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Institutions

Institutions

The Cabinet Secretary for the Ministry of Mining, Blue Economy and Maritime Affairs provides overall policy guidance and direction in the Mining sectors. The Cabinet Secretary is the Principal Administrator of the Mining Act, 2016.

The Mineral Rights Board (MRB) is established under Section 30 of the Mining Act No 12 of 2016.

The functions of the MRB, as per Section 31 of the Act, are advising the Cabinet Secretary on;

  1. Grant, rejection, retention, renewal, revocation, variation, assignment, trading, tendering, transfer of mineral rights and mineral agreements;
  2. The areas suitable for small scale and artisanal mining;
  3. The areas where mining operations may be excluded or restricted;
  4. The declaration of certain minerals as strategic minerals;
  5. Cessation, suspension, or curtailment of production in respect of mining licenses;
  6. Fees, charges and royalties payable for a mineral right or mineral; and
  7. Any matters which under the Act, are required to be referred to the Mineral Rights Board.

The Board is made up of 9 (nine) members appointed as follows:

  1. A chairperson with demonstrable knowledge and experience of the minerals and mining sector, who shall be appointed by the President;
  2. The Principal Secretary responsible for mining;
  3. The Principal Secretary responsible for the National Treasury;
  4. One person who has relevant qualifications or experience in mining, geology, geophysics or engineering, nominated by the Council of County Governors;
  5. The Chairperson of the National Land Commission;
  6. The Director of Geological Surveys;
  7. Two persons with professional qualifications and experience in the mining industry; and
  8. The Director of Mines who shall be the secretary to the Mineral Rights Board.

The Geologists Registration Board is established under the Geologists Registration Act No. 10 of 1993 with the responsibility of registering and regulating activities and conduct of registered geologists in Kenya.
The Board is made up of seven (7) members who shall be persons eligible for registration under the Act and, where practicable, resident in Kenya.

  • Four persons appointed by the Cabinet Secretary responsible for Mining; and
  • Three persons appointed by the Geological Society of Kenya.

A National Mining Corporation (NMC) is provided for in the Mining Act as an investment arm of the National Government in respect to minerals. The corporation is responsible for investing on behalf of the government through 10% free carry interest in mining firms or through purchase of shares floated on the Nairobi Securities Exchange or similar arrangements. NMC can undertake mining business either alone or through partnership. Already, the Cabinet approved the establishment of NMC and an acting chief executive officer (CEO) appointed in 2018.

The functions of the Corporation include: -

  • engaging in mineral prospecting and mining; and any other related activities;
  • investing on behalf of the national government;
  • acquiring by agreement or hold interests in any undertaking, enterprise or project associated with the exploration, prospecting and mining;
  • acquiring shares or interest in any firm, company or other body of persons, whether corporate or unincorporated which is engaged in the mining, prospecting, refining, grading, producing, cutting, processing, buying, selling or marketing of minerals; and
  • carrying out its business, operations and activities whether as a principal agent, contractor or otherwise, and either alone or in conjunction with any other persons, firms or bodies corporate.

The Corporation shall be managed by a Board which will comprise of—

1.    A chairman, appointed by the President;
2.    the Principal Secretary responsible for mining or a representative
3.    the Principal Secretary responsible for the National Treasury or a representative;
4.    the Principal Secretary responsible for trade or a representative; and
5.    three other persons, not being employees of the corporation.