President William Ruto has confirmed the government will re-advertise the Magadi mining contract, allowing several companies to bid for the multi-billion project after Tata Chemicals Magadi's exit.

🇰🇪 Breaking It Down

Ruto on Saturday, September 5, said the new contracts will require companies to process minerals locally, including establishing glass and chemical factories in Kenya.

Speaking in Kajiado County, he noted that the government could allow up to 10 companies to apply for mining rights, arguing that the resources in Magadi were large enough to support multiple investors.

“We are going to advertise afresh so that other companies, not one company, even up to ten companies, can apply because the resource we have in Magadi is big enough to sustain more than one company,” Ruto said.

📌 What You Need to Know

He reiterated that the new contracts will be designed to ensure that minerals extracted from Magadi are processed in Kenya rather than exported for value addition abroad.

Ruto also announced plans to limit the amount of land mining companies can occupy, saying investors will no longer control the entire 240,000 acres but only 20 to 30 per cent of the area.

“We are going to ensure that no company will occupy 240,000 acres of Kajiado land. They are going to occupy just 20 to 30 per cent of the land, and 70 per cent will go back to residents of Kajiado,” Ruto said.

He went ahead to defend his decision to terminate the previous contract, saying the agreement had disadvantaged residents while allowing resources from the area to be exploited for decades.

Ruto described the previous agreement as an 'exploitative contract' that had been in place for about 100 years, arguing that it could no longer continue under the same terms.

The President also hit back at critics of his decision , saying the government would not allow legal arrangements that he believes undermine Kenyans' interests.

📰 Source: Kenyans.co.ke