The Mining (Amendment), Bill, 2023 (National Assembly Bills No 51) Of 2023

Legislative progress

Introduced / Published: 1 Sep 2023

○ First Reading
○ Second Reading
○ Committee of the Whole House
○ Third Reading
○ Presidential Assent

Current status: [Bills Tracker NA. Bill No. 51 of 2023] 1/09/2023 | 14/09/2023 | 149 | 12/10/2023

Stage dates are back-filled from publication records and Hansard, and refined by editors. Some dates may be approximate or not yet recorded.

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United Democratic Alliance · Nakuru Town East Constituency

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Notes

Source: https://www.parliament.go.ke/sites/default/files/2023-09/THE%20MINING%20%28AMENDMENT%29%2C%20BILL%2C%202023%20%28NATIONAL%20ASSEMBLY%20BILLS%20NO%2051%29-compressed.pdf

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SPECIALISSUE

Kenya Gazette Supplememr No.149 (National Assembly Bills No.51)

REPUBLICOFKENYA

KENYAGAZETTESUPPLEMENT

NATIONALASSEMBLYBILLS,2023

NAIROBL,1stSeptember,2023

CONTENT

Bill for Introduction into the National Assembly-

The Mining(Amendmeot) Bill,2023

PAGE

1457

THEMINING(AMENDMENT)BILL,2023

ABill for

AN ACTof Parliament to amend the MiningAct

ENACTED by theParliament ofKenya as follows-

1.This Act may be cited as the Mining (Amendment)
Shonile. Act,2023.
2.The Mining Act,in this Act referred to as the "principal Act",is amended in the long title by inserting the wordsto establish the Mining Regulatory Authority:to establish the MiningRights Tribunalimmediately after the words"apply to minerals"
3.Section 2 of the principal Act is amended in subsection (2) by inserting the words in consultation with the Authority.'immediately after the word'Secretary'
4.Section 4of the principal Act is amended by
alphabetical sequence

Amendmen of thelongdtleof No.12of2016.

Amendmen af

secton2ofNo.12

Amendment af seclon4of Na.12

(a)inserting the following new definitions in proper of2l6
"Authority"means the Mining Regulatory Authority
established under section 30:and

Tribunalmeans theMining Rights Tribunal established under section31N.

(b)in the definition of"community"by inserting the following newparagraphimmediatelyafter paragraph (b)
(c)the people living in a sub-county in which a mineral resource is situated and are affected by the exploitation of such resources.
(c) deleting the definition of"artisanal mining"and substituting thereforthefollowing
definition--

"artisanal mining"means mining operations

methods,without necessarily any formal training:
(a)that are carried out by a person,groups or cooperatives using mostly basic equipment and
(b)whose capital investment is not more than one million Kenya shillings:and

(c)where thevertical depth ofexplorationor excavation is up to thirty meters deep.
(d) deleting the definition"Mineral Rights Board"
5.The principal Act is amended by deleting section 5 and substituting therefor the followingnew section-

Guiding Principles.

5.The values and principles enshrined in the Constitution and in particular Article 10,66(2),201(c)and(d)and232ofthe Constitution and the principles of leadership and integrity set out under Chapter Sixof the Constitution shall apply in the administration
ofthis Act.
6.Section 7 of the principal Act is amended in subsection (2)bydeleting the words "Mineral Rights Board"and substituting therefor the word"Authority"
7.Section 9 of the principal Act is amended by deleting the words "Cabinct Secretary"wherever they appear and substituting therefor the word"Authority"
8.Section 12of the principal Act is amended by
(a)deleting subsection (l);and
(b)deleting subsection (2).
9.Section I3 of the principal Act is amended-
(a)by deleting the marginal note and substituting therefor the following new marginal note-

"Declaration of areas reserved for small scale

(b)insubsection (l)bydeletingthewords "Mineral Rights Board,and substituting therefor the words"Authority":and
(c)in subsection (2)by inserting the words "on the recommendation of the Authority"immediately
after the words"Cabinet Secretary.

Amendmen of seelion5ofNo.12 oF2016.

Amendment of ection 7of No. af2016.

Amendment of seci9ofNo

12of2016.

jouwpusy secln 12of No

12or2016.

Amendnent of cb 13of No 12of2016.

and
10.Section 14 of the principal Act is amended
(a)by deleting the marginal note and substituting
therefor the following new marginal note

"Declaration of areas rescrved for tendering":

(b)in subsection (1) by deleting the words"in a manner as may be prescribed in Regulationsand substituting therefor the words "on recommcndation of the Authonity.by notice in the
Gazelte":and
() o ()
recommendation of the Authority"immediately after the words"Cabinet Secretary"
11.Section 15 ofthe principal Aet is amended
(a)by deleting the marginal note and substituting therefor the following new marginal note
"Restriction or cxclusion of areas from operations
(b)in subsection (1) by deleting the words"Mineral Rights Boardand substituting therefor the words "Authority".
12.Section 16 of the principal Act is amended
(a)in subsection (1) by inserting the words "on
recommendation of the Authority.immediately after the word"Secretary":and
(b) in subsection (3) by deleting the words "Mineral Rights Board"and substituting therefor the word "Authority".
13.Section 20 of the principal Act is amended-
(a)in subsection (l)by
(1)deleting paragraph (c):
(ii)deleting paragraph(d);
(ii) deleting paragraph (e):

Amendment od ctoo I4of No. 12.of2016.

Amendment of

seclion 15of No. 12ef2016

Arendmat of seelion I6of No.

Amendmet of ccn 20 of No 12of2016.

(iv) deleting paragraph (f):
(v)deleting paragraph (g):
(vi)deleting paragraph (j): and
(vii) deleting paragraph (l).
(b)by deleting subsection (2):
(c)by deleting subsection (3)):and
(d)insubsection (4) bydeleting the expression "subsection (2)and (3)"and substituting therefor the expression"subsection (l)"
14.Section 21 of the prineipal Act is amended
(a)by deleting paragraph (h):and
(b)by deleting paragraph (k).
15.Section 29 of the principal Act is amended by deleting the words *Cabinet Secretary"and substituting therefor the word"Authority"
16.Theprincipal Act is amended by deleting section 30 and substituting therefor the following new section

Establishment of the Aushority.

30.(1) There is established the Mining Regulatory Authority.
(2)The Authority shall be a body corporate withperpetualsuccession,a comimon seal and shall in its corporate name be capable of--
(a) suing and being sued;
(b)taking.purchasingor otherwise acquiring. holding,chargingor disposing of movable and immovableproperty:
(c)borrowing and lending money:and
(d)doing or performing all other things
or acts for the furtherance of the provisions ofthe Act which may be lawfully doneor performed bya body corporate.

Amendment of ction 2lof No. 12of2016.

Amendmetof ection 29of No:12of2016

Repealand replcemen of wection J0 of No 12of2016.

(3) Except as otherwise provided in this Act,the Authority shall be independent in the performance of its functions,exercise of itspowers and shall not be subject to the directionor controlof anypersonor authority.

2. 17.The principal Act is amended by deleting section 3. 31 and substituting therefor the followingnew sections

Functions of the Authority.

31.The Authority shall

(a)regulate-
(i)exploration,extraction,production. processing.refining.transportation, storage exportation,importation, and sale of minerals:and
(ii)production,coversion, disnbution,
supply.marketing and use of mineral resources;
such infonmation and statistics inrelation tomineral exploration and mining operations in Kenya to the Cabinet Secretary as may be required from time to
(b)provide time:
(c)collect,maintain-and manage data
on minerals and mining activities in Kenya;
(d)receive, review and grant an application foranon-exclusive exploration:
(e)promote capacity building in both mining operationsand mineral
processing:
(f)inspect and test any machinery or cquipment that has been used,is used,or shall be used in mining operations toensure and enhance
safety:

Repealand mpbcenent or secti 31 of Na 12of2016.

(g)assess field development plans and makerecommendations tothe Cabinet Secretary for approval. amendmentor rejection of the plans;
(h)in coordination with relevant statutory authorities,assess tail-end production and cessation of mining operations and oversee decommissioning by a contractor,
(i)undertake verification ofproduction toallow for cstimation pue assessment of royalties and profits due to the National Govemment: andprovide information and data to relevant authorities for collection of taxes and fees;
(j)work with the relevant statutory authoriticsto formulate,enforce and review environmcntal.health. safety and quality standards for the mining sector,
(k)ensure that contractors uphold the relevant laws,regulation,and terms of mining agreements;
(l)take such action as is necessary to ina any
cnforce thercquirements mining agreement or regulations andtoprotect the environment, the health and safety ofworkersand the public:
(m) prescribe the form and way any
application forany authority, consent or approval under the law relating to mineral activities shall be made:
(n)cnforce local content requirements;
(o)issue operational permits and noncxclusive exploration permits in accordance with the law relating to

Authasity.

mining and mineral related activities:
(p)maintain accurate data and provide such informationon dataand statistics to the Cabinet Secretary as the Cabinet Secretary may from time to time require;and
(q)perform such other functions may beassigned by the Cabinet Secretary,this Act or any other
written law.
31A.(l) The Authority shall have all
powers necessary for the performance of its functions under thisAct and in particular,the Authority shall have the power to
(a) issue.renew,modify,suspend or revoke licences and permits for all undertakings and activities in the mining sector:
(b) set,review and approve contracts, tariffs and charges for common user mining logistics facilities and
(c)prescribe the form and manner in which anyapplication for any authority. licence, approval under this Act shall be made andthe feespayablein
miningproducts:
respect of such application;
issued under this Act:
(d)make andenforce directions to ensure compliance with this Act and with the conditions of licenses
(e)issue orders in writing requiring acts or things to be performedor done,prohibitingacts or things from being performed or done,and may prescribe periods or dates upon, within or before which such acts or things shall be performed or done or such conditions shall be fulfilled:

(f):formulate.set,enforce and review environmental,health,safety and quality standards for the energy sector in coordinationwii: other statutory authorities;
(g)investigate and determine complaints or disputes between parties over any matter relating to licencesandlicenceconditions under this Act:
(h)enter.inspect and search any premises which any undertaking relating tomining operations,where an offence is beingcommitted or is suspected to have been committed;
()inspect,takesoil samplesor specimens of rocks,concentrate tailings or mineralsfrom any licence orpermit area for the purpose of examination or assay;
(j)break up the surface of the land for the purpose of ascertaining the rocksor minerals within or under it: and dig up any land and fix any post,stone,mark or object to be sued in the survey of such land;
(k)examine books,accounts,vouchers, logs, joumals,documentsor records ofany kind required to be kept under this Act, the tems and conditions of any mineral right, permit, licence or mineral agreement and taking copies of such books,accounts,vouchers, documents or records;
(l)impose such sanctions and fines not exceeding one hundred thousand shillings per violation per day for a maximum ofthirty days:

Bond ofthe Authority.

(m)impose such sanctions and civil
fines not exceeding five hundred thousand shillings per violation per day to secure compliance with ordersissuedunderthelaw relating to mining:and
(n)take or remove,for analysis,testing
or for use in evidence in connection with the commission of an offence under the law relating to mining. samplesofmineralsor other substances from any arca where any mining operations are being carried on.
(2)ln exercisingthe powersunder subsections(l) a duly authorized officer of the Authority shall ensure that as little damage or inconvenience as possible is caused to the legitimate owner or lawful occupier of the land in respect of which
the powers are exercised.
(3)A person whose land orproperty is damaged as a result of the exercise of the powers under subsection (l)is entitled to fair.prompt and full compensation for such damage in accordance with this
31B. (l) The management of the
oftheAuthority consisting of
Authority shall vest in the Board of Directors
(a)a chairperson with demonstrable knowledge and experience of the minerals and mining sector,who
shall be appointed by the President:
(b)the Principal Secretary responsible for matters relating to mining:
(c)the Principal Secretary responsible for mattersrelating to environment;
(d)the Principal Secretary responsible
for the National Treasury:

(e)the Chairperson of the National Land Commission:
)the
Attormey-General ora representative appointed in writing:
(g)oneperson who has relevant qualificationsor expenence m mining.geology.geophysics or cngineering.nominated by the Councilof Govermors:
(h)two pcrsons,not being public officers, with professional qualifications and experience in the mining industry.one representing the civil society:and
(i) the Director-General,who shall be an ex-officio member.
(2)The Cabinet Secretary shall appoint by notice im the Gazete,the persons under subsection (1) (g)and (h).
(3)Aperson shall be qualified for
appointment as a chairperson or member of the Board if that person-
(a) is a citizen of Kenya;
(b)holds a degree from a recognized university.in geology,geophysics, mining.engineering. cconomics, business administration or law;
(c)has expericnce in the mining sector ofnot less than ten years in the case of the chairperson and five years in the case of any other member,and
(d) satisfies therequirements Chapter Six of the Constitution.
of
(4)A person shall not be qualified for appointment asa chairperson or member of theBoard,if that person
(a) is an undischarged bankrupt;

Vacancy

(b)suffersfrom physical or-mental intirmity which renders-him-or her incapableofdischarging the function ofthe Board;and
(e)has been convicted ofan offence
whosetermofimprisonment exceeds six months.
(5)The chairperson and members of theBoard appointed under subsection (l)(g) and (h) shall hold office for a period of three years and may be eligible forre-appointment for one further term.
(6)Appointments under this section shall reflect gender balance as well as regional and ethnic diversity of the people of Kenya.
31C.The office of the chairpcrson ora memberof the Board shall become vacant if theholder-
(a)dies:
(b)resigns from office by notice.in writing addressed to the appointing authority:
(c)is convicted of a criminal offence ands sentencedtoatermof inpnisonment:
(d) term ofoffice expires,
(e)is absent fromthreeconsecutive meetings of the Boardwithout good causc,or
(isremoved from office for any of the following grounds-
(i)violation ofthe Constitution
or any other written law;
(i)grossmisconduct;
(ii)mability to perform
functions of thc office arising

Remuncrasoe and

allowanco

Procedureofthe

Board

Comnilleesof the Board.

