Kenya Finds Gold Deposits Worth Over KSh 680b Kakamega County

• British company Shanta Gold Kenya Ltd has revealed large gold deposits in Ikolomani constituency in Kakamega county
• The National Environmental Management Authority (NEMA) has confirmed receiving the environmental impact assessment report from the company.
• Shanta predicted that it will pay the government millions in royalties and Mineral Development Taxes

The British company Shanta Gold Kenya Limited has allocated 208 million dollars (KSh 26.87 billion) for underground gold mining in Kakamega county.

This came after discovering gold deposits estimated at 5.28 billion dollars (KSh 683.04 billion).

The company has submitted an environmental impact assessment (EIA) report to the National Environmental Management Authority (NEMA) requesting permission to build an underground gold mine and processing facility in the Isulu-Bushiangala area.

“NEMA has received the EIA study report from Shanta Gold Kenya Limited for the proposed Isulu-Bushiangala underground gold mining project in Musoli and Isulu Areas, Kakamega South sub-county, Kakamega county,” NEMA confirmed this in a public hearing notice on its website.

Also read

Kenyan Newspapers: The opposition coalition is increasingly clueless as to how to remove Ruto from power in 2027

According to Daily Nationplans to mine the precious metal for more than eight years.

Shanta Gold Kenya is a subsidiary of Shanta Gold, a British Isles corporation based in Guernsey, with operations in the country Tanzania.

What is the estimated gold production in Ikolomani?

The Isulu-Bushiangala Project is part of Shanta’s seven mineral exploration licences, which cover parts of the western counties of Kenya and are known as the Western Kenya Project.

Shanta estimates that 1,270,380 ounces of ‘very high grade gold’ will be extracted from Isulu and Bushiangala areas in Ikolomani constituency of Kakamega.

“The massive outcrops of rock that hold gold ore in the Isulu and Bushiangala sediments are surrounded on one side by mudstones and carbonate sands and on the other by high-grade volcanics and polymict assemblages,” it said.

The company said in October that it had applied for NEMA’s approval to set up a $137 million (KSh 17.7 billion) mining project at Ramula, East Gem and Mwivona in Siaya in Vihiga county.

Also read

Ruth Odinga Sends a Mystical Message After Kalonzo’s Visit to Opoda Farm

What is the price of gold?

Since the average price of one ounce of gold is currently $4,111.39 (KSh 530,985), the deposits in Kakamega are worth KSh 683.04 billion, or 2.3 times the total value of the county.

The gold is worth 4.1% of Kenya’s GDP, which is 16.224 trillion.

According to Shanta’s estimates, it will pay the Kenyan government royalties of between $4.3 million (KSh 555.34 million) and $4.7 million (KSh 607 million) annually as well as $1.5 million (KSh 193.7 million) for Mineral Development Tax.

What is the value of minerals in Mrima Hill?

In related news, Mrima Hill emerged as a centerpiece in the international quest for precious minerals.

The hill contains one of the largest deposits of rare earth minerals in Africa, which are used in modern electronics, renewable energy systems, and electric vehicles.

Cortec Mining estimates that the minerals are worth KSh 8 trillion.

Also read

Kenyan Newspapers: Ruto crossroads about 2027 co-candidate, he has 2 cards ODM and Kindiki in hand

Read ENGLISH VERSION

Do you have an exciting story that you would like us to publish? Please contact us via news@tuko.co.ke or WhatsApp: 0732482690.

Source: TUKO.co.ke