The depletion of commercially viable titanium ore reserves in Kwale County is now jeopardizing the government’s ambitious targets for the mining sector.
As outlined in the 2023–2027 strategic plan by the State Department for Mining, the government aims to boost revenue from the sector from Sh15 billion in 2023/24 to Sh125 billion by 2027/28.
This projected growth is expected to be driven by accelerated mineral development, enhanced promotion and value addition identified as the first key result area (KRA) in the strategic plan.
However, Base Titanium’s announcement on the depletion of titanium ore reserves in Kwale County has cast doubt on the feasibility of these targets. Titanium mining contributes 65 percent to the country’s mineral production.
ALSO READ: Court Quashes Tender Ruling, Favors Minet in KRA Dispute
Base Titanium is currently undertaking land rehabilitation at its former mining site, following the depletion of titanium reserves. To support this process, the Ministry has extended the company’s contract by 15 years.
Earlier, the firm had issued redundancy notices to its employees due to the exhaustion of the ore reserves.
The final shipment of titanium exports departed on February 12, 2025, signaling the end of a decade long operation that generated billions of shillings in export revenue for the country.
“The State Department for Mining strives to boost the economy from mining activities by increasing the share of mining in the GDP from the current 0.8 percent to more than 10 percent by 2030 through increased exploration, mineral development and value addition,” reads the strategic plan in part.
The Voi Gemstone Centre has also been refurbished with its trading booths now leased out. In addition, the government has operationalized the National Mining Corporation its investment arm in the mining sector and initiated several mineral value addition projects.
These include the Kakamega Gold Refinery in Kakamega County, a Granite Processing Plant in Vihiga County and the revival of the Fluorspar factory in Elgeyo Marakwet County.
“These initiatives are expected to significantly enhance the mining industry’s contribution to the national economy,” the plan states.
According to the 2025 Economic Survey, the effects of this depletion is already being felt in the economy as the sector contracted by 9.2 percent in 2024, a further drop from a negative growth of 6.5 percent in 2023.
“The total value of minerals produced reduced from Sh33.8 billion in 2023 to Sh25.5 billion in 2024 mainly attributed to reduced earnings from titanium ore minerals,” the report says.
