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Deal #3353

Location

Location #1

Spatial accuracy level
Exact location
Location
Kwale, Kenya

Latitude
-4.397127694254714
Longitude
39.44013349614261
Target country
Kenya
Comment on location
50km from Mombasa, 10km Inland from the coast.
General info

Land area

Intended size (in ha)
1661
Size under contract (leased or purchased area, in ha)
[2010] 1661
Comment on land area
The Special Mining Lease measuring 1,661 hectares is located within the Kwale Exclusive Prospecting License area of 56000ha.

Intention of investment

Intention of investment
Mining
Comment on intention of investment
Ilmenite, Rutile and Zircon

Nature of the deal

Nature of the deal
Exploitation permit / license / concession (for mineral resources)
Comment on nature of the deal
Mine life is 13 years. The Special Mining Lease specifies that, on completion of mining, the land will be rehabilitated for the benefit of the community. The Mine Closure Plan is the driver for identifying post-mining land use (small-scale farming, commercial farming, forestry, community wildlife sanctuary, etc.) with affected communities and other stakeholders.

Negotiation status

Negotiation status
[2010] Concluded (Contract signed)

Implementation status

Implementation status
[2011] Startup phase (no production)
[2013] In operation (production)
Comment on implementation status
Discussions with Tana River County Council (2011). Record production achieved in October- December 2015.

Contract farming

Contract farming
No
Employment

Number of total jobs created

Jobs created (total)
Yes
Current number of jobs (total)
[2015] 599
[2017] 699
Comment on jobs created (total)
Over 800 people are currently employed (2015) by Base and its contractors. Of these 60% are from Kwale County and 95% are Kenyan. The Project supports an additional 2,600 jobs through indirect (supply chain) and induced (consumer spending) activity. In 2017- 97% of employees are Kenyan and 65% from Kwale County.

Number of jobs for foreigners created

Jobs created (foreign)
Yes
Current number of jobs (foreign)
[2015] 45

Number of domestic jobs created

Jobs created (domestic)
Yes
Current number of jobs (domestic)
[2015] 554
Investor info

Operating company

Operating company
Base Titanium Ltd (#36837)
Name of investment project
Kwale Sands Project Minerals
Comment on investment chain
Tiomin Kenya Ltd originally incorporated in Canada, changed ownership many times, since 2010 part of Base Iron

 

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Data sources

Data source #1

Data source type
Media report
URL
http://www.australian-shares.com/mining/BSE
File
Comment on data source
Australian Shares- BASE RESOURCES LIMITED

Data source #2

Data source type
Media report
URL
http://www.nation.co.ke/video/-/1951480/3181488/-/format/xhtml/-/daeakuz/-/index.html
File
Date
2016-04-29
Comment on data source
Kwale Mineral Sands project makes significant economic contribution

Data source #3

Data source type
Media report
URL
http://www.standardmedia.co.ke/ktnnews/video/watch/2000107227/-the-kwale-mineral-sands-project-shows-great-potential
File
Comment on data source
The Kwale Mineral Sands Project shows great potential

Data source #4

Data source type
Company sources
URL
http://basetitanium.com/kwale-project/project-overview
File
Comment on data source
Company website

Data source #5

Data source type
Company sources
URL
http://www.baseresources.com.au/investor-centre/reports/annual/
File
Comment on data source
Base Resources Annual Report 2012

Data source #6

Data source type
Media report
URL
http://www.miningweekly.com/article/kwale-delivers-record-quarter-for-base-2016-01-20
File
Date
2016-01-20
Comment on data source
Mining Weekly- Kwale delivers record quarter for Base

Data source #7

Data source type
Company sources
URL
http://basetitanium.com/kwale-project/project-economic-contribution
File
Comment on data source
Base Titanium’s total economic and tax contributions in Kenya Prepared for Base Titanium March 2015, Prepared by EY.

Data source #8

Data source type
Company sources
URL
http://www.baseresources.com.au/wp-content/files/151012_BSE_ASX_release_annual_report_final.pdf
File
Comment on data source
Base Resources, Positioning for growth, 2015 Annual Report

Data source #9

Data source type
Media report
URL
http://www.the-star.co.ke/news/2016/06/22/base-titanium-gets-nod-to-expand-kwale-mine_c1373298
File
Date
2016-06-22
Comment on data source
Base Titanium gets nod to expand Kwale mine

Data source #10

Data source type
Other (Please specify in comment field)
URL
https://ejatlas.org/conflict/titanium-mining-in-the-kwale-district-kenya
File
Comment on data source
EJOLT- Titanium Mining in the Kwale District, Kenya

Data source #11

Data source type
Media report
URL
http://www.proactiveinvestors.com/companies/news/132929/base-resources-to-ship-first-minerals-from-kwale-mineral-sands-project-52828.html
File
Date
2014-02-13
Comment on data source
Base Resources to ship first minerals from Kwale mineral sands project

Data source #12

Data source type
Media report
URL
https://www.miningreview.com/news/tiomin-sells-kwale-mineral-sands-project-in-kenya/
File
Date
2011-04-04
Comment on data source
Tiomin sells Kwale mineral sands project in Kenya

Data source #13

Data source type
Research Paper / Policy Report
URL
http://mipakani.net/sites/default/files/uploaded_pdf_documents/Base%20Titanium%20-%20non-technical%20esia%20summary%20report%20rev1%20low%20res.pdf
File
Comment on data source
Base Titanium Ltd (2012) Environment and Social Impact Assessment Summary Report S U M M A R Y R E P O R T

Data source #14

Data source type
Company sources
URL
https://www.baseresources.com.au/wp-content/files/BSE_2017_Annual_Report.PDF
File
Comment on data source
Annual Report 2017
Local communities / indigenous peoples

How did the community react?

Community reaction
Consent

Displacement of people

Number of people actually displaced
5000
Comment on displacement of people
A coalition formed of local communities and human rights organizations called Coast Mining Rights Forum opposed the mega-project, as it called for the displacement of 5,000 indigenous Digo and Kamba people and would contaminate local soil and aquifers with heavy metals.

Promised benefits for local communities

Promised benefits for local communities
Health
Education
Productive infrastructure (e.g. irrigation, tractors, machinery...)
Roads
Capacity Building
Other
Comment on promised benefits for local communities
Base contributes to the Kenyan community through its Community Development Management Plan (“CDMP”), which was formed in collaboration with local communities. By the end of financial year 2014/15 the company had invested over US$ 5 million in the local community. For more information on the community development see EY report: Base Titanium's total economic and tax contributions in Kenya, March 2015.
Former use

Former land owner (not by constitution)

Former land owner
Private (large-scale farm)

Former land use

Former land use
Other
Comment on former land use
Winning of titanium from sand dunes

Former land cover

Former land cover
Other land (e.g. developed land – specify in comment field)
Produce info

Detailed crop, animal and mineral information

Resources area
Ilmenite

Use of produce

Has export
Yes
Export
100
Country 1
China
Comment on use of produce
Reaches habour via 50km road. The company also has storage facilities at the habour.

In country processing of produce

In country processing of produce
Yes
Comment on in country processing of produce
Mineral separation plant
Water

Water extraction envisaged

Water extraction envisaged
Yes

Source of water extraction

Source of water extraction
Groundwater
Surface water (River)
Comment on source of water extraction
Local aquifer and Mukurumudzi River.
Overall Comment

Overall comment

Overall comment
The project enjoys support from the local government.
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