Dheector-Ceneral outof physicalor mental infirmity:

(iv)incompetence or neglectof
(y)bankrupicy.
duty:or
3ID.The chairperson and members of the Board and the staffof the Authority shall bepaid such remuneration or allowances as the Authority may.on the advice of the Salariesand RemunerationCommission, determine.
31E.(1) The business and affairs of the Board shall be conducted in accordance with the Third Schedule.
(2)Except as provided in the Third
Schedule.the Board may regulate its own procedure.
31F.(l)The Board may.for the effective discharge of its functions,establish committees.
(2)The Board may co-opt into the membershipofacommittee established under subsection(l).apersonwhose knowledgeandskillsareconsidered necessary for the effective discharge of the
functions of the Authority
(3)A person co-opted into-a committee under subsection (2)may attend themecetingsofthecommitteeand participate in its deliberations,but shall not
vote at such meeting.
31G.(1) The Board shall,through an open, transparent and competitive recruitment process,appoint a suitably qualified person to be the Director-General
for the Authority.
(2)A person shall be qualified for appointment as the Director-General to the
Board if the person-
(a)is a citizen ofKenya:

(b)holds aMaster's degree from a university recognized in Kenya;
(c)has had at least ten years proven
experience at management level:
(d)has expenience in mining.geology and related fields:and
(e)meets the requirements of Chapter
Six of the-Constitution.
(3)The Director-General shall serve
on such terms and conditions as the Board may determine.
(4)The Director-General shall hold office for a term of five years but may be eligible forre-appointment
(5)The Director-General shall,in the performance of the functions and duties of office,be responsible to the Board
(6)TheDirector-General shall-
(a) be the Chief Executive Officer of the Authority:
(b)be the accounting officer of the Authority:and
(c)beresponsible for
(carrying the
inlo effect decisions of the Board:
(i) supervision of the staff of the
Authority:and
(i)performing such other duties asmay be assigned by the
Board.
(7)TheDirector-General maybe removedfrom office by the Boardin accordance with the terms and condition of service,for-
(a)inability to perform functions of the office arising out of physicalor
mental infimity:

Sealofthe Aihorty

(b)grossmisconduct:
(c)incompetenceornegligenceof
duty:
(d)violation of the Constitution.and
any other written law:or
(e)any other grounds-spccified in the terms and conditions of service of secretary.
(8)Where the question of the removal
of the Director-General under-subscction (7) arises,the Board shall-
(a)informtheDirector-Generalin writing of the reasons for the intended removal:and
(b)give theDirector-Generalthe
opportunitytobeheardin accordance with the principles of fair administrative action prescribed under Article 47of the Constitution.

Coponton Seocury.

31H. (l) The Board shall.hrough an open, transparent and competitive recruitment process,appoint asuitably qualified personto bethe Comoration Secretary to theBoard.
(2)The Corporation Secretary shall be responsible for arranging the business of the Board,keepingrecords of proceedings of theboard and shall perform such other duties as the Board may direct.
(3)In performance of his or her duties, ihe Corporation Seeretary shallbe responsible-to the Director-General.
(4)The Board may in the absence of the CorporationSecretaryappoint any member.of the Board or staff to temporarily perform the funetions of the secretary under
subsection (2).
31l.(1) The seal ofthe Authority shall be such device as may be determined by the

Ppevuna fun

proml liatnliry.

Funk-of-he Authonty.aocual estimales md bools Board and shall-bekept in such a manner that the Board may determine.

(2)The affixing ofthe seal shall be authentiealed by the chairperson or-any other person authonzcd in that behalf by resolution of the Board.
(3)Any document purporting to\_be under thesealofthe Authority orissued on behalf ofthe Board shall bc admissiblein cvidence in the absence of any proof to the contrary andshall be decmed to bcso cxecutedor issued,as the cascmay -be, without furtherproof.
31.l. Nothing done by a member of the Authority or by any person working under the instructions of the Board shall,if done in good faith for the purposc of execuling the powersfunctions or duties of the Authority under the Constitutionor this Aclrendersuchmemberorofficer personally liable for any action,claim or demand.
31K.(1) The funds of the Authonity shallconsistof
(a) levies nol exceeding one half ofa percent on the sales of electricily
andpetroleum products;
(b) licence fees;
(c)such monies or asseis as mny accrue to or vest in the Authority in the course of the exerciseof is powersor the pertormance ofils functionsunder this Act:
(d)such moniesasmay be provided by Parliament for the purposcs of thc
Authority:
(e)any revenues generated from any proprietary interestheld by the Authoritywhethermovable or immovable:

Deciuonsaribe Authorty.

Appcalagainsta decisaon ofthe Auhority.

(interest from bank deposits:and
(g)all monies from any other source provided for or donated or lent to the Authority.
(2)Anymonies collectedbythe Authority includinglevies,fines and penalties in excrcise of its functions shall be paid into the Consolidated Fund.
(3) The financial year of the Authority shall be the period oftwelve months euding on the thirtieth day of June in each year,
(4)Theannualestimatesbooksof accounts,audits andreports shallbe prepared in accordance with the provisions of the Public Audit Act.2015 and any other relevanl laws.
31L. (l) The Authority shall within sixty daysfrom thedate ofreceiptofarequest by an applicant,make its decision on any
matter before it.
(2)A decision of the Authority shall be in writing and any order given and reasons thereof shall be served upon all parties to the proceedingsandmaybepublishedin the Gazerfe asprescribed by regulations.
(3) The Authority shall.within seven days of-making a decision,communicate such decision to the parties involved.
(4)All ordersof the Authority shall become effective on the date ofentry thereof. and shall be complied with within the time prescribed therein.
(5)Where the Authority does not make adecision as provided in subseclion (l) the appellant may appeal to the Tribunal within seven days of the expiry of the prescribed
period.
3iM.(l) A person aggrieved bya decision of the Authority may appeal to the

Minng Righs

Tahumal Tribunal within thirty days of receipt of the decision.

(2)Notwithstanding subsection (1).the Tribunal may cntertain an appeal after the expiry ofthe thirty-day period ifit issatisfied that there was sufficient cause for not filing it within that period.
3IN.(1) There is established the MiningRightsTribunal which shall comprise ofthe followingmembers
(a)a chairperson,nominated by the Judicial Service Commission,who shall be a person qualified for appointment as a judge of the High Court-of Kenya:
(b)an advocate.of the High Court of Kenya nominated bythe Law Society of Kenya:and
(c)threepersons with demonstrated competence:inmining maltters. including land,energy. mining. water and manitime affairs.
(2)All appointments to the Tribunal shall be by name and by Gazerte Notice issued by the Chief Justice
(3)The members of the Tribunal shall beappointed at different times so that the respective expiry dates of their terms of office shall fall at different times.
(4)Amemberofthe Tribunal shall hold office fora term of threeyears and shall beeligiblefor re-appointment for-onc
further term.
(5)The officeofamember of the Tribunal shall become vacant-
(a)at the-expiration of three years from the date of appointment:
(b)if the member accepts any oftice the holding of which,if he or she

were not a member ofthe Tribunal wouldmake himineligiblefor appoinment totheoffice of-a

memberof the Tribunal:

(c)if themcmber is removed Irom ChiefJusticeforfailureto
membership of the Tribunal by the discharge the functions of his or.her office or tor grossmisconduct:or
(d)if the member resigns from the office ofmemberof theTribunal.
(6)The membersof-the Tribunal shall. at their first mecting.elect from amongst themselvesavice-chairpersontothe Tribunal.
(7))The chairperson and vice-
chairperson shall be of opposite gender.
(8)In the absence of-the chairperson, the vice-chairperson shall serve as the acting chairperson for the duration of the absence of the chairperson and the acting chairperson shall perform such functions and exercise such powers as if that person were the
chairperson.
wnuonbauL(6) for-hearingor determining any cause or matter before the Tribunal under this Act shall be three members.
(i0) A member of the Tribunal who has a direc interest in any matter which is the subjectof the proceedings beforethe Tribunal shall not take part in those proceedings.
(l1)Thereshall be paid tothe chairperson and the members of the Tribunal such remuneration amd allowances as the Chief Justice,on the recommendation of the Salariesand Remuneration Commission. shall determine.

Junsbction.

(12)TheChiefJustice.maymake

nules-

(a)prescribing-the manner in which an appeal shall be made to theTribunal and the fees to be paid in respect of allappeals;
(b)prescribing the procedure tobe adopted by the Tribunal in hearing an appeal and the records to be kept by the Tribunal:
(e)preseribing the manner in which the Tribunalshall beconvened and places where and the time at which the sintings shall be held:and
(d)generally for the better carrying out oftheprovisionsofthisAct relating to the Tribunaland appcals made.toit.

310.(1)Any person who is aggrieved by-

(a)the grant, refusal, revocation. suspcnsion or variation of a licence or permit under this Aet
(b)theimposition ofany condition, limitationorrestriction on the persons lieenecor permitunder
thisAct:
(e)the amount of money rcquired to paid as under this Act:or
(d)anydecision oftheAuthority relating to-mining-rights.may within twenty-epht days after the occurrence ofthe decision.made under subsection (l) whichthe person is dissatisfied,appeal to the Tribunal in such manner as may be prescribed bytheTribunal.
(2)Unless otherwise expressly
provided in this AcLwhere thisAct

Poctedings-ofthe

Trbonal the Dircctor-General,the empowers Authority or committeesofthe Authority-to make a decision,the decision may be Eubject lo an appeal to the Tribunal in accordance with such procedures as may be established by the Trbunal for that purpose.

may
(a)confirm, set aside or vary the order ordecision in question:
(b)exercise any of thepowers which could have been exercised by the Authornity in the proceedingsin connection with which the appeal
isbrought;
(c)make such -other order,including ordersto enhance the principles-of sustainable development andan order for costs,as it may deem just.
(d)if satisfied upon application by any party.issue orders maintaining the which is the subject of the appeal until the appeal is determined:
(e) if satisfied upon application by any party.reviewany orders made under paragraph (a).
31P.(1) The Tribunal-shall not be bound by the rules ofevidence asset out in Evidence Act (Cap.80).
(2)The Tribunal shall.upon an appeal made to i in writing by any party or a referral made to it by the Authority on any matter relating to this Act. imquire into the matter and make an award,give directions, make orders or make decisions thereon,and every award,direction,order or decision made shall be notified by the Tribunal to the parties concemed, the Authority or any

Awirds of he

Tribunal relevant committee thereof,as the case may be..

(3) The Tribunal shall sit at sueh times

2. and in such places as it may appoint 3. (4)Tbe proceedingsof theTribunal shall be open to the public save where the Tribunal,for good cause.otherwise directs. 4. (5)Except asexpressly provided in thisActoranyregulations made thereunder.the Tribunal shall regulate its proceedings as it deems fit. 5. (6)Any person who is a party to the proceedings before the Tribunal may appear inperson orbe represented byanadvocate.

