Mining firm sues Balala over revoked permit

Politics and policy

Mining and Natural Resources secretary Najib Balala. PHOTO | FILE 

By SANDRA CHAO-BLASTO

In Summary

• Megalith Mining Company said in court documents that the minister had promised to restore the permits after a meeting last month but the pledge had not been honoured.

A company with interests in Taita Taveta has sued Mining secretary Najib Balala following the cancellation of its special mining licence.

Megalith Mining Company said in court documents that the minister had promised to restore the permits after a meeting last month but the pledge had not been honoured.

Abhimanyu Garwal, the company’s director, claimed that they had written to the ministry in July appealing the decision and were invited to a meeting with Mr Balala by the commissioner of mines.

“Representatives did indeed attend the meeting on August 19 with the Mining secretary where lengthy discussions were held. After the meeting the applicant was informed by the minister that they would restore the licence upon the applicant submitting a business plan within two weeks,” Mr Garwal said.

Court documents show that the company was given a permit that ran for five years in 1996. This special licence was renewed in 2007 with a 20-year extension.

The licence allowed the firm to prospect, explore and mine precious as well as semi-precious stones within the county.

Megalith said that at the time of the revocation they had already started mining and had invested Sh1 billion in specialised treatment plants, equipment as well as constructed a 21 kilometre road to increase connectivity between its sites.