Kenya Increases Royalties, Revokes New Mining Licenses

Kenya Increases Royalties, Revokes New Mining Licenses

From AllAfrica

The Kenyan government revoked all mining licenses granted early this year and announced intentions to hike royalties paid by companies operating in its nascent mining sector, AFP reported.

“I have today revoked all licenses [Prospecting, Exploration and Mining] issued between 14 January 2013 and 15 May 2013,” Secretary of Mining Najib Balala said in a statement from his ministry.

The move “follows a number of complaints regarding the issuance process,” the ministry said.

Balala said earlier this year his priority was to push through a new mining law to replace the now obsolete Mining Act that has existed for more than 70 years. The bill is now ready to be sent to cabinet, he said.

According to the Kenyan Chamber of Mines, more than 300 local and foreign firms are either prospecting for minerals or producing on a small scale, ten-times as many as three decades ago.

Read more at AllAfrica.