31Q.(1) TheTribunalmay

(a)make such orders for the purposes of securing the attendanee of any personatanyplacewhere the Tribunal is silting.discovery or productionofany documenl concerningamatterbeforethe Tribunal or the investigation of any contravention of this Act as it deems necessary or expedient;
(b)take evidence on oath and may for
that purpose administer oathsor aflirmations:or
(e)on its own motion summon-and
hear any person as witness.
(2)Any person who-
(a)fails toattend the Tribunal after havingbeen required to do so under
subsection(l)(a):
(b)refuses to take oath or affirmation before the Tribunal or bcinga public officer refuses to produce any article or document when lawfully required to do so-by the Tribunal:

Apecah to helligh

Loun

Powepapomt

(c)knowingly gives false evidence or information which he or she knows tobemisleadingbeforehe Tribumal:or
(d)at any sittng of the Tribunal
(i)wiHfully insults.any member orofficerofthe Trbunal,
(u)-wilfully. interrupis the procecdings or commits any contempt of the Tribunal:
(i)failsor neglects-toorder. direction or notice confirmed bythe Tribunal,commitsan oflence under this Act.
31R.(l)A person aggnieved bya
decision ororder ofthe Tnbunal-may.within fourtcen days of such decision or order. appeal againsl such dccision or order to the High Court.
(2)No decision or orderof the Tribunal shall be enforced until the time for lodging anappeal has expiredor,where the appeal has been commenced,until the-appeal has been deternined.
(3) Notwithstanding the provisions of subsection (2),whcre the Director-General is satisfied that immediate action must be taken toaven senous injunies,the Direclor-General shall have the power to take such reasonable action to stop.alleviate orreduce such injury. including the powers to close down any undertaking.until the appeal is finalized or the time for appeal has expired.
(4) The decision of the High Court-on any appeal under this scction shall be final.
3IS.The chairperson ofthe Tribunal knowledge on mining matters which are the
subject matter of any proceedings or inquiry

Pplectian fn persral hahility.

belore the Tribunal to act as assessors in an advisory capacity in any case where it appears tothe Tribunal that such spccial skills or knowledge arerequired for proper

determination ofthe malter.

31T.(l)Thechairperson or other members ofthe Tribunal slall-not be liable to be sued in a civil court foran act done or oimilted to be done orordered to be done by them in the discharge of their duty as members of.the Tribunal.-whether or not within thelmitsoftheirjurisdiction. provided they.at the:time,in good faith.believedthemselves tohave jurisdicuontodoor ordertheact complained of:and no offer.of the Tribunal orother person bound to cxecute the lawful warrants.orders or other-process of the Tribunal shall be liable to be sued in any court for thc cxecution of a warrant,order orprocess which he would have been bound toexecute if within the junisdiction of the Tribunal.
(2)lt shall be an offence for-any
person to-engage in acts or muake omissions amounting to contempt ofthe Tribunal and the Tribunal may punish such person for contempt in accordance with the provisions ofthisAct

Secreur andstaffol

31U.The Chief Justice shall appoint the secretary to the Tribunal and such othcr staff ofthe Tribunal as may be necessary for the performance ofits functions.

the Tnbonal

18.Section 32 ofthe principal Act isamcnded
(a)in subsection (l) by deleting the words"Cabinet Secretary.on recommendation of theMineral Rights Boardand substituting therefor-the word
"Authority:and
(b)in subsection (4)by deleting the words"Mineral Rights Boardand substituting therefor the word
"Authority".
19.Section 33 of the principal Aet is amended

Amkndmentof

Na. 12ef2016

Ameshned ef 33

(a)by deletingthewords"Cabinet Secretary"
wherever they appear and substituting therefor the word"Authority":
(b)in subsection (2) by deleting-the words"shall,on recommendation ofthe Mineral RightsBoard":
(c)by deleting subsection (3):and
(d)in subsection(7) by deleting the words"High Court within thirty-daysand substituting therefor.the word"Tribunal"
20.Section 34 of the principal Act is amended
(a)bydeletingthewords"Cabinet Secretary wherever they appear and substituting therefor the word"Authority",
(b)in subsection (4)by insertingthewords "potentially impacted by the grant of a license immediately after the-word"community":and
(c)in subsection(5) by deleting the words
"through the mineral Rights Board"
21.Section 36 of the principal Act is amended
(a) in subsection (1) by deleting the words"Cabinet Secretary"and substituting therefor the word
"Authority";
(b)in subsection (2)
()by deleting the words"Mineral Rights Board shall,prior to recommending to the Cabinet Seeretary the grant ofand substituting therefor the wordsAuthority shall prior to granting-a';and
(ii)in paragraph (h) by deleting the words "Cabinet Secretary"and substituting therefor the word"Authority":and
(c)in subsection (3)by deleting the words"Cabinet Secretary"and substituting therefortheword "Authority"

No.12of2016

Anenoem or scn34of No.12cf2016

Amcndment-af cton 36 ofNo. 12of2016

22. Section 37 of the principal Act is amended by 2. (a) deleting the wordsprospecting and mining-right" 3. wherever they appear and substituting therefor the words"mining licence,mining permit or artisanal permi";and 4. (b)byinsertingthe followingnew subsection 5. immediately after subscction (3) 6. (4)For avoidance of doubt.an applicant for a mining right shall only require consent prior to comumencing minng-opcrations. 7. 23.Section 38 of the principal Act is amended by 8. (a)deleting the wordsprospecting and mining right wherever they appear and substituting therefor the words"mining licence,mining permit or artisanal permit';and 9. (b)by insertingthe followingnewsubsection immediately after subsection (3) 10. (3A) For avoidance of doubt,an applicant for a mining right shall only require consent prior to commencingmining operations. 11. 24.Section 40 ofthe principal Act is amended in wherever they appear and substituting therefor the word 12. subsection (l) by deleting thewordsCabinet Secretary "Authority" 13. 25.Section 41of the principal Act is amended in 14. substituting therefor the word"Authority" 15. 26.Section 42 of the principal Act is amended by deleting the wordsCabinet Seeretary"wherever they appear and substituting therefor the word"Authority"

Amendmait of SecboeJ7af No. 12of2016,

Amendment of so38of No.122010

Amendoen ofclon40 cNo.12o 2016.

Amendmea ofn41 ofNo.12 2016.

Aneidment ofscelo42 oo12d 2016.

27.Section 43 of the principal Act is amended in

Ameadient n4 oNo.12d 2016.

subsection (2) by deleting the words "Cabinet Sccretary" "Authority"
28.Section 45of the principal Act is amended by deleting the words"Principal Secretary"and substituting therefor the word"Authority"

Amendmeai ofscn45 ofNo.2of 2016.

29.Section 46 of the principal Act is amended in subsection(I)by deleling the words"Cabinet Secretary and substituting therefor the word"Authority"
30.Section 49of the principal Act is amendedby deletingthe words"CabinetSecretarywherever they appear and substituting therefor the word"Authority
31.Section 51 of thc principal Aet is amended by deleting the words"Cabinet Secretarywherever they appear and substituting therefor the word"Authority"
32.Section 52ofthe principal Act is amended by deleting the words Mineral Rights Boardand substituting thereforthe word"Authority"
33.Section 53 of.the principal Act is amended by deleting thewords"Cubinet Secretarywherever they appear and substituting therefor the word"Authority"
34.Section 54ofthe principal Act is amended by deletingthewords "Cabinet Secretary"wherever they appear and substituting therefor the word"Authority

Anenbu octinn46 2016

Amcodneim ofcn49 2016

Amcolmen t5

2016,

Ameadsest

2016

o.32 o1

Amendnenl.ot ocboa Sjof No.102016

Ameedment of

ain54 No.12of2016.

35.Seclion 55 of the principal Ael is amended-in subsection (I) by inserting the wordsin consultation with the Authority"immediately after the word"Secretary

Amendmem of scet S5af No.12of2016

36.Section 57 of the principal Act is amendedin subsection (1)by deleting the wordsCabinet Secrelary and substitutingtherefor the word"Authority"
37.Section 58of the principal Act is-amended-by deleting the words"Cabinet Secretary"and substituting therefor the word"Authority"
38.Section 6lofthe principal Act is amended-
(a)in subsection () by deleting the words"Cabinet Secretaryand substitutingtherefortheword
"Authority":
(b)by deleting subsection (2)and substituting therefor the followingnew-subsection--
(2)An applieant for a reconnaissance licence shall provide the Authority with information on the area in respect in which the reconnaissance licence issought and any other informationrequired by the Authority as may be prescribed by Regulations.
(c)in subsection (3)

Amendmmt-or secion-57of No.1of2016

Amundm o cuon Ssof

Amendmenl of

6F No 1262016.

(i)by deleting the words Cabinet Secretary.on recommendation ofthe Mineral Rights Board and substituting therefor the word"Authority": and
(ii)by deleting paragraph (b)andsubstituting
therefor the-following new paragraph
(b)adequate technical competence and geologicalexpertisetocany onthe reconnaissance operations;
39.Section 62 of the principal Act is amcnded in
subsection (2) by deleting the words "Cabinet Secretary and substitutingtherefor the word"Authority"
40.Section 63of the principal Act is amended by
deleting the words"is not"and substituting therefor the words"shall be"

41. Section 66 of the principal Act is amended by

deleting the words "Cabinet Secretary"and substituting therefor the word"Authority".

42. Section 67 of the principal Act is amended

(a)in subsection (1)
(i)by deleting the words"Cabinet Secretary wherevertheyappearandsubstituting therefor the word"Authority":
(i)by deleting paragraph (a):
(ii)by deleting paragraph (b):
(iv)by deleting paragraph (c):
(v)by deleting paragraph (i:
(vi)by deleting paragraph (j): and
(vi) by deleting paragraph (k):
(b)by deleting subsection (2);and
(c)in subsection (3) by deleting the words-"areabased annua!chargeand substituting therefor the
words"annual fee".
43.The principal Act is amended by deieing section

Amendmeot of seetien62-of No.12of2016.

Aroendnent or ct 63eNa. 12or2016.

Amcden of ketion-6sot No.12 af2016

Amendmem of

seelnn 67or Na 12of2016.

44.Section 69 of the principal Act is amended in subsection (2)by deletingthe words"Cabinet Secretary "Authority"
45.The principal Act is amended by deleting section
70.
46.Section 71 of the principal Act is amended in subsection (2) by deleting the words"Cabinct Secretary wherever it appears and substituting therefor the word "Authority".

Amendment of st69o No.12-af2016

Repcal of secie 70oNo.12a

2016.

Ameams o

scetion lof N 12of2016

47.Section 72 of the principal Act is amended by deleting thewords"Cabinet Secretary"wherever they appear and substituting therefor the word"Authority"

Ameodmel ef

section T2ef No 126f2016

48.Section 76of the principal Act isamended in
subsection (l). in paragraph (b) by deleting the words "Cabinet Secretary and substituting therefor the word "Authority"

Amndneu of sedionoof No. 12of2016

49.Section 77 of the principal Act is amended
(a)in subsection(l)

wa 77 af No. 12of2016.

(i)by deleting the words."Cabinet Secretary wherever they appear and substituting therefor the word"Authority":
(ii) in paragraph (g)by deleting the words by the Cabinet Secretary or an authorized officer and
(b)by deleting subsection (2).
50.Section 79 ofthe principal Act is amended in subsection (2)by deleting the words"Cabinet Secretary wherever they appear and substituting therefor the word "Authority"
51.Section S0 of the principal Act is amended by deleting the words "Cabinet Secretaryand substituting therefor the word"Authority"
52.Section &l of the principal Act is amended
(a)hy deletingthewords "Cabinet Secretary" wherever they appear and substituting therefor the word"Authority":and
(b)in subsection (4)by deleting the words Cabinet Secretary on the recommendation of the Mineral

Amendment ot

Aroendment of t of No 12e2016.

Anendmeni of

iecbon BOof No 12.of016.

Amendnen-of

sccion Bl aFNo. 12of2016.

Rights Board-and substitutingtherefor the word "Authority".

53.Section 82of the principal Acl is amended
(a)in subsection(le)by deleting the words "environmentalaudit repontsandsubstituuing
thereforthe words "environmental management andrehabilitationplan":
(b) in subsection (2) by deleting the words "Cabinel Secretaryand substituting thereforthe word
"Authority":and
(c)insubsection (3) bydeleting thewords
"Cabinet Secretary on the recommendation of the Mineral Rights Board"and substituting therefor the word"Authority"
54.Section 84ofthe principal Act is amended
(a)bydeleting the wordsCabinet Secretary" wherever thcy appear and substituting therefor the
pue:Auonnv.pom
(b)in subsection (1)-
(i)in paragraph (a) bydeleting the words "number of blocks,but a minimum ofone hundredandtwenty-fiveblocksand substituting therefor the words area,but a minimum oftwenty six point two-five square kilometres":and
(i)by deleting paragraph (b)and substituting
therefor the following newparagraph
(b)subject to paragraph (a) discrete areas whose cumulative area is more than half the initial-licence area.
55.Section S6of the principal Aet is aumended
(a)bydeletingthewordsCabinet Secretary" wherever they appear and substituting therefor the pue:Auoqnv.pom
(b)in subsection (3) by deleting the words"Cabinet Secretary on the reconinndafion of the Mineral Rights Boardand substituting thercfor the word "Authority".

