Kenya and the United States are in the final stages of negotiating a major minerals agreement that could pave the way for the development of strategic mineral resources, including the vast deposits found at Mrima Hills in Kwale County.
President William Ruto revealed the progress of the talks after meeting US President Donald Trump on the sidelines of the G7 Summit in Évian, France, saying the two countries had agreed on key aspects of a deal that is expected to be concluded soon.
According to Ruto, the proposed agreement will focus on rare earth minerals and other strategic resources that are increasingly becoming important in the global economy.
“We’ve agreed with them on what is mutually beneficial between Kenya and the United States, and President Trump and the American administration are happy with it,” Ruto said in remarks reported by Reuters.
Among the other crucial considerations in the planned arrangement is the efforts made by the country to ensure that mining takes place locally rather than exporting the mineral resources in their raw form.
“The minerals will be processed in Kenya,” he said.
The strategy has been considered to affect Mrima Hills, a mineral rich region located in Kwale county which contains mineral resources valued at around Ksh8.1 trillion.
According to Ruto, speaking at the G7 summit, Africa needs to stop relying on the current economic strategy of extracting its raw minerals and then shipping them elsewhere for processing.
“The natural resources can no longer be exported and processed elsewhere. They have to be processed in-country and in-continent. We have to create value out of them,” he told world leaders.
The President said local processing would help create jobs, support industrial growth and increase the economic benefits that communities and countries derive from their natural resources.
His remarks reflect a growing push across Africa for value addition, with several countries seeking greater control over how their minerals are exploited and marketed.
Kenya is seeking to position itself as a key player in the minerals sector, with deposits that include rare earth elements, niobium, lithium, graphite, copper and nickel.
These minerals have become highly sought after globally because they are used in the manufacture of electric vehicles, batteries, renewable energy technologies and other advanced industrial products.
Ruto said his discussions with Trump focused on building partnerships centred on investment and industrial development rather than traditional aid programmes.
“We are going to reject any relationships that are based on the extraction of our natural resources,” he said.
The planned agreement comes at a time when major global powers, including the United States, China and European countries, are increasingly competing for access to Africa’s critical mineral resources.
Despite the growing competition, Ruto said Kenya would continue engaging all partners based on what best serves the country’s interests.
“There are opportunities for everybody,” the President said, adding that Kenya would pursue partnerships that support economic growth, industrialisation and job creation.
If finalised, the agreement could mark a significant step in Kenya’s efforts to build a value-driven mining sector and maximise the benefits from its untapped mineral wealth.