NAIROBI, Kenya, Sept 3 – President William Ruto has announced that a new investor will take over mining operations at Lake Magadi following the revocation of Tata Chemicals Magadi’s licence in July this year.
Speaking in Kajiado County today during a development tour, the Head of State said the new investor will be required to set up glass and chemical factories before being issued with a licence.
The President blamed Tata Chemicals Magadi for failing to invest in the local economy and infrastructure despite decades of operations in the area.
“Niliambia Kajiado County………tuko na raslimali kubwa ambayo inaweza kubadilisha Kajiado County na taifa letu la Kenya. Ile kampuni ya Tata pale wamekuwa na hiyo kandarasi miaka 100 hawajajenga chochote Kajado, hajaweka kiwanda chochote Kajado, hawajaajiri watu wowote Kajado. Mimi juzi nikawaambia fungeni mtoke ama namna gani,” President Ruto said.
“Tunaelewana ama hatuelewani? Hawa watu watembee bwana. Watu wanakaa hapa wanachukua mali yetu wanapeleka India. Wanachukua mali yetu wanapeleka mahali ingine. Tumesema tutaleta kampuni mpya na masharti ya hiyo kampuni mpya waweke kampuni kubwa ya kutengeneza glass hapa Kajiado County na kampuni ingine ya kutengeneza chemicals hapa Kajiado County ama namna gani.”
About two months ago, Mining, Blue Economy and Maritime Affairs Cabinet Secretary Hassan Ali Joho said Tata Chemicals Magadi’s licence had been suspended over regulatory non-compliance, citing breaches of statutory obligations under Kenya’s mining laws.
Joho listed outstanding compliance issues including the absence of a clear mineral beneficiation and value addition strategy, unresolved royalty reconciliation and payment obligations, and inadequate export reporting and reconciliation.
However, last month, the firm said it had submitted the required regulatory compliance documents to the Ministry of Mining, Blue Economy and Maritime Affairs for review as it sought reinstatement of its licence. It added that the continued suspension threatened about 500 jobs.
Tata Chemicals Magadi, owned by Tata Chemicals Limited, a subsidiary of India’s Tata Group, produces soda ash (sodium carbonate) and other salt and industrial mineral products from trona deposits at Lake Magadi.
Soda ash is a key raw material used in industries such as glass manufacturing, detergents and industrial chemicals, while refined soda products are used in applications including water treatment and manufacturing.