Anendmanol o No 12.of2016

Anendmenl of

section.S4or No.12 of2016.

Amendment of No.12of

scl86o 2016.

56.Section 87of theprincipal Aet is amcnded
(a)in subsection (2)by deleting the words"Cabinet Secretaryandsubstituting therefor theword "Authority";and
(b)in subsection (3)by deleting the wordsCabinet Secretary on the rccommendation of the Mineral Rights Boardand substituting therefor the word "Authority".

57. Section 89 of the principal Act is amended

(a)by deleting thewords"Cabinet Secretary" wherever they appear and substituting therefor the word"Authority":and
(b)in paragraph (g)by deleting the words"by the Cabinet Secretary or authorized officer"
58.Section 90 ofthe principal Act is amended in subscction (2)by deleting the words "Cabinet Secretary wherever they appear and substituting therefor the word "Authority".

59. Section 9l of the principal Aet is amended by deleting the words"Cabinet Secretary"wherever they appear and substituting therefor the word"Authority"

60.Section 94 ofthe principal Act is amended
(a) in subsection (l)by deleting the words"every county"and substitutingthereforthe words counties with mineral resources;and
(b)in subsection (2) by deleting paragraph (f).
61.Section 98 of the principal Act is amended in health and safety rules and pay due regard to the protection ofthe environmentand substituting therefore the words "goodminingpractices,intermational best standards, environment and health and safety laws"
62.Section lol of the principal Act is amended by deleting the words "Cabinet Sccretary"and substituting therefore with the word"Authority"
63.Section 102of the principal Act is amended by deleting the words "Cabinet Secretary"and substituting
therefore with the word "Authority"

Amendmen of sction 87of No.12of 2016.

Amendmem of soebon R9-of No,

Amendment osc90 ofNo.12df 2016.

Amendnent ofsclion91 ofNo.12of 2016.

Amendment of sectin 94ofNo 120f2016

Amandmoit ofcin 2016.

Amendment 10 eNe12of 2016.

Amendaem ofNo12

ofsection102 2016

64.Section 103 of he principal Act is amended by deletingthe words"CabinelSecretary onthe recommendationoftheMineralRightsBoardand substituting therefore with the word"Authority"
65.Section104 of the principal Act is amended by deletingthewords "Cabinet Secrelary"wherever they appear and substituting therefor the word"Authority"
66.Section l05 of the principal Act is amended by deleting the words "Cabinet Secretary"and substituting therefore with the word"Authority"
67.Section 106 of the principal Act is amended
(a) by insertingthefollowing newparagraph immediately after paragraph-(i)
(ia) terms relating to the payment of royalties. taxes,fees-and-other fiscal impositions,
(b)in paragraph (j) by deleting the words "Cabinet Secretaryand substituting therefore with the word"Authority".
68.Section 109.of the principal Act is amended by deleting the words "Cabinet Secretarywherever they appear and substituting therefor the word"Authority"

Amendoent of scchon 10s ofo12o

2016

Amendment ofsec104

ofNn-of 2016,

Amendmaiof sectnHISar No.12.of2016,

Amendinoar sccionI06.of No.12of2016

Amcdme ol section l09-of No.12of2016

Amendnom ol seclion lllef No.122016

69.Section lll of the principal Act isamended by deleting the words "Cabinet Secretary"wherever they appear and substituting therefor-the word"Authority"
70.Section 112 of the principal Act is amended
(a)by deleting the words"CabinetSecretary" wherever they appear and substituting therefor the word"Authonity":and
(b)in subsection (5) by deleting the words Cabinet Secretary,on recommendation of the Mineral Rights Board and substituting therefor the word
"Authority"
71.Section 113 of the principal Act is amended
(a)by deleting the wordsCabinet Secretary" wherever they appear and substituting therefor the word"Authority";
(b) in subsection (4) by deleting the words"he or she" and substituting therefore with the word"it';and

Amendment o in12of

No.12-of2016.

Aenendmeni ot

tio113of Na.12of2016

(c)by deleting subsection(5).
72.Section 14ofthe principal Aet is amended in subsection (l) by deleting the wordsCabinet Secretary and substitutingtherefor theword"Authority
73.Section 1l5of the principal Act is amended in paragraph (d)by deleting the words"Cabinet Secretary"and substituting therefor the word"Authority".
74.Section I17 ofthe principal Act is amended
(a)insubscction (i) by deletingthe words "five hundredmillionUnited Statesdollarsand substitutingthercforthewords"onehundred millionUnited Statesdollars:and
(b)in subsection (2)i)by deleting the words an
intemational"
75.Section I18 of the principal Act is amended by deleting the words Mineral Rights Board and substituting therefor the word"Authority"
76.The principal Act is amended by inserting the following new section immediately affer section122

Co-esatene heteeen large scale d-sle

mining

122A.(1) A holder ofa mining license to a large scale operation may sub-contract a segment of a block to a small scale operator notificationto andapprovalfromthe
oranartisanalminingoperator upon Authority.
(2)TheCabinetSecretaryshall prescriberegulations forpurposesof
cnsuring practical coexistence belween the large scale miners,small seale miners and the artisanal miners.
77.Section 125of the principal Act is amended in subsection (l)by deletinglhewords"Cabinet Sccretary and substituting therefor the word"Authority"
78.Section 129 of the principal Act is amended in subsection (1) by deleting the words"Cabinet Secretary and substituting therefor the word"Authority"

79. Section 130 of the principal Act is amended by deletingthe words "Cabinet Secretarywherever they appear and substituting therefor the word"Authority"

Amonen of H4of No-17ol 2016

Amendoson of sconl15of

No.120f2016

Ameadtient ol

seonJo No120f201

Amenden of No-10016

bnerhon of new n122A Np.2af2016

Anedei fseton125 ofNo12o 2016.

Ancshien

ftn129 12 2016.

Anen of secon130

oNo.12f 2016

80.Section I32 of the principal Aet is amended in subsection (3) by deleting the words"Cabinet Secretary" and substituting therefor the word"Authority".

81. Section 134 of the principal Aet is amended by deleting the words "Cabinet Secretaryand substituting therefor the word"Authority" 82. Section 136of the principal Act is amended by deleting the words"Cabinet Secretary"whcrever they appear and substituting therefor the word"Authority"

Amcidment ol No12of 910

Amandrsent of wcon13o N.12of2016

Ameodnieof 134 No.12of2016

Aniedmenl'ol soet0n137of Na12of2016

83.Section 137 ofthe principal Act is amended by deleting the words "Cabinet Secretary"wherever they appear and substituting therefor the word "Authority"
84.Section 140 of the principal Aet is amended by deletingthewords "Cabinet Secretary"wherever they appear and substituting therefor the word"Authority"

Ameedenl al soction140o No.1202016

85.Section I4l of the principal Act is amended by deleting the words "Cabinet Secretary"and substituting therefor the word"Authority"
86.Section 143 ofthe principal Act is amended by deleting the words"Cabinet Secretaryand substituting therefor the word"Authority"
87.Section 144 of the principal Act is amended by deleting the-words "Cabinet Secretarywherever they appear and substituting therefor the word"Authority".
88.Section 145 of the principal Act is amended
(a)in subsection (l)by deleting the words"Cabinet Secretary,on recommendation of the Mineral Righis Boardand substituting therefor the word "Authority":and
(b)in subseclion (2)by deleting the words"Cabinet Secretaryand substituting therefor the-word "Authority".
89.Section 147 of theprincipal Act is amended
(a)in subsection (1)
(i)by deleting the wordsCabinet Secretary,on recommendation of the Mineral Righis Board and substituting therefor the word "Authority":

Amendmenof see141of No.12oF2016

Amendmen or scclien143of No.12of2016

Amondaenof slonIof No.1uf2016

Animdnet d section 145of No.12of2016.

Amendmeatof scion147af No.12of2016,

(i)on paragraph (b) by deleting the words
"Cabinet Secretary and substituting therefor

the word"Authority":

(b)in subsection (2)by deletingthe words "Cabinet Secretary" and substituting therefor the word "Authority":and
(c)in subsection (3) by deleting the wordsCabinct
Secretaryand substituting therefor the word "Authority"
90.Section 149 of the principal Act is amended by
(a)deleting the words"Cabinet Secretary"wherever
they appear and substituting therefor the word "Authority":
(b)deleting subsection (3):
(c)deleting subsection(4);and
(d)deleting subsection(5).
91.Section 150 of the principal Act isamendcd by deleting the wordsCabinet Secretarywherever they appear and substituting therefor the word "Authority"
92.Section I53 of the principal Aet is nmended
(a)in subsection (2)by deleting the words"relevant
Ministryand substituting therefor the word "Authority":
(b)in subsection (6) by deleting the words"Cabinet Secretary in accordance with section 129of this Actandsubstitutinghereforthe words "Authority for a determination":and
(c)in subsection (8)by deleting the words"Cabinet Secretary"andsubstituting therefor the word
"Authority".
93.Section 154of the principal Act is amended in
substituting therefore with the word the Mining Tribunal.
94.The principal Act is amended by deleting section 155.

Anendment-of on149 N.12af2016

Amenmen.of scction150of Ne.12af2016.

Amndmenl of sectionIs3of

No.12of2016.

Amendmenof

seon154of No.12or2016

Repeala ecton155of 2016.

156.
95.The principal Act is amended by deleting section
96.The principal Act is amended by deleting section 157.
97.Section 158of the principal Act is amended in subsection (l).in paragraph (a) by deleting the words "Cabinet Secretary"and substituting therefor the word "Authority"
98.Section 160 ofthe principal Act is amended in and substitutingtherefor the word"Authority"
99.Section l6l of the principal Act is amendcd in subsection (2)by deleting the wordsCabinet Secretary and substituting therefor the word"Authority"
100.Section I63 ofthe principal Act is amended in subscction (3)by deleting the words "Cabinet Secretary and substituting therefor the word "Authority"
101.Section 164 of the principal Act is amended in and substituting therefor the word"Authority"
102.Section 166 of the principal Act is amended by deletingthewords."Cabinet Secretarywherever they appear and substituting therefor the word"Authority"
103.Section 167 of the principal Act is amended in subsection (2) by deleting the words Cabinet Secrctary and substituting thereforthe word"Authority"
104.Section 168of the principal Act is amended in subseetion (S)by deleting the words'Cabinet Secretary and substituting therefore with the word"Authority"
105.Section I69 of the principal Act is amended in subsection (3)by deleting the words "Cabinet Secretary and substituting therefore with the word"Authority"
106.The principal Act is amended by deleting section 170.

107.Section 171 of the principal Act is amended

(a)in subsection (l)by deleting the words"Cabinet Secretaryand substituting therefor theword "Authority":and

Repal-al

section156.of Na.12o 2016. Rpolf 157 N.12c 2010. Amendmen ol etio1s Na.12f2016

Amenduem of Lecton[60of No.-12af2016

Ainechem ot No.12of2016.

Amendme of 16 No12of2016

Amendmant-of seclon16 af No.12of2016

Ameabem of sectinn.166of No.12of2016.

Amodne of n167oF No 12 of2016.

Amendment of No.12ef2016

Amendment-of scnon16oF No.12of2016

Repeal ofsecin 170 of No.12of 2016

Amclmesol scion171of No.120f2016.

