Economy

Balala revokes licences of 65 mining companies

balala

Mining cabinet secretary Najib Balala cancelled the licenses in a Gazette notice dated March 30. PHOTO | FILE

Mining Secretary Najib Balala has cancelled 65 mineral exploration licenses opening up close to 4.5 million acres to new explorers.

The revoked licences included 15 belonging to companies or individuals who were mining or exploring for gypsum, according to a Gazette notice dated March 30.

Thirteen were for base and precious metals, 16 for all mineral types, nine for industrial minerals, eight for non-precious minerals, and four for gemstones.

Of these, 55 expired last year, nine expire this year and one was to expire in 2021.

A licence for a company operating in Tana River, for instance, expired in 2008, but it had been operating illegally until the revocation.

“From the date of the issuance of this notice, any mining activities by these persons or companies over the areas that are subject of the revoked licences shall be illegal,” Mr Balala said in the notice.

Investors interested in the mining sector have been urged to read the notice and identify the prospective regions where they can explore for minerals.

In the Gazette notice, Mr Balala notes that in addition to those that have expired, others were surrendered by the holders. The remaining licences belonged to companies that were non-performing or non-compliant, that is, they had breached the Mining law on mining licensing regulations.

Licences automatically expire annually where no application for renewal have been made. Exploration licences have a maximum period of five years.

Where any of the performance standards are not met, the Commissioner of Mines informs the prospecting right holder and seeks explanation for the breach within 21 days.

The Commissioner of Mines then recommends to the cabinet secretary to revoke such licences that have breached the Mining Law, Regulations or Conditions of the Grant.

The Cabinet Secretary for Mining upon receipt of such recommendations, has legal powers to revoke such licences.

Eight licences were classified as non-compliant - they were granted without complying with requirements of the law.

Some of the companies whose licences have been cancelled These companies and individuals were operating in Kericho, Uasin Gishu, Makueni, Kitui, Taita Taveta, Kajiado, Mandera, Samburu, Moyale, Lamu, Kilifi, Malindi, Turkana, Baringo, Kwale, Tana River, Migori, Nandi and Garissa.