Mining Cabinet Secretary Hassan Ali Joho l ordered the immediate suspension of all mining operations by Tata Chemicals Magadi Limited over what the government says is persistent failure to comply with Kenya’s mining laws and regulations.
In a statement issued on Wednesday, the Ministry of Mining, Blue Economy and Maritime Affairs said the suspension will remain in force until the company fully complies with the Mining Act, its regulations and all other applicable legal requirements governing the country’s mining sector.
The ministry said the decision followed years of engagement between the State Department for Mining and the company over its statutory obligations under the Mining Act, the Mining (Licence and Permit) Regulations, 2017, the Mining (Royalty Collection and Management) Regulations, 2024, and other relevant legal frameworks.
According to the ministry, several key compliance issues remain unresolved despite the prolonged consultations.
These include the absence of a clear mineral beneficiation and value-addition strategy, outstanding royalty reconciliation and payment obligations, inadequate export reporting and reconciliation, poor implementation of Community Development Agreements, insufficient plans for employment and skills transfer to Kenyan citizens, weak procurement of locally sourced goods and services, and environmental compliance shortcomings.
The ministry has directed Tata Chemicals Magadi to submit comprehensive documentation demonstrating full compliance with all statutory requirements and to settle any outstanding obligations before it can be allowed to resume mining operations.
CS Joho said the government remains committed to ensuring that Kenya’s mineral resources are exploited responsibly, sustainably and in a manner that maximizes economic benefits for the country while protecting the environment and safeguarding the interests of host communities.
The company employs hundreds of workers who depend on its operations for survival.
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