(b)in subsection (2)by deleting thewords"Dircctor ofMinesand substituting therefor the word "Authority"
108.Section I73 of the principal Act is anended by deletingthewords "Cabinet Secretary"wherever thcy appear and substituting therefor the word"Authority"
109.Section I75 of the principal Act is amended in subsection (2)by deleting the words"Cnbinet Secretary and substituting therefor the word"Authority"
110.Scction I80 of the principal Act is amended in subsection (l) by deleting the words"Cabinet Secretary and substituting therefor the word"Authority"
I11. Section I8l of the principnl Act is amended by deleting the words "Cabinet Secretarywherever they appear and substituting therefor the word "Authority"
H12.Seclion 183 ofthe principal Act is amended
(a)in subsection (2)by insertingthe words"on recommendation of the Authority"i immediately after-the words"Cabinet Secretary":nnd
(b)in subscclion (3) by deleting the words"Cabinet Secretaryand substitutingtherefor the-word "Authority"
113.Section 185of the principal Aet is amended in subsection (3)by deleting the words"Cabinct Secretary and substituting therefor the word"Authority"
114.Section.186 of the principal Act is amended in subsection (I) by deleting the words"State Dcpartment responsible forcollectingroyaltiesand substituting therefor the word"Authority"
115.Section I87 of the principal Aet is amended by deletingthe words"Cabinet Secretarywherever they appear and substituting therefor the word"Authority"

116. Sectionl88of the principal Act is amended in subsection (I) by deleting the words "Cabinet Secretary and substitutingtherefor theword"Authority"

117.Section 192of the principal Act is amended
(a) in subsection (1) by deleting the expression"164" and substitutingtherefor the expression"191':and

Amepboenl or scction 173or Na 12ef2016

Anendmen l sactom175ofNo 12002016

Amendneer or on Na 12of2016,

Ameodnt of IlofNo 12o016

Amendmenof

secton lKJaf No. 12uf2016

Anendnetor sonISoFNo. 1262016

Ameaduenor oct185of Na 12of2016.

Amcsdmentot 12of2016.

Amelmott of

oclion |sscfNo 12or2016.

Amendmentof

ction 192ofNo 12ef2016.

(b)in subsection (2)by deleting the words "Cabinet Secretary"and substituting therefor the word"Authonity"

118. Section I96 ofthe principal Actis amended

(a)in subsection (l) by inserting the words"on the recommendation of the Authority immediately after the words"Cabinet Secretary:and
(b)in subscction-(3) by deleting the-words."Cabinel Secretary"
and substitutingtherefor-theword "Authority"
119.Section 197 of the principal Act is amended by
deleting the words "Cabinet Secretary"wherever they appear and substituting therefor the word"Authority"
120.Section 200 of the principal Act is amended by inserting the word "the Authority"immcdiately afer the words"Cabinct Secrctary"
121.Scction 205of ihe principal Act is amended in subsection (l) by deleting the words"Cabinet Secretary wherever they appear and substituting therefor the word "Authority"
122.Section 217 of the principal Act is amended in subsection (2) by deleting thewords"Cabinet Secretary" wherever they appear and substituting therefor the word "Authority".
123.Section 219 of the principal Act is amended by deleting the words "Cabinet Secretary"and substituting thereforthe word"Authority"
124.Section 222of the principal Act is amended
(a)bydeletingthewords"CabinetSecretary" wherever they appear and substituting therefor the
word"Authority"and
(b)in subsection (3)by deleting the words and the Director of Geology"
125.The principal Act is amended by inserting the following new section immediately afler section 225

Sairesnd 'uonnunun

226.(1) The chairperson and members ofihe Mineral Rights Board,shall.at the Ammdrn uf sc190o No.12 or2016

Amendnem ot kc197or No.12af2016

Aneidmen.of

seclin200of No.12:of2016

Ameniem:ar ston205o No.12af.2016.

Amenntenof ketinn217oF 1-ON

Amedotaf secuon219nF

No.12.ar201

Ammdmen of

s.to222o No.1al2016

Inserionofanew

cn226No. 12of2016.

commencement of this Act.be dcemed as the chairpersonandmcmbersofthe Authority,respectively.for the unexpired periodoftheir term.
(2)Any person whoinmediately before the commcncement of this Act was anofficer-of the Mineral Rights Board,shall be deemed to be an officer of the Mineral Rights Authority.
(3)Any orders ornoticesmadeor issued by the Cabinet Secretary.Director of Mines or the Director of Geological Survey shall be deemed to have beenmade or issuedunder this AcL
125.The principal Act is amended by inserting the following newscheduleimmediatelyafter Second Schedule-

Imsention ofa

nr Schedale n No.12af2016.

THIRDSCHEDULE

[s.31E]

CONDUCTOFBUSINESSANDAFFAIRSOFTHEBOARD

1.(l) The Board shall meet as often as may be necessary for the dispatch of its business but there shall be at least four meetings of the Board in any financialyear.
(2)Ameeting of the Board shall be held on such date and at such time as the Board shall decide
2.The chairperson shall,on the written application of one-third of the members,convene a special meeting of the
Board.
3.Unless the majority of the total membership ofthe Board otherwiseagree.at least fourteen days'written notice of every meeting of the Board shall be given to every member.of the Board,
4.The quorum for the conduct of business at a meeting of the Board shall be two-thirds ofall the members
ofthe Board.
5.The chairperson shall preside at every meeting of the Board at which he or she is present and in the absence of the chairperson at a meeting.the vice chairperson.shall preside nnd in the absence of both the chairperson and the vice-chairperson.the members present shall elect one of their number who shall,with respect to that meeting and the business transacted thereat,have all the powers of the chairperson.
6.Unless a unanimous decision is reached,a decision on any matter before the Board shall be by concurence ofa majority of all the-members.
7.Subject to paragraph 5.no proceedings of the Board shall be invalid by reason only ofavacancy among the-members thereof.
8.Unless otherwise provided by or under any law,all instruments made by and decisions of the Board shall be signified under the hand of the Chairperson and the Secretary.
9.The Board shall cause minutes of all proceedings ofmeetings of the Board to be entered in books for that purpose.

Mectinps of the

Board.

Specal mecings.

Notceeol
meetings

Quorum

Chairpensonto

preside.

Voting procedure.

Validityof

proceedinga.

lnatnmenx

10.Except as provided by this Schedule,the Board

may-regulate its own procedure.

11.(l)If any person is present at a meeting of the Boardor any committee at which any matter is the subject ofconsideration and in which matter that person or thal person's spouse is directly or indirectly interested in a private capacity.that person shall as soon as is practicable after thecommencement of the meeting.declare such interest and shall not,unless the Board or committee otherwise.directs,takepart inanyconsiderationor discussion of.or vote on anyquestion touching such
matter.
(2)A disclosure ofinterest made under paragraph (1) shall be recorded in the minutes of the meeting at which it ismade.
(3)Aperson who contravenes subsection (l)commits an offence and upon conviction shall be liable to a fine not exceeding fivehundred thousand shillings orto imprisonment for a term not cxceeding seven years or to both such fine and impnisonment.
(4)A member or employee of the Board shall not transact amy business or trade with the Board

Pomenofe Beandorcplae ownproxrdure.

Discianure of ilelest

MEMORANDUM OFOBJECTSANDREASONS

Statement of the objects and reasons for theBill

The principal objectof this Bill is to amend the Mining Act No.12 of 2016 in order to provide for separate implementation of the three key functions in the Act:policy formulation.administrative and dispute

resolution functions.

TheAct as currently is.converges:policy formulation and

implementation,day-to-day administration of the Act including obligations owed to the mineral rights holders and dispute resolution at one point.These presents implementation challenges and regulatory uncertainty in the mining sector.Additionally.the Act limits the role of the Mineral RightsBoard to only advisory

The Bill therefore proposes to first,elevate the role of the Cabinet Secretary to provision ofpolicy direction in the sector and prescribing various regulations that are required in the proper implenentation of the Act.Secondly,it proposes to establish the Mining Regulatory Authority whose sole mandate is to administer the Act by providing the day-to-day regulatory role in the mining sector by ensuring the mineral rights holders comply with the provisions of the Act and lastly.it proposes to establish the Mining Rights Tribunal whose mandate shall be to resolve disputes relating to mineral rights.

Statement on the delegation of legislative power and limitation of fundamentalrights and freedoms

The Bill does not limit any fundamental rights or freedom.

Statement on whether theBill concernscounty government

The Bill does concem County Governments interms of Article 109(3)of the Constitution and it does affect the functions and powers of

CountyGovermments recognized inthe Fourth Schedule to the Constitution.

Statement as to whether the Bill is a money Bill within the meaning of

Article114ofthe Constitution

The enactment of this Bill shall occasion additional expenditure of

public funds.

Dated the 22nd August,2023.

Chairperson,Environmen,Foresiry cand Mining Commitee.

Long title of No.12of20i6 which it is proposed to amend

AN ACTofParliament to giveeffecttoArticles60.62(1(D.66(2). 69 and 71 of the Constitution in so far as they apply to minerals.provide for prospecting,mining.processing,refining.Ireatment,transport and any dealingsim minerals and forrelatedpurposes.

Section 2ofNo.12of2016which it isproposed 1o amend

(1)This Act shall apply to the minerals specifed in the First Sehedule.
(2)The Cabinet Secretary may from time to time,by notice in the Gazerte,amend the First Schedule to this Act.

Section4of No.12of2016which-itisproposedtoamend

Interpretation

In this Act,unless the context otherwise requires-application

includes--

(a)an application for the grant,renewal,transfer,assignment or surrenderof a mineralright:or
(b)an application for the grant or renewal ofa mineral dealer's licence or a diamond dealer's licence:

"arm's-length valuemeans the purchase priceunder an immediate sale transaction in an openmarket where the purchase price for the sale-

(a) is not influenced by any special relationship or other arrangement between the parties to the transaction.other than the immediate
sale itself:and
(b) is not affected by any non-commercial or other considerations; and
(c)specifically excludes any barter,swap.exchange.or transfer price arrangements or any restricted transaction thal is associated with special financial.commercial or other considerations:

"artisanal miningmeans traditional and customary mining operations using traditional or customary ways and means:

"artisanal mining permit"means a permit issued under section 95:

"banker"includes a manager,cashier or any other officer acting in that capacity ofa company engaged in the business of banking within Kenya and in compliance with the provisions of the Banking Act (Cap. 488):

"block or cadastral unitmeans a pseudo-quadrilateral formed by two

meridians oflongitude and two parallels of latitude of the Cadastral Graticule spaced fiftcen seconds apart:

"Cabinet Secretary"means the Cabinet Secretary for the time being responsible for mining:

"community"means-

(a)a group of people living around an exploration and mining
operationsarea:or
(b)a group of people who may be displaced from land intended for exploration and miningoperations;

"Community Development Agreement"means an agreement entered

into between a large-scale mining licence holder and a community:

"construction minerals"includes stones,gravel,sands,soils,clay. volcanic ash,volcanic cinder and any other minerals used for the construction of buildings.roads,dams,aerodromes and landscaping or similar works,and such other minerals as the Cabinet Secretary may from time to time declare to be construction minerals,by notice published in the Gazette;

"company"has the meaning assigned to it under the Companies Act;

"Corporationmeans the National Mining Corporation established in section 22:

"Council of County Govermors"means the Council ofCounty

Govermors established under section I9of the Intergovemmental Relations Act (No.2of2012):

"day"means a calendar day:

"diamond"includesa rough and uncut diamond;

"Director of Geological Survey"means the Director of Geological Survey appointed under section 18:

"Director of Minesmean the Director of Mines appointed under section 18:

"environment"has the meaningassigned to it under the Environmental Management and Coordination Act,1999 (No.8of1999):

"environmental impact assessment licence"means an environmental

impact assessment licence granted under the Environmental Management and Coordination Act,1999:

"excavationmeans a trench,pit, shaft,dredging,brine pumping or other work which is related to operations under a mineral right;

"financial difficulty"in respect of a company or other body corporate, means that the company or body corporate-

(a)is in liquidation;
(b) is the subject of a subsisting court order for its winding up or
dissolution;or
(c)has made a composition or arrangement with its creditors which
remains in effect;

"first-come,first-served"means the policy of considering and

approving applications based on the order of receiving the applications;

"geologistmeans apersonwho isregistered as geologistin accordance with the Geologists'Registration Act,1993 (No.10 of 1993):

geology"means the scientific and research aspects of the solid earth

and its processes;

"geological report"means a report madeby a geologist;

"gross value"means the arm's-length value of minerals or mineral products at the point of sale within Kenya,without any discounts.

commissions or deductions;

"groundwater"has the meaning assigned to it under the Water Act

(No.8of2002):

"holder"in respect of a mineral right,a licence or permit under this

Act,means-

(a)a person to whom a mineral right isgranted:or
(b)the person to whom a mineral right is transferred or assigned;

"inspector of mines"means a public officer who has been appointed

in accordance with section 196:

"landhas the meaning assigned to it in Article 260 of the Constitution;

"large scale operationmeans a prospecting or mining operation that

is a large scale operation in accordance with this Act;

"licence area"means the area or areas of land covered by a prospecting licence,a retention licence or a mining licence under this Act;

"liquidator" has the meaning assigned to it under the Companies Act (No.17of2015):

"maritime zones"has the meaning assigned to it under the Maritime

Zones Act (Cap.371):

"membermeans a member of the Board appointed under section 25: "mine"

excavations made for the purpose of,or in connection with,the extraction of minerals or mineralproducts,and includes an opencast pit.quarry and any area where a mineral is won by
dredging brine pumping,evaporation or other means;and
(b)when used as a verb.means the carrying out ofa mining operation and includes tailing:

