By NEIL HARTNELL

TRIBUNE Business Editor

nhartnell@tribunemedia.net

BAHAMA Rock yesterday denied it is using employees “as a bargaining chip” over the proposed Freeport Harbour expansion as it confirmed the temporary lay-off of 69 staff for a 60-day period starting on Monday, September 21.

The Grand Bahama-based aggregate miner, in a statement to Tribune Business, said it plans to “cease production” of aggregate and limestone next Friday, September 18, with business and construction industry executives warning the move could deprive contractors throughout The Bahamas of vital materials and, ultimately, spark a rise in local building costs if operations do not resume.

Bahama Rock said its decision was sparked by the “realities” that the firm’s existing source of aggregate and limestone is now “depleted” and unable to sustain commercially viable operations long-term. This has been compounded by uncertainties over whether it will receive the necessary government permits and approvals to access a fresh supply source through acquiring the 515-acre former Bahamas Cement Company property.

The extraction of aggregate and limestone from this site, if given the go-ahead, will also eventually facilitate Freeport Harbour’s near-270 acre expansion and increase its - and the island’s - value as an economic asset by creating a new turning basin and “deep-water berths”.

However, Bahama Rock’s proposal is facing significant opposition from residents in Eight Mile Rock and other nearby communities, who have voiced concerns about the potential environmental, noise and other impacts plus expressed fears about the effects the mining’s blasting will have on their homes and business properties. Several complained the company and government have failed to address concerns that previous blasting caused cracks to appear in their buildings.

Activist groups such as Preserving Paradise have also made clear their opposition, while Fred Mitchell, minister of foreign affairs and Immigration, in an August 7, 2026, statement asserted that the Government does “not support the proposed expansion of the Bahama Rock operation”. However, Bahama Rock rejected suggestions it is offering Grand Bahama and the wider economy “a choice between project approval and employee job losses”.

“That characterisation is simply incorrect,” the company, which is owned by Martin Marietta, the multinational aggregates, asphalt and ready-mixed concrete supplier, said. “Rather, it is a matter of responsibly communicating the operational realities facing Bahama Rock, its employees, customers and the broader Bahamian community.

“Bahama Rock has, for an extended period, been transparent and consistent in stating a simple fact: The company's existing limestone reserves are finite and are being depleted. To that end, Bahama Rock has communicated candidly with the Government while pursuing various alternatives to extend diminishing reserves.

“The Bahamas Cement Company property has the potential to provide access to adjacent limestone reserves to enable the continuation of operations, preserve existing employment and sustain the economic activity generated by the business that is vital for The Bahamas’ long-term prosperity.”

Besides the direct impact from its 84-strong workforce, and investment and spending in Grand Bahama’s economy, Bahama Rock reiterated that the supply of vital aggregates for the Bahamian construction industry and multiple resort and real estate-based developments in this nation is now also under threat if it does not receive the environmental and other approvals for a project that will create a new product source.

“The significance of this project extends well beyond Bahama Rock. The company's aggregates have, for decades, been a vital source of construction materials supporting infrastructure investment, residential development, tourism projects, commercial construction and economic growth throughout The Bahamas,” Bahama Rock said.

“Ensuring a reliable, long-term supply of these materials is important not only for the company's employees and customers, but for the continued development and competitiveness of Grand Bahama and the nation as a whole.”

Ralph Hebpurn, the Grand Bahama Chamber of Commerce’s president, yesterday backed Bahama Rock’s position by confirming to Tribune Business that “the entire Bahamas” - especially its construction and development sectors - will be impacted if the temporary halt to production becomes a long-term shutdown. Asserting that the Chamber is “not dismissing” residents’ concerns about the project, he added that the overall economic fall-out must be considered too.

Disclosing that he and Chamber executives met with Bahama Rock last week, and toured its plant, Mr Hepburn said the two sides had reviewed the fact that the company was “coming to the end of life for the current property, plus assessed its plans for “moving forward and how dependent they are on being able to access Bahamas Cement Company’s old property.

“Bahama Rock provided the majority if not all the material to build Baha Mar,” the GB Chamber president said. “Bahama Rock provides a lot of material for marinas throughout The Bahamas such as boulders. It provides material for construction in The Bahamas and other industries. It’s not only Grand Bahama that will be affected. It will affect the entire Bahamas.

“All the different types that are used - fill, sand, pea rock, what we call gravel - they provide all of that for the entire Bahamas. Unless we can find some place in The Bahamas to extract and find our own limestone material in The Bahamas, we will have to start importing. Importing will add costs, transportation costs. All that stuff. It’s not that we are dismissing the concerns of residents, but we need to look at it in totality and how Bahama Rock’s operation really impacts the Bahamian economy.”

Mr Hepburn added that the negative economic fall-out will go far beyond the loss of 84 jobs if Bahama Rock’s present temporary production pause becomes a long-term shutdown. “A lot of persons might look at it as 80 persons out of 20,000 in Grand Bahama,” he said.

