Prices per tonne for the minerals including rutile and zircon jumped 26.5 per cent to Sh37,600 from Sh29,700, compensating for a 21.9 per cent drop in exports to 141,812 tonnes from 181,769 tonnes.
Total production also fell 3.2 per cent to 148,510 tonnes from 153,527 tonnes.
The multinational did not say the amount it paid in royalties but it usually remits 2.5 per cent of sales to the Kenyan government, indicating that the State could get more than Sh100 million.
Titanium sales of Australian mining firm Base Resources from its Kwale operation was flat at Sh5.3 billion in the second quarter ended June as reduced exports and higher prices of the commodity offset each other.
Prices per tonne for the minerals including rutile and zircon jumped 26.5 per cent to Sh37,600 from Sh29,700, compensating for a 21.9 per cent drop in exports to 141,812 tonnes from 181,769 tonnes.
Total production also fell 3.2 per cent to 148,510 tonnes from 153,527 tonnes.
The multinational did not say the amount it paid in royalties but it usually remits 2.5 per cent of sales to the Kenyan government, indicating that the State could get more than Sh100 million.
Titanium accounts for more than half of the value of Kenya’s mineral exports.
The multinational said it benefited from increased demand for zircon whose prices have continued to rise in the international markets.
“Zircon demand continued to be strong through the June quarter with volumes requested by customers remaining well above the company’s capacity to supply,” Base Resources said in its trading update.
“Indications of ongoing tight supply from major zircon sources through 2018 have supported further substantial zircon price increases. Base Resources has again secured significant price gains on zircon contracts for the September quarter.”
The multinational received value-added tax refunds of $1.4 million (Sh140 million) from the Kenya Revenue Authority in the review period.
The company is claiming a cumulative $21.3 million (Sh2.1 billion) from the taxman relating to both the construction of the Kwale project and the period since operations commenced.
“Base Resources is continuing to engage with the Treasury and the Kenya Revenue Authority, seeking to expedite the remainder of the refunds,” the multinational said.
