSRD and the underwater logging industry in Ghana just got a lot stronger. I personally look forward to working with the Triton team as a director and keen proponent of Ghana and Africa.”

Mr. Gordon Smith, Board Chairman of Triton, said the company would bring to bear its environmentally and socially sustainable underwater logging operations into Ghana.