Cabinet Secretary for Mining, Blue Economy and Maritime Affairs Hassan Ali Joho has ordered the immediate suspension of operations at a major mining company, citing what the government describes as persistent failures to comply with Kenya’s mining laws.
The move is among the strongest regulatory actions taken against a large-scale mining operator in recent years. It signals the government’s determination to tighten oversight of the sector, improve revenue collection and ensure that communities benefit more directly from the country’s mineral wealth.
According to the Ministry of Mining, the suspension will remain in place until the company demonstrates full compliance with the Mining Act and all other relevant regulations governing the industry.
Officials said the decision followed years of discussions between the State Department for Mining and the company over its legal obligations. Despite those engagements, the ministry said several key issues had not been resolved.
Among the concerns raised are the absence of a clear plan for mineral processing and value addition within Kenya, unresolved royalty reconciliation and payment obligations, gaps in export reporting, inadequate implementation of Community Development Agreements, and shortcomings in employing and training Kenyan workers.
The ministry also cited limited procurement of locally available goods and services, alongside concerns over environmental compliance.
“The operations have been suspended until the company fully complies with the Mining Act, its Regulations and all other applicable laws governing Kenya’s mining sector,” the ministry said in a statement.
The company has been instructed to submit documentation proving it has met all statutory requirements and settled any outstanding obligations before its licence to operate can be reinstated.
Joho said the government would continue enforcing the law across the mining industry to ensure that Kenya’s natural resources deliver lasting economic benefits while protecting communities and the environment.
“The Ministry remains steadfast in its commitment to ensuring that Kenya’s mineral resources are exploited responsibly, sustainably, and in a manner that delivers maximum economic value to the country while safeguarding the environment and protecting the interests of host communities,” Joho said.
The Mining Act, 2016, introduced sweeping reforms to replace Kenya’s colonial-era mining laws. The legislation established a modern legal framework aimed at increasing transparency, strengthening regulation and ensuring a fairer distribution of benefits from mineral extraction.
Under the law, royalties are shared between the national government, county governments and host communities. Large-scale mining firms are also required to sign Community Development Agreements, prioritise Kenyan workers where possible and source goods and services locally.
The Act further introduced an online mining cadastre system to improve transparency in licensing and reduce disputes over mineral rights. It also brought artisanal and small-scale miners into the formal regulatory framework while placing greater emphasis on environmental protection and the rehabilitation of mining sites after extraction ends.
The ministry did not identify the company affected by the suspension or indicate when operations might resume, saying the decision will depend entirely on the firm’s ability to meet all legal and regulatory requirements.
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