Mining, Blue Economy and Maritime Affairs Cabinet Secretary Hassan Ali Joho has ordered the immediate suspension of all mining operations by Tata Chemicals Magadi Limited over what the government describes as persistent regulatory non-compliance.
In a statement issued on Tuesday, the Ministry of Mining, Blue Economy and Maritime Affairs said the suspension will remain in force until the company fully complies with the provisions of the Mining Act, its regulations and all other applicable laws governing Kenya’s mining sector.
According to the ministry, the decision follows years of engagement between the State Department for Mining and Tata Chemicals Magadi Limited 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 legal frameworks.
The ministry said despite repeated consultations, several key compliance issues remain unresolved.
Among the concerns cited are the lack 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 (CDAs), insufficient employment and skills transfer plans for Kenyan citizens, weak procurement of local goods and services, and shortcomings in environmental compliance.
“The company has, therefore, been directed to submit comprehensive documentation and evidence demonstrating full compliance with all the statutory obligations and to address any outstanding liabilities before it can resume operations,” the ministry said.
Cabinet Secretary Joho said the government remains committed to ensuring Kenya’s mineral resources are managed responsibly and in a manner that benefits the country and local communities.
“The Ministry remains steadfast in its commitment to ensuring that Kenya’s mineral resources are exploited responsibly, sustainably, and in a manner that delivers maximum economic value to the country while safeguarding the environment and protecting the interests of host communities,” Joho said.
The suspension is expected to remain in effect until the ministry is satisfied that Tata Chemicals Magadi Limited has met all regulatory requirements and resolved the outstanding compliance issues identified by the government.
