What ails Kenya’s mining sector

 Operations at the Base Titanium Mining Plant in Kwale County in this photo taken on June 29, 2022.

Photo credit: File | Nation Media Group

Kenya’s mining sector has historically flown under the radar, known primarily to those entrenched within the industry. However, recent civil unrest and the burgeoning demands of Generation Z (Gen Z) for better governance have thrust this sector into the spotlight, revealing the significant mineral wealth beneath our feet.

This newfound attention is not only a clarion call for the sector’s potential profitability, but also a sobering reminder of the substantial costs and challenges associated with mineral discovery, extraction, and refining.

Kenya’s mineral exploration since independence has predominantly been spearheaded by private companies. Over the years, these companies have identified various mineral deposits countrywide.

The 2022 nationwide airborne survey, which revealed 970 different anomalies, underscored the untapped potential. These anomalies—unusual findings in soil or rock—indicate possible valuable mineral deposits, guiding geologists on where to explore further. However, the journey from anomaly to viable mining project is fraught with financial and technical challenges.

The cost of detailed ground exploration to determine mineral abundance and quality is steep, requiring sophisticated machinery and highly skilled personnel. The viability of any mining project rests heavily on the accuracy of these exploration results. Inadequate data on recoverable volumes and mineral grades can render a project economically unfeasible, emphasising the need for meticulous and costly exploration efforts.

Once viable mineral deposits are confirmed, the extraction phase presents its own set of hurdles. This stage demands substantial investments in land acquisition, legal documentation, machinery, and human resources.

Setting up a medium- to large-scale mining operation is a formidable task, with payback periods ranging from three to 10 years. A critical barrier to these operations in Kenya is the inconsistent and inadequate power supply.

Reliable and substantial power is crucial for mining machinery and overall operational efficiency. Unfortunately, Kenya’s current energy infrastructure is ill-equipped to support large-scale mining operations, a glaring red flag for potential investors.

Refining minerals is the final, yet equally crucial, stage. This phase involves massive processing facilities, advanced technology, and the safe disposal of hazardous by-products, known as tailings. The complexity and cost of refining are significant, particularly for industrial and strategic minerals.

For example, the 17 rare earth minerals found locally are relatively easy to extract but require intricate and expensive refining processes due to their similar chemical properties. This demands substantial power, sophisticated machinery, and a comprehensive disposal plan for hazardous waste. Other minerals like limestone, gypsum, iron ore, and coltan face similar refining challenges, which can heavily impact the overall profitability of mining operations.

Mining is a capital-intensive endeavour where the final product represents a fraction of the total investment. Kenya faces three major issues: inadequate exploration capacity, insufficient power for operations, and limited refining capabilities. Addressing these challenges is paramount if Kenya is to unlock the full economic potential of its mineral resources.

This is where Kenya’s vibrant and restless Gen Z can make a transformative impact. Their agitation for better governance, transparency, and job opportunities aligns perfectly with the needs of the mining sector.

Gen Z’s push for change can drive the government to improve infrastructure, particularly in the energy sector, making it more attractive for mining investments. Their demand for job opportunities can be met by creating a robust mining sector that offers employment at various stages—from exploration to extraction to refining.

Moreover, Gen Z’s tech-savvy and innovative mindset can introduce new technologies and methodologies in the mining process, enhancing efficiency and reducing costs. Their environmental consciousness can ensure that mining operations are sustainable, balancing economic growth with ecological preservation.

The untapped mineral wealth in Kenya holds the promise of substantial economic growth. However, realising this potential requires addressing the current exploration, power, and refining challenges.

The fervour and demands of Gen Zs for a better Kenya can catalyse the necessary changes, transforming the mining sector into a cornerstone of Kenya’s economic future. The synergy between the government, private sector, and youthful population can elevate Kenya’s mining industry, creating a prosperous and sustainable economic landscape. working with artisanal and small-scale gold miners in Migori.

The writer is a Mining and Mineral Processing Engineer.
 

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