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CS Ali Hassan Joho details profit-sharing plan for Ksh680B Kakamega gold discovery between government, county and locals

Mining and Blue Economy Cabinet Secretary Ali Hassan Joho has confirmed the discovery of gold deposits in Kakamega valued at approximately Ksh680 billion, marking a major milestone in Kenya’s mineral exploration sector.

Speaking on an interview on Thursday, Joho said the discovery was made within the Lirhanda Corridor, a 1,200-kilometre mineral belt that cuts across Kakamega and Vihiga counties. He noted that the actual value could be higher once full extraction begins.

Joho revealed that a British mining company had already identified the specific area where the gold is located and had committed Ksh26.8 billion to establish a mining and processing plant in the region. Once operational, the project is expected to become Kenya’s first large-scale underground gold mine.

“This is a landmark discovery that will benefit both the national government and local communities. Our goal is to ensure that every Kenyan benefits from the country’s natural wealth,” said Joho.

According to the CS, the revenue from the gold will be distributed between the national government, county government, and the local community through royalties, taxes, and levies. Three per cent of the total value will go to royalties, five per cent as an export levy, one per cent will be channelled directly to the local community, and 10 per cent of the asset will be held by the government on a free-carrying basis.

Joho also announced that residents will benefit from job opportunities, training, and direct investment, noting that mining operations will stimulate the regional economy and create new business prospects.

Addressing concerns about foreign involvement, Joho clarified that the depth of the gold—over one kilometre beneath the surface requires advanced technology that Kenya currently lacks.

“You and I as ordinary citizens cannot mine at that depth. It calls for expertise and machinery that we simply do not have,” he explained.

The CS further assured artisanal miners that they would not be displaced, promising that the government will demarcate separate zones for small-scale mining.

On compensation, Joho said any displacement of residents will follow due process and that all affected persons will receive adequate and fair compensation.

His remarks came amid growing debate over the role of foreign investors in Kenya’s extractive sector, with some citizens expressing concern that foreign dominance could limit local gains.

Joho, however, maintained that partnerships with international firms are key to unlocking Kenya’s untapped mineral potential and positioning the country as a competitive mining hub in East Africa.

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