The Government has suspended Tata Chemicals Magadi’s mining operations over regulatory non-compliance, citing breaches of statutory obligations under Kenya’s mining laws.
Mining, Blue Economy and Maritime Affairs Cabinet Secretary Hassan Ali Joho said the suspension follows the company’s failure to meet requirements under the Mining Act, Cap. 306, the Mining (Licence and Permit) Regulations 2017, the Mining (Royalty Collection and Management) Regulations 2024, and other applicable legal frameworks.
The outstanding compliance issues include the absence of a clear mineral beneficiation and value addition strategy, unresolved royalty reconciliation and payment obligations, and inadequate export reporting and reconciliation.
The company has also been cited for weak implementation of Community Development Agreements (CDAs), inadequate employment and skills transfer plans for Kenyan citizens, limited procurement of local goods and services, and environmental compliance gaps.
“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,” CS Joho said.
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.
By Kevin Rotich
Source: allafrica.com
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