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Kenya: New Investor to Take Over Lake Magadi Operations After Tata Licence Revocation

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Kenya: New Investor to Take Over Lake Magadi Operations After Tata Licence Revocation
Image · AllAfrica

What the report says

President William Ruto said a new investor will take over mining operations at Lake Magadi after the government revoked Tata Chemicals Magadi’s licence in July. He made the remarks during a development visit to Kajiado County, where he said the incoming company would need to commit to building glass and chemical manufacturing facilities before receiving a licence.

According to the Capital FM report distributed by AllAfrica, Ruto accused the long-time operator of failing to deliver enough local investment, jobs or infrastructure in the area. The comments came amid a wider dispute over Tata Chemicals Magadi’s regulatory status and its role in Kenya’s mineral economy.

Mining, Blue Economy and Maritime Affairs Cabinet Secretary Hassan Ali Joho had earlier said the licence was suspended for non-compliance, citing issues such as value-addition plans, royalty reconciliation and export reporting. Tata Chemicals Magadi later said it had submitted compliance documents and warned that the suspension could affect about 500 jobs. The company produces soda ash from trona deposits at Lake Magadi, a mineral used in glass, detergents and chemicals. The planned transition matters because Lake Magadi is a strategic industrial site and the government appears to be tying future access to greater local processing and investment.

Read the full report at AllAfrica →

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