“But that’s 80 families whose spending is affected. It means 80 households not paying utility bills. The utility customer base is further shrunk, which brings pressure for rate increases. That’s education, medical, government taxes. They support grocery stores. Directly it’s 84, but indirectly the impact flows through the entire Bahamas.”

Glennett Fowler, founder and group president of Heroic Group, which includes Heroic Concrete & Concrete Products, told Tribune Business that Bahama Rock’s predicament has created supply chain uncertainty for companies such as her’s and threatens to increase building costs just as a “significant increase” in construction business looms in 2027.

“It’s uncertainty right now,” she said. “We try to stockpile and prepare, but you don’t want to overdo that because you have weather considerations. Construction is going to see a significant increase in 2027 from all indications, so hopefully we can have alternative solutions or this is resolved in some amicable way. This is an environmental discussion as well as an economic one.”

Confirming that she and Heroic have been aware of the situation, Ms Fowler added: “Understandably, any prolonged disruption in the availability of locally-sourced aggregate could have implications beyond any one company. Aggregate and limestone are fundamental inputs for concrete, block manufacturing and construction generally, so reliable and competitively priced access to these materials is important to the industry.

“From Heroic’s perspective, we are assessing the potential operational and supply chain implications, and the alternatives available, should the disruption extend beyond the temporary period indicated. One of the broader concerns would be cost.

“If local supply becomes constrained and producers are required to source or import greater quantities of raw materials from elsewhere, the additional material, freight, handling and logistics costs could ultimately increase production costs for concrete and blocks and, by extension, impact the overall cost of construction.”

Ms Fowler, though, cautioned that it “would be premature to quantify” the impact, “or speculate on the possibility”, of Bahama Rock closing permanently. “Our immediate focus at Heroic is ensuring continuity of supply for our customers and managing any potential cost pressures as responsibly as possible,” she said.

“More broadly, however, this highlights the importance of ensuring Grand Bahama has resilient sources of critical construction materials and a regulatory environment that balances responsible development with the need to keep major industries operating and Bahamians employed.”

Tribune Business understands that the 60-day lay-offs, or furloughs, apply only to Bahama Rock’s 69 hourly employees and not its entire workforce. Aggregates production will cease on September 18, and the lay-offs take effect from the following Monday after the weekend, due to the conundrum created by depletion of current resources combined with uncertainty over whether the Government and its regulatory agencies will approve access to a new materials source.

Amid the production suspension, due to an inability to generate the required volumes, it is understood that Bahama Rock plans to review its operations and assess other possible business opportunities and partnerships that could sustain its business - including a potential restart.

“This matter is not about choosing between jobs and the environment. It is about working together to reach a mutually beneficial project resolution that ensures continued employment, community prosperity, future investment and the long-term availability of construction materials that are essential to building and maintaining The Bahamas,” Bahama Rock said in its statement.

“Any suggestion that Bahama Rock would use the livelihoods of its employees as a bargaining chip is wholly inconsistent with the facts and mischaracterises the company’s position. The simple fact of the matter is the existing Bahama Rock property is nearing the exhaustion of its currently permitted aggregate reserves. 

“As was stated in Bahama Rock’s notice to the Ministry of Labour, the recently-announced temporary lay-off of hourly employees reflects this reality and gives the company some time to assess how to best manage the impending shutdown. Bahama Rock is currently scheduled to cease production on September 18, 2026.”

Howard Thompson, the Government’s director of labour, confirmed yesterday to Tribune Business that Bahama Rock had informed it of its plans. “As far as the Department of Labour is concerned, they’ve complied with the statutory requirements,” he said.

“They would have advised the Ministry of Labour of the set of circumstances they find themselves in, the amount of affected employees and duration of the temporary lay-offs. My Department will monitor this closely, but there are any number of opportunities available to workers in those categories of workers.

“We are hopeful that Bahama Rock will turn around and bring back those staff, but there are tremendous opportunities for workers in these fields. Their skills are transferable - crane operators, welders, utility room personnel, heavy duty equipment operators.”

Bahama Rock, meanwhile, said it has not given up hope that the required permits, such as cerrtificates of environmental clearance (CECs) from the Department of Environmental Planning and Protection (DEPP), will eventually emerge.

“Bahama Rock respects the environmental review process and supports a thorough, science-based application evaluation,” it added. “The company remains committed to complying with all applicable laws, regulations and permitting requirements while continuing to provide stable, well-paid jobs and benefits, support local economic activity, and supply construction materials that are fundamental to the country's growth and development.

“We remain hopeful that decisions regarding the project will be based on the facts, the application’s merits and the long-term interests of the people, economy and infrastructure needs of The Bahamas and Grand Bahama. The company stands ready to continue working constructively with all stakeholders to achieve that outcome.”