"mines support"means-

(a)contract mining services which include top soil and waste removal,drilling and blasting.excavating and haulage of ore to plant on tumkey basis:
(b)assaylaboratory services;
(c)drillingand blasting services;
(d)mineral exploration services for a holder of a mineral right:
(e)contract mining services for small scale and artisanal mining. which include mining and processing ofore reclamation revegetation and management of miningoperations:
(f)any other services specifically and exclusively related to mining. which the Cabinet Secretary considersnecessary for the effective and sustainable development of the mining industry:

mineral dealings:

"mineral dealings"means-

(a)buying minerals;
(b)selling minerals;
(c)barteringminerals;

(d)depositing or receiving minerals as a pledge or security:or
(e) cutting.polishing.processing.refining and treating minerals:

"mineral dealer's permit means a permit issued in accordance with section 164:

"mineral deposit"means a mass of naturally occurring minerals of

cconomic value:

"mine waste and tailings"means the residue of mining operations that includes gravel,sand,slime.or other substances that are discarded in the course ofminingoperations;

"mineralmeans a geological substance whether in solid,liquid or Schedulebut doesnot include petroleum,hydrocarbon gases or

gaseous form occurring naturally in or on the earth,in or under water,in mine waste or tailing and includes the minerals specified in the First groundwater;

"mineral agreement"means mineral agrcement entered into in accordance with section 117:

"mineral product"for the purposes of royalty a product of mining operations,the product of extraction in mining operations of a metal or a preciousmineral from a mineral and the product of beneficiation in mining

operations of a mineral,but excluding waste and tailings:

"mineral right"means-

(a)a prospecting licence;
(b)a retention licence:
(c)a mining licence:
(d)a prospecting permit:
(e)aminingpermit:or
(f)an artisanal permit;
30:
"Mineral Rights Board"means the Board established under section

mining licence;

"mining bond"means an obligatory payment or cash deposit that may berequired of amineralrightholder asguaranteefor thedue implementation of an approved miningprogramme:

"mining permit"means a permit granted in accordance with this Act,

which authorisesthe holder to carry out small scale mining operations:

"mining licence"means a licence relating to large scale operations which authorises the holder to carry out mining operations;

"mining operations"means an operation carried out in connection with a mine-

(a) to win a mineral from where it occurs;
(b) to extract metal or precious mineral from a mineral so won.or to
beneficiate a mineral so won:or
(c) to dispose of a mine waste or tailings resulting from winning.
extraction or benefaction;

"National Land Commissionmeans the National Land Commission

established underArticle 67of theConstitution:

"permit areameans the area covered by a prospecting permit or a mining permit;

"petroleumhas the meaning assigned to it under the Petroleum (Exploration and Production)Act (Cap.308):

"precious mineralsmeans the minerals specified in Part B of the First Schedule:

"precious stones"means the minerals specified in Part C of the First Schedule:

"Principal Secretary"means the Principal Secretary in the State Department for the time beingresponsible formining:

"programme for mining operations"in respect of a mining licence

means-

holderof the licence and approved by the Director of Mines on the grant orrenewal of the licence:or
(b)where the programme is amended pursuant to this Act,means the programme as so amended;

"programme for prospecting operationsmeans a programme of intendedprospectingoperations preparedbytheapplicant fora prospecting licence and approved by the Cabinet Secretary on the grant or renewal of the licence,and where the programme is amended pursuant to this Act means the programme as so amended:

prospecting area"means the area or areas of land covered by a

prospecting permit or licence:

"prospecting licencemeans licence relating to large scale-operations which authorises the holder to carry out prospecting operations;

"prospecting operations"means operations carried out offshore and on land to search for and define the extent ofa mineral deposit and to determine its economic value:

"prospecting permitmeans apermit relating to small scale

operations which authorises its holder to carry out prospecting operations;

"public officer"has the meaning assigned to it under Article 260 of

the Constitution:

"Public Service Commissionmeans the Public Service Commission established under Article 233(l)of the Constitution:

radioactive mineralmeans a mineral that containsby weight at least one twentieth ofone per cent (O.o5 %)ofuranium or thorium or any combination thereof.including.but not limited to,monazite sand and other ores containing thorium.camotite and pitchblende:

"reconnaissance"means the operations and works lo carry out the

nonintrusive search for mineral resources bygeophysical surveys. geochemical surveys.photo geological surveys or other remote sensing techniques and surface geology in connection therewith,but excludes drilling and excavations:

"reconnaissance area"means an area that is subject toa reconnaissance licence:

"reconnaissance licence"means a licence granted under section 61 of this Act:

Act,

"register"means the register of mineral rights established under this

"retention area"means the area or areas of land covered by a retention

licence:

"retention licencemeans a retention licence granted under this Act;

"small scale operationmeans a prospecting or mining operation as described by theSecond Schedule to this Act:

"strategic mineralsmeans minerals declared to be strategic minerals

under this Act:

"transfer" includes to assign or trade;

"unwrought precious metalmeans precious metal in any form

whatsoever,which is not manufactured or made up into an article of industry orof the arts,and includes amalgam,slimes,slags.precious metal concentrates,pots,battery chips,sweepings from reduction works and scrapings and byproduct ofunrefined precious metal and precious metal which has been smelted into the form of bullion but does not include ore in situ;and

"water resource"has the meaning assigned to it under the Water Act, 2002(No.8of2002).

Section5of No.12of2016whichit is proposed toamend

Guiding Principles

The Cabinet Secretary.the Principal Secretary and any person administering this Act shall be guided by the values and principles enshrined in the Constitution and in particular Articles 10,66(2).201 (c) and (d) and 232of the Constitution and the principles of leadership and integrity set out under Chapter Six of the Constitution.

Section7ofNo.12of20l6whichit isproposed toamend-

Saving for custom

(1)Nothing in this Act shall prevent any person from taking.subject to such conditions as may be prescribed from time to time by the Cabinet Secretary.soil,clay iron.salt or soda from any land,except land within the area of a mineral right,from which it has been the custom of the member of the community to which that person belongs to take the same.
(2)The Cabinet Secretary may.by notice in the Gazette.and with the advice of the Mineral Rights Board.prescribe materials of customary usage.

Section9of No.12of2016whichir isproposedto amend

Discoveryofminerals

(1)A person who discovers any minerals,for which there is no by that person under a mineral right that confers rights on the holder to conduct prospecting or mining operations for minerals.shall report the discovery to the Cabinet Secretary.
(2)The Cabinet Secretary shall.immediately upon receipt of a report under subsection (l)issue to the person an acknowledgement in writing of thereceiptof thereport.

any mineral shall be granted the first right of refusal to apply for a mineral right over the area of discovery.

Section 12ofNo.12of20l6which irisproposed toamend-

General powers of the Cabinet Secretary

(1) The Cabinet Secretary shall be responsible for the general administration of this Act.

2. (2)In the administration of this Act,the Cabinet Secretary shall respect and uphold the principles and values enshrined in Article 201 (c) and (d);and Article 69(1) (a)and (h)of the Constitution. 3. (3)Unless otherwise provided for in this Act,the Cabinet Secretary shall make Regulations to prescribe theprocedure for- 4. (a)consideration of the applications made under this Act:and 5. (b)negotiation.grant,revocation,suspension or renewal of mineral rights.

Section13of No.12of20i6which it isproposed toamend-

Cabinet Secretary may declare areas reserved for small-scale suopeado

(1)The Cabinet Secretary shall upon recommendation of the Mineral Rights Board,by notice in the Gazette.designate any area of land to be an area reserved exclusively for small scale mining operations.
(2)The Cabinet Secretary may designate an area to be an area reserved exclusively for small scale and artisanal mining operations,if-
(a)designating the area would not be incompatible with the continued enjoymentof an existing mineral right:or
(b)written consent has been given by an authority.agency.the Cabinet Secretary or other person required to do so under this Act.
(3)This section does not affect the right of an owner or a lawful occupier of the area covered by the mining permit to undertake nonmining operations or activities in any area to which it applies.

Section 14ofNo.12of2016whichitisproposedto aumend-

Cabinet Secretary may declare areas reserved for tendering

(1)The Cabinet Secretary shall,in a manner as may be prescribed in Regulations,designate any area of land to be an area reserved for applicationsby tender for large scale operations.

(2)The Cabinet Secretary may designate any area of land to be an
area reserved for applications by tender for large scale operations,if-
(a)designating the area would not be incompatible with the continued enjoyment of an existing mineral right:and
(b)written consent has bcen given by an authority.agency,the
Cabinet Secretary or any other person required to do so under this Act.

Section 15of No.12of2016which itisproposed to amend-

Cabinet Secretary may restrictor exclude areas from operations

The Cabinet Secretary shall upon recommendation of the Mineral Rights Board,by notice in the Gazette.exclude such areas as may be specified in the notice to be areas excluded from the operations under a mineral night or in which such operations are restricted,if

(a)designatingthe area wouldnot be incompatible with the
continued enjoyment of an existingmineral right;or
(b)written consent has been given by an authority.agency. the Cabinet Secretary or any other person required to do so under any
writtenlaw.

Section 16ofNo.12of2016which ir isproposedtoamend-

Strategic Minerals

(1) The Cabinet Secretary shall advise and seek the approval of the Cabinet to declare certain minerals or mineral deposits to be strategic minerals or strategicmineral deposits.
(2) All radioactive minerals are strategic minerals.

3. (3)The Cabinet Secretary may.with the advice of the Mineral Rights Board,prescribe the manner for dealing with the discovery.exploration. mining.processing and export of strategic minerals and strategic mineral deposits.

Section 20ofNo.12of2016which it isproposed toamend-

Functions of the Director of Mines

(1)The Director of Mines shall,through the Principal Secretary,be responsible to the Cabinet Secretary for-
(a) the day to day operation of the Directorate of Mines:
(b)promoting the effective and efficient management and the
development of mineral resources.and the mining sector:

(c)exercising regulatory administration and supervision over all prospecting.mining.processing.refiningandtreatment operations,transport and any dealings in minerals,including import andexportofminerals;
(d)ensuring compliance with conditions relating to mineral rights;
(e)ensuring compliance with the requirements of this Act:
(f)making any lawful orders as are necessary for the performance of the functions and dutiesunder this Act:
(g)reviewing.assessing and approving prospectingand mining programmes:
(h)preparing the necessary reports required under this Act,
()facilitating access to information by the public,subject to any confidentiality restrictions:
carrying out investigations and inspections necessary to ensure compliance with the provisions of this Act:
(k)providing advice and support to holders of mineral rights on proper and safe mining methods;
(l)exercising regulatory administration and supervision over the use ofcommercial explosives in accordance with the Explosives Act (Cap.115):
(m)providing advice during the negotiation of mineral agreements;
(n)promoting co-operation among agencies,county govermments,the.privatesector,researchbodies,nongovermmental organizations and other organizations which are engaged in programmes related to mining and activities to enhance the administration and operation of this Act;
(o)advising on the development ofpolicy to ensure compliance with intemational conventions and national policies relating to the sustainable development of the mineral resources and ensure that mining operations take into account local and community values: and
(p)performing such other functions as may be assigned by the Cabinet Secretary,this Act or any other written law.
(2)The Director of Mines or a duly authorized officer may.at all reasonable times.enter upon any land,licence area.permit area or mine. orany premises for thepurpose of-

(a)inspecting such area,premises or workings and examining
prospecting or mining operations or the processing.refining and treatment of minerals being carried out thereat;
(b)ascertaining whether the provisions of this Act are being
compliedwith:
(c)taking soil samples or specimen ofrocks.ore,concentrates, tailings or minerals situatedupon such area,premises or workings for the purpose ofexamination or assay:
(d)examining books,accounts,vouchers,logs.journals,documents or records ofanykind required to bekept under thisAet,the terms and conditions of any mineral right,permit.licence or mineral agreement and taking copies of such books,accounts,vouchers,
documents.or records:or
(e) obtaining such other information as deemed necessary.
(1) The Director of Mines or a duly authorised officer may,with respect to the healthand safety of persons employed by a holder ofa mineral right-
(a)issue directions in writing:or
(b)impose restrictions.including temporarily suspending any
prospecting or mining operation on the holder or any person so employed.
(2)In exercising the powers under subsections (2)and (3).the Director or a duly authorised officer shall ensure that as little damage or inconvenience as possible is caused to the legitimate owner or lawful
occupier of the land inrespect of which the powers are exercised.
(3)A person whose land or property is damaged as a result of the exercise of the powers of the Director of Mines under subsection (l)is entitled to fair. prmpt and full compensation for such damage in
accordance with this Act.

Section2lofNo.12of2016which itisproposedto amend

Functions of theDirector of Geology

(1)The Director of Geological Survey shall,through the Principal
Secretary.beresponsible to the Cabinet Secretary for-
(a)the day-to-day operation of the Directorate of Geological Survey:
(b)providing geoscience expertise and data to the govermment on all
matters related to geology and the development of minerals:

(c)undertaking geolugicu.geophysical,geochemical,seismological and hydro-geological surveys,investigations and mapping aimed at defining the character and distribution of rocks and superficial deposits and determining the mineral potential of Kenya:
(d) conducting geo-environmental studies,
(e)monitoringot seismic activities and mapping of areas ofpotential geohazards:
(f)conducting geological analysis and valuations;
(g)developing anational repositoryof geo-science information throughthe compilation,publication and dissemination of information and data conceming the geology andmineral Tesources ofKenya and facilitate access to this information by the general publie:
(h)promoting private sector interest and investment in mineral exploration by providing geological information and services to prospective investors:
()maintaining a laboratory,library and record facilities as may be necessary for the discharge of the functions;
)providing geoscience expertise inevaluations of prospecting and mining applications:
(k)providing support to the Director of Mines in relation to exercising regulatory administration and supervision over all prospectingand mining operations:
(1)undertaking audits ofmineral right holders'geological sampling and assaying processes;and
(m)performing any other function as may be assigned by the Cabinet Secretary.this Act or any other written law.
(2) In the performance of his duties,the Director of Geological Survey or a duly authorised officer may-
(a)enter any licence or permit area:
(b)upon informing the lawful owner or legal occupant,enter into or upon any land for the purpose of carrying out surveys;
(c)take soil samples or specimens of rocks,concentrate,tailings or minerals from any licence or permit area for the purpose of examination or assay:
(d)break up the surface of the land for the purpose of ascertaining the rocks or minerals within or under it:and

(e)dig up any land and fix any post,stone,mark or object to be sued in the survey of such land.
(3)In exercising the powers under subsection (2).the Director or a duly authorized officer shall ensure that as little damage or inconvenience aspossible iscaused to the legitimate owner orlawful occupierof theland inrespect ofwhich the powers are exercised.
(4)A person whose land or property is damaged as a result of the exercise of the poncis of the Director of Geology under subsection (1) shall be entitled to fair.prompt and full compensation for such damage in accordance with this Act.

Section29of No.12of2016which it is proposed toamend-

Access to geoscience information

The Cabinet Secretary shall ensure that-

(a)a database of geoscience and information is kept and maintained; and
(b)is made available to the public on request.

Section30ofNo.12of2016which ir isproposed to amend-

Mineral Rights Board

(1)There is established a Mineral Rights Board.
(2)The Mineral Rights Board shall comprise of--
(a)a chairperson with demonstrable knowledge and experience of the minerals and mining sector.who shall be appointed by the President;
(b) the Principal Secretary responsible for matters relating to mining:
(c)the Principal Secretary responsible for the National Treasury:
(d) one person who has relevant qualifications or experience in mining.geology.geophysics or engineering,nominated by the Councilof County Govemors:
(e)the Chairperson of the National Land Commission:
the Director of Mines who shall be the secretary to the Mineral Rights Board;
(g)theDirector of Geological Surveys:and

(h)two persons with professional qualifications and experience in theminingindustry.
(3)The Cabinet Secretary shall appoint the persons under subsection (2) (d) and (h)who shall serve a period of three years.
(4)A person shall be qualified for appointment as a chairperson or member ofthe Mineral RightsBoard if that person-
(a)isa citizen ofKenya:
(b)holds a degree from a recognized university,in geology. geophysics, mining. engineering. economics, business administration or law:
(c)has experience in the mining sector of not less than ten years in the case of the chairperson and five years in the case of any other member,and
(d)satisfies the requirements of Chapter Six of the Constitution.
(5)Aperson shall not be qualified for appointment asa Chairperson ormember of the Mineral Rights Board,if that person-
(a)is anundischarged bankrupt;
(b) suffers from physical or mental infirmity which renders him or her incapable of discharging the function of the Mineral Rights Board:and
(c)has been convicted of an offence whose term of imprisonment exceeds six months.
(6)The Chairperson and members of the Mineral Rights Board appointed under subsection (2)(a) and (h) shall hold office for a period of three years and may be eligible for re-appointment for one further term.

Section31ofNo.12of2016 which it isproposed to amend-

Functions ofthe Mineral Rights Board

(1) The functions of the Mineral Rights Board shall be to advise and give recommendations.in writing.to the Cabinet Secretary on-

2. (a)the grant,rejection,retention,renewal,suspension,revocation, variation,assignment,trading,tendering,or transfer of Mineral Rights Agreements: 3. (b) the areas suitable for small scale and artisanal mining: 4. (c)the areas where mining operations may be excluded and restricted: 5. (d) the declaration of certain minerals as strategic minerals:

(e)cessation,suspension,or curtailment of production in respect of mining licences;
()fees,charges and royalties payable for a mineral right or mineral: and
(g)any matters which under this Act,are required to be referred to the Mineral Rights Board.
(2) The Mineral Rights Board may for the purpose of facilitating the performance of its functions establish such number of committees to advise the Mineral Rights Board on matters relating to mining and minerals.

Section32ofNo.12of2016whichitisproposed toamend-

Categories ofmineral right

(1)The Cabinet Secretary,on the recommendation of the Mineral Rights Board,may grant,deny or revoke a mineral rights.
(2)A mineral right may be granted in respect of a large scale operation or small scale operation.
(3)The following licences and permits may be granted for a mineral right under this Act to authorise a mineral right holder to engage in-
(a)large scale operations which shall include--
(i)reconnaissance licence:
(ii)a prospecting licence:
(ili)a retention licence:
(iv)a mininglicence;or
(b) small scale operations,which shall include-
(i)a prospecting permit;or
(i)amining permit.
(4) The Cabinet Secretary may on the recommendation of the Mineral Rights Board,by notice in the Gazette,designate any other mineral right which may be granted under this Act.

Section33ofNo.12of20i6whichitisproposed toamend-

Feedback on statusof applications for large scale operations

(1)A person shall make an application for a mineral right in the prescribed manner to the Cabinet Secretary-

(2)The Cabinet Secretary shall.on the recommendation of the Mineral Rights Board,approve orreject an application
(a)within ninety days in the case of an application for prospecting licence or reconnaissance licence;or
(b)within one hundred and twenty days in the case of an application fora mining licence.
(3) Subject to sub-section (2).the Cabinet Secretary shall notify the Mineral Rights Board ofthe decision to approve or reject an application before notifying the applicant.
(4) Subject to subsection (2).the Cabinet Secretary shall notify the applicant in writing whether the application has been accepted or rejected.
(5) Where the application is approved,the applicant shall by notice in writing accept or reject the offer for grant of the mineral right within twenty-one daysfrom the date of receipt ofnotification ofthe approval.
(6)Where the applicant does not notify the Cabinet Secretary of the acceptance of the offer,the approval of the application shall lapse after twenty-one days.
(7)An applicant who is aggrieved by the decision of the Cabinet s

Section 34ofNo.12of2016whichitisproposed toamend-

Mineral right applications

(1)The Cabinet Secretary shall.on receipt of the application.give notice in writing of the pending application for the grant of a mineral right to-
(a)the land owner or lawful occupier of the land where the mineral is located:
(b)the community:and
(c)therelevant county Govemment.
(2)The Cabinet Secretary shall,on receipt of the application.publish notice of the pending application in a newspaper ofwide circulation at the applicant's expense.
(3)Anotice given under sub-section(1) shall-
(a)state the proposed boundaries of the land in relation to which an application for a mineral right ismade:and
(b)be published,for twenty one days in the Gazette and in the offices ofthe County.Govermment within which county the land is situated.

(4)) Subject to sub-section (3),a person or community may object to thegrant ofa licence-
(a)within twenty one days in the case of an application for a prospecting licence:and
(b)within forty two days in the case of an applications for a mininglicence.
(5)The Cabinet Secretary shall hear and determine any objection toan application under subsection (4) through the Minerals Rights Board.

Section 36ofNo.12of2016which irisproposed toamend-

Mineralrightsin excluded and restricted areas

(l)The Cabinet Secretary shall not grant a mineral right which authorises prospecting orminingoperations on-
(a)any land specified by the Cabinet Secretary.by notice in the Gazette,to be land upon which such operations are excluded or restricted;or
(b) an area of which is subject to an existing permit or licence.
(2)The Mineral Rights Board shall,prior to recommending to the Cabinet Secretary the grant of a mineral right,require the applicant to seek-
(a)approval of the National Land Commission,in relation to public land:
(b) the approval of the relevant State agency where that mineral right ison public land under Article 62(1)(b)of the Constitution:
(c)the approval of the appropriate Cabinet Secretary or other authority.where the area in respect of which a mineral right is sought is dedicated or set apart as a place of burial,religious significance,as a public building.or for any other public purpose:
(d)the Govermor of the respective county exercising control where the land is situated within a town,municipality or tradingcentre:
(e)the Cabinet Secretary responsible for matters relating to wildlife conservation and management,where the land is situated within a marine park.a national park or a local sanctuary under the Wildlife (Conservation and Management) Act (No.47of2013):
()the Cabinet Secretary responsible for matters relating to the environment,where the land is situated within a protected area,a
protected natural environment,or a protected coastal zone under

the Environmental Management and Coordination Act (No.8of 6661
(g)the Director of the Kenya Forest Service,where the land is situated within a forest area or;operations on,under or over an area,that has been declared a forest area under the Forests Act (No.7of2005):
(h) any other person who in the opinion of the Cabinet Secretary would otherwise be affected by the grant ofa mineral right,who may include the owner ofprivate land or the community in occupation oftheland.
(3)The Cabinet Secretary shall determine any questions as to whether operations on any land are excluded under this section.

Section37ofNo.12of2016which it isproposedto amend-

37.Mineral rightson private land

(1)A prospecting and mining rights shall not be granted under this Act with respect to private land without the express consent of the registered owner,and such consent shall not be unreasonably withheld.
(2)For the purpose of subsection (l).consent shall be deemed to be given for the purposes of this Act where the owner of private land has
entered into-
(a)a legally binding arrangement with the applicant for the prospecting and mining rights or with the Government,which allowsfor the conduct of prospecting or mining operations;or
(b) an agreement with the applicant for the prospecting and mining rights concerning the payment of adequate compensation.
such consent shall continue to be valid for as long as the prospecting and miningrightssubsists.

Section38ofNo.12of2016which it isproposed toamend-

38.Mineral rightson community land

(1)A prospecting and mining rights shall not be granted under this Act or any other written law over community land without the consent
of-
(a) the authority obligated by the law relating to administration and management of community land to administer community land;
or

(b)the National Land Commission in relation to community land that is unregistered.
(2)For the purpose of subsection (l).consent shall be deemed to be given for the purposes of this Act where the registered owners of community land have cntered into-
(a)a legally binding arrangement with the applicant for the prospecting and mining rights or with the Govemment,which allows the conduct ofprospecting or mining operations:or
(b)an agreement with the applicant for the prospecting and mining rights concerning the payment of adequate compensation.
(3) Subject to the law relating to community land.where consent is for as long as the prospecting and mining rights subsists.
(4)The Cabinet Secretary may.by notice in the Gazette,make regulations for the grant of prospecting and mining rights over community land.

Section40ofNo.12of2016which it isproposed toamend-

Compulsory acquisition ofland for prospecting and mining

(1)The Cabinet Secretary may take steps under the law relating to the compulsory acquisition of land or rights orinterests in land,to vest the land or area in question,or rights or interests in such land or area,in the Govermment or on behalf of the Government,where the consent required under sections36,37or 38is-
(a)unreasonably withheld:or
(b)the Cabinet Secretary considers that withholding of consent is contrary to the national interest.
(2) Subject to sub-section (1).the land or area shall cease to be land excluded from prospectingor mining.

Section41ofNo.12of2016which inisproposed to amend-

Tenderingfor mineral rights

(1)The Cabinet Secretary shall invite parties to tender in respect of large- scale operations over an area or areas of land designated under section14.
(2) The Cabinet Secretary shall in consultation with the National Treasury and subject to the law relating to public procurement,make Regulations to provide for tendering guidelines.

Section43ofNo.12of2016which it isproposed to amend-

Directions concerning good miningpractice

(1)A holder ofa mineral right shall not-
(a)engage in wasteful mining or treatment practices:or
(b) conduct his operations otherwise than in accordance with this Act,best industry practice and any other guidelines as shall be prescribed from time to time by the Cabinet Secretary.
(2)The Cabinet Secretary or an officer authorised by the Cabinet Secretary.may issue directions to the holderof a mineral right requiring the holder toundertake measures necessary to-
(a)prevent wasteful mining practices:or
(b)ensure that prospecting or mining operations are carried out in accordance with mining best practice,the Act or guidelines under thisAct.
(3)The holder ofa mineral right shall comply with any direction given under this Aet.
(4)A person who doesnot comply with the provisions of this section commits an offence.

Section45of No.12of2016which it isproposedto amend-

Registered address

A holder of a mineral right and any agent appointed by the holder of a mineral right shall register with the Principal Secretary an address in Kenya to which all communications and noticcs made under thisAct to the mineral right holder or agent may be sent.

Section46of No.12of2016which it isproposed to amend-

Employment and training ofKenyans

(l)To ensure skills transfer to and capacity building for the citizens. the holderof a mineral right shall submit to the Cabinet Secretary a detailed programme for the recruitment and training of citizens of Kenya in a manner as may be prescribed by the Cabinet Secretary.
(2)The submission and approval of the programme under subsection (1)shall be a condition for the grant ofmineral right.
(3)The Cabinet Secretary shall make regulations to provide for the replacement of expatriates,the number of years such expatriates shall serve and provide for collaboration and linkage with universities and research institutions to train citizens.

(4)The Cabinet Secretary shall issue policy guidelines making further provision to give effect to this section.

Section48of No.12of20i6which it isproposed toamend

Government participation in mining licence

(1)Where a mineral right is for a large scale mining operation,the State shall acquire ten percent free carried interest in the share capital of the right in respect of which financial contribution shall not be paid by the State.
(2)The provisions of sub-section (l)shall apply to large scale miningoperations and to miningoperationsrelating to strategic minerais.
(3) Subsection (l)shall not preclude the State from any other or further participation in mining and operations which shall be agreed with the holder at arm's length.
(4)The Cabinet Secretary shall make regulations to provide for state participation in mining or prospecting operations between the Government and the holder of a mineral right.

Section49ofNo.12of2016whichit isproposedtoamend

Local equity participation

(1) The Cabinet Secretary shall prescribe the limits of capital expenditure for the purpose of this section.
(2)A holder ofa mining licence whose planned capital expenditure exceeds the prescribed amount shall list at least twenty percent of its cquity on a local stock cxchange within three years after commencement ofproduction.
(3)The holder of a mining licence may apply in writing to the Cabinet Secretary to execute an equitable altermative mechanism that will allow the company to meet the requirement set in subsection (1). including an extension of time.
(4)The Cabinet Secretary.may after consultation with the National Treasury extend the period set out in subsection (2).for reasons that the market conditions do not allow for a successful completion of the offering in the local stock exchange.

Section51ofNo.12of2016whichirisproposed toamend-

Assignments,transfers,mortgage and trade ofmineral rights

(1)The holder of a mineral right shall not assign,transfer,mortgage or trade such right or part thereof without the consent of the Cabinet Secretary on recommendation ofthe Mineral RightsBoard.

(2)The Cabinet Secretary shall not unreasonably withhold consent to assign,transfer,mortgage or trade a mineral right and shall inform an applicant of the decision within thirty days of receipt of an application to assign,transfer,mortgage or trade a mineral right.
(3)The Cabinet Secretary shall notconsent to a proposed assignment,transfer,mortgage or trade ofa mineral right to a person or a body corporate which is not eligible for the grant ofa mineral right under this Act.
(4) Prior to assignment,transfer,mortgage or trade ofa mineral right, and within thirty days from the date of receiving consent,the holder of such right shall notify the Kenya Revenue Authority of the transfer of an interest in a mineral right.
(5)The Cabinet Secretary shall not register the interest of the transferee until the transferor produces evidence of compliance with the relevanttaxprovisions.
(6) Subject to this Act,the holder ofa mineral right shall notify the Cabinet Secretary of any significant proposed change in the ownership or control of the mining company with any single interest exceeding twentyfive percent interest im the licence.
(7)A proposed change shall not take effect until it has been approved by the Cabinet Secretary.
(8)The Cabinet Secretary shall not refuse to grant approval,except for valid reasons.
(9)The transferce aswell as the transferor of a mineral right shall be liable for the payment of all rent and compensation which may have accrued,and the observance ofall obligations imposed by the licence up to the date of the transfer in respect of the licence or part thereof so transferred,but the transferor shall not be liable for the payment of any future rents and compensation or the compliance with any obligations so imposed as aforesaid inregard to thelicence orpart thereofso transferred after the date of the transfer.

Section 52of No.12of2016whichitisproposed toanend-

Preparation of reports

The Mineral Rights Board shall prepare and submit a report on

each application for a mineral right to the Cabinet Secretary.

Section53of No.12of2016whichitisproposed toamend-

Annual financialreports

(1)The holder of a mineral right shall,within three months following the end of each financial year.furnish the Cabinet Secretary and the Kenya Revenue Authority with a copy of audited annual financial statements,in accordance with International Accounting Standards.
(2)The Cabinet Secretary shall prescribe the form and contents of the annual financial statements.

Section54ofNo.12of2016which ir isproposed to amend-

Power torequire additional information

(l)The holder of a mineral right,or an applicant for the grant or renewal ofa mineral right,shall provide such additional information to the Cabinet Secretary as may be reasonably required for consideration of the application.
(2)The Cabinet Secretary shall request for information by written notice to the holder of the mineral right.
(3)Where the Cabinet Secretary requires additional information to be provided under subsection (l).an application for the grant or renewal of a mineral right shall be deemed to be incomplete until the mineral right holder fumishes the additional information to the Cabinet Secretary.

55.Report by the Cabinet Secretary

Section55ofNo.12of20l6whichitisproposedtoamend-

(1)The Cabinet Secretary shall submit an annual report,to Cabinet, of all mineral rights granted or rejected under this Act or any other written law.
(2)The report submitted under subsection (l) shall indicate the justification for granting orrejecting a mineral right under this Act or any otherwritten law.

Section57of No.12of2016which it isproposed toamend-

Treatment ofapplications

(1)The Cabinet Secretary shall extend the term of a mineral right that has expired by effluxion of time-
(a)where the mineral right is for a prospecting licence and the holder is awaiting a decision on an application made in accordance with this Act for-
(i) the renewal of the licence:or
(ii)a retention licence or a mining licence that applies to the whole.or a part,of the area covered by the prospecting licence.

(b)where the mineral right is for a retention licence and the holder is awaiting a decision on an application made in accordance with thisAct for-
(i) therenewal of the licence;or
(ii)a mining licence:or
(c)where the mineral right is for a mining licence or a mining permit and the holderis awaiting a decision on an application forrenewal of the mineral right made in accordance with this Act.
(2)An extension of the term of a mineral right in accordance with subscction (l) shall cnd immediately if an application for any of the mineral rights mentioned in this section is surrendered or is refused.

Section58ofNo.12of2016which itisproposedtoamend-

Conditionsfor grant ofmineral rightsfor large scale operations

The Cabinet Secretary shall only grant or renew a mineral right for a large scale operation where the applicant hascomplied with the provisions ofthisAct.

Section6lofNo.12of2016which it isproposedtoamend-

Application for a reconnaissance licence

(1) An application for reconnaissance licence shall be submitted to the Cabinet Secretary in the prescribed form with theprescribed fee.

2. (2)An applicant for a reconnaissance licence shall provide the following information to the Cabinet Secretary- 3. (a) the area in respect in which the reconnaissance licence is sought: 4. (b)the proposed programme for the reconnaissance operations to be carried out: 5. (c) details of the technical expertise and financial resources to be used in the conduct of the reconnaissance operations: 6. (d)a plan outlining the proposals for procurement of local goods and services by the applicant:and 7. (e)any other information required by the Cabinet Secretary as may be prescribed by Regulations. 8. (3)The Cabinet Secretary.on the recommendation of the Mineral Rights Board shall grant a reconnaissance licence,if-- 9. (a)the size area of land on which the reconnaissance licence is sought is reasonable and in line with the programme ofoperations proposed by the applicant:

(b) the applicanthas adequate financialresources,technical competence and mining industry experience to carry on the
proposed programme of reconnaissance operations:
(c)the local product plan by the applicant with respect to the procurement of locally available goods and services is acceptable; and
employment and training ofKenyan citizens is acceptable.

Section62ofNo.12of2016which ir isproposed toamend-

Maximum area ofreconnaissancelicence

(1)The maximum area covered by a reconnaissance licence shall be a block or any number of blocks not exceeding five thousand contiguous blocks each havinga side in common with at least one block the subject of the application.
(2)Notwithstanding the number of blocks that may be granted under sub-section (1).nothing in this Act shall prevent the government from conducting any reconnaissance over the total land offshore area of Kenya or such lesser area as the Cabinet Secretary may approve.
(3) Aperson or company may hold only one reconnaissance licence or such number of licences as the Cabinet Secretary shall prescribe in Regulations.

Section63ofNo.12of2016which itisproposedtoamend-

63.Term ofa reconnaissancelicence

The term of a reconnaissance licence shall not exceed two years and

is not renewable.

Section66ofNo.12of20i6which ir isproposed to amend-

Mineralsobtained underreconnaissance licence

Any mineral acquired in the course ofreconnaissance operations

under reconnaissance licence shall be the property of the National Government and shall not be disposed oforremoved from Kenya without the written consent of the Cabinet Secretary.

Section 67ofNo.12of20i6which it isproposed toamend-

Obligations underreconnaissance licence

(1)Theholder ofa valid reconnaissance licence shall-
(a)commence reconnaissance within three months of grant of the licence:

(b)carry out reconnaissance in accordance with the approved
programme of rcconnaissance operations:
(c)expend on reconnaissance in accordance with the programme of
reconnaissance.not less than such amount as may be specified in the reconnaissance licence;
(d)not engage in drilling.excavation or other subsurface exploration techniques:
(e)inform and consult on an ongoing basis with the national and county govemment authorities and communities about the reconnaissance operations that require physical entry onto the land within theirjunisdiction:
(f)not enter land that is excluded from the reconnaissance licence:
(g)compensate users of land for damage to land and property
resulting from reconnaissance operations in the licence area:
(h)not remove any mineral from reconnaissance are except for the purpose of having such mineral analysed,valued or tested:
()ensure that the amount of work and amount ofexpenditure as specifiedintheapprovedprogrammeorreconnaissance operations is actually expended in the course of undertaking
reconnaissanceoperationswithinthemandateddeadlines requiredby the relevant Regulations:
G)notify the Cabinet Secretary without any unreasonable delay of the discovery of any mineral deposit ofpotential commercial use;
(k)notify the Cabinet Secretary of any archaeological discovery:
(1)comply with the conditions ofthe licence and any directions issued bytheCabinetSecretary orauthorised officer in
accordance with the Act:
(m)submit to the Cabinet Secretary geological and financial reports and such other information relating to reconnaissance operations as may be prescribed:
(n) carry out reconnaissance in accordance with the international good practice standards and any guidelines as may be prescribed:
(o)remove within sixty days of the expiration of the reconnaissance licence,any camps.temporary buildings or machinery erected or installed by the holder and repair or otherwise make good any damage to the surface ofthe ground occasioned by such removal to the satisfaction of the Cabinet Secretary or a duly appointed officer.

(2)Where the expenditure specified in the approved programme of reconnaissance operations in sub-section.l) (c)is not expended during the term of the reconnaissance licence.any shortfall shall be paid to the Ministry of Mining in a manner as prescribed by the Cabinet Secretary.
(3)A reconnaissance licence is subject toan area-based annual charge as may be prescribed
(4)Areconnaissance licence is not transferable.

Section68ofNo.12of2016whichitisproposedtoamend

68.Formofreconnaissancelicence

(1)A reconnaissance licence issued in accordance with this Act shall include-
(a)anapprovedprogramme ofreconnaissanceincludingan expenditure commitment;
(b)an approved plan for theprocurement of local goods and services:
(c)an approved plan to employ and train citizens of Kenya:and
(d)any other conditions applying to the licence.

Section69ofNo.12of20i6which irisproposed toamend

Record-keeping and reportingrequirements

(1)The holder of reconnaissance licence shall keep complete and accurate records of the reconnaissance operations at the registered office of the holder in the prescribed manner.
(2)The records of a reconnaissance operations shall include-
(a)details ofallminerals discovered:
(b) the results of geological.geochemical.geophysical or airborne surveys obtaiaed and compiled by the holder.
(