Mining Cabinet Secretary Hassan Joho has confirmed the discovery of gold deposits valued at Ksh680 billion in Kakamega County and outlined measures to ensure that the local community benefits from the find.
In an interview on Thursday, November 13, Joho assured residents living near the mining site that their interests would be protected through formal agreements between investors and the local community.
"It is true that gold worth Ksh680 billion has been discovered in Kakamega, but that is only part of the find, it could be even bigger.
"The community surrounding the mining area should not worry about whether they will benefit from it, because as the Cabinet Secretary, I will ensure that there is an agreement between the investor and the community," he stated.
Joho noted that the government would hold talks with landowners to ensure fair compensation and protection of property rights.
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"There will be discussions with the landowners around the area to ensure they are secure and get value for their land; people cannot just be displaced," he added.
Joho also clarified that artisanal mining would not be feasible for most residents due to the depth of the gold deposits.
He explained that extracting the mineral would require advanced machinery, technical know-how, and significant financial resources.
"Not everyone can mine gold because it lies 1-2 kilometers underground, which requires special equipment, experience, expertise, technology, and major investment. The investment plan that Shanta Gold has brought to the ministry is worth $510 million," he further said.
Joho further revealed that the government has established a gold refinery in a bid to curb the export of raw minerals and increase transparency in the sector.
"As a government, we have built a gold refinery, meaning we will not export raw gold. We will process our gold into bullion to ensure high accountability," he stated.
Elsewhere, this comes a month after detectives from the Directorate of Criminal Investigations (DCI) arrested two suspected scammers in connection with orchestrating a $5.6 million (Ksh719 million) fake gold scam targeting an American businesswoman.
In a statement on Wednesday, October 15, DCI said the scheme masterminded by Michael Otieno Onyango and Andrew Clifford Otieno involved luring the American national to purchase 70 kilograms of non-existent gold.
"In the latest crackdown on fraud, a 'get rich quick' scheme masterminded by Michael Otieno Onyango and Andrew Clifford Otieno has been dismantled, thanks to the relentless efforts by detectives. The duo is implicated in a USD 5.6 million fraud scheme targeting an American businesswoman.
"The con involved luring the foreigner into what appeared to be a lucrative deal for 70 kilograms of gold," read the statement in part.
However, the businesswoman demanded confirmation of legitimacy from the Ministry of Mining before she made the transition.
The investor insisted that the gold must be verified through testing conducted by the Ministry.
"Though the scammers initially complied with her request, their plan unraveled when they failed to show up for a scheduled gold test," said the DCI.
The businesswoman decided to play along with the scammers after sensing inconsistencies from the suspects.
The two set up a second meeting with the businesswoman, and she was picked up from Yaya Centre by a supposed associate, who lured her under the pretense of grabbing a cup of coffee.
Instead, the American national was driven to Rose Villa Estate, where the elusive suspects awaited.
During the meeting, the scammers attempted to persuade her to finalize the phony deal, but their efforts fell on deaf ears.
"Sensing something was amiss, they suddenly grew suspicious and fled the scene in a blue Mazda CX-5, registration number KDP 336R," DCI stated.
Detectives who were trailing the scammers swiftly intercepted the vehicle and apprehended both occupants.
The duo was escorted back to House 27 at Rose Villa Estate, where a thorough search was conducted, and sleuths recovered two smelting machines and nineteen smelting moulds.
