Spy agency gets Sh500m for minerals aerial survey

Kenya has proven deposits of titanium, gold and coal. FILE PHOTO | NMG

What you need to know:

  • The parliamentary Budget Committee says it has approved a Sh500 million budget for the spy-agency to participate in the year-long airborne survey.
  • Kenya is seeking to determine the quantity of its underground minerals. The ministry plans to spend Sh3 billion on the first phase covering Migori, Homa bay, Siaya, Kakamega, Busia and neighbouring counties.
  • Kenya has proven deposits of titanium, gold and coal. The country is also understood to hold significant deposits of copper, niobium, manganese and rare earth minerals.

The National Intelligence Service (NIS) will oversee the Chinese firm contracted to conduct a survey to map its mineral deposits amid fears foreigners could use the data for own benefit.

The parliamentary Budget Committee says it has approved a Sh500 million budget for the spy-agency to participate in the year-long airborne survey.

Mining PS John Omenge told Parliament that safety and security of Kenya’s wealth would be a high priority once the Chinese undertake the aerial mapping of minerals.

“We will ensure that we don’t lose information and show what we don’t have to. I asked the director of geological survey last week and he said they had a meeting with security arm over this aerial mapping,” he said.

Kenya is seeking to determine the quantity of its underground minerals. The ministry plans to spend Sh3 billion on the first phase covering Migori, Homa bay, Siaya, Kakamega, Busia and neighbouring counties.

Kenya has proven deposits of titanium, gold and coal.

The country is also understood to hold significant deposits of copper, niobium, manganese and rare earth minerals.

President Uhuru Kenyatta created the Mining ministry in 2013 in efforts to diversify the economy which relies mainly on tourism and agriculture.

The survey is expected to start in western Kenya where gold has been discovered.

Successive governments have had little success in trying to develop Kenya’s mining potential, with poor infrastructure and an outdated legal framework discouraging foreign exploration companies.

In 2016 a new law came into effect, which includes giving the government a 10 per cent share, known as free carry interest, for projects that meet yet-to-be determined minimum investment thresholds.

It also sets the average rate of royalties for the government for various minerals at six per cent, with miners paying a lower rate when they process the minerals locally.

MPs raised fears that the Chinese may spy on Kenya's minerals.

Mr Omenge said the involvement of the security in the planning for the aerial geological survey was not thought earlier on.

“They never considered this from beginning. This will now be considered going forward that we involve security,” he told Parliament.

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