The national government has assured residents of Kwale County that it will release mineral royalties amounting to KSh 2.6 billion before Base Titanium’s mining licence expires on 30 June. Speaking during an inspection tour of the Base Titanium mining site in Kwale, Principal Secretary for Mining Harry Kimtai said the long-delayed funds, KSh 1.7 billion for the county government and KSh 900 million for local communities, will be disbursed as part of their rightful share from the lucrative titanium mining operations in the region.
“What is owed to counties and communities must be given to them because it is law and must be followed to the letter,” said Kimtai, noting that the Ministry of Mining is working closely with the National Treasury to ensure the timely release of the funds.
Base Titanium, a subsidiary of Australia’s Base Resources, has been extracting ilmenite, rutile, and zircon in Kwale since 2013. With its special mining licence set to lapse at the end of June, concerns have grown among local leaders and residents about whether communities will receive their fair share before the company winds down its operations.
Kimtai emphasized that the disbursement is a core component of the mine closure agreement. “It is the Ministry’s responsibility to follow up and ensure the county and affected communities receive what they are entitled to,” he said.
The government is also in discussions to grant Base Titanium an extension of up to 15 years, not for continued mining but to complete rehabilitation and restoration of mined-out areas. According to Kimtai, the rehabilitation process is currently 55 per cent complete. The remaining work, particularly around the tailings storage facility, requires more time to ensure environmental safety and effective long-term monitoring.
“The company has told us that the tailings storage facility requires time for rehabilitation and close monitoring. If rushed, it can be disastrous, and we agree with them,” he said.
To strengthen governance in post-mining land use, the Ministry of Mining will engage the National Land Commission and the National Environment Management Authority (NEMA) to review and update laws related to expired leases and environmental obligations.
Meanwhile, some of Base Titanium’s infrastructure, including a dam and a 132kV high-voltage power station, has been handed over to the Coast Water Works Development Agency and Kenya Power, respectively. These assets are expected to boost water supply and electricity connectivity in the region. Other equipment will be disposed of locally, re-exported, or transferred to relevant agencies to support community development.
The Principal Secretary also noted that discussions are ongoing with the Post-Mining Land Use (PMLU) committee regarding future land use. Final decisions will be made after public participation forums are completed.
Kimtai concluded by encouraging international investors to consider Kenya’s mining sector, citing the country’s wealth of mineral resources and a regulatory framework that promotes transparency, accountability, and a favourable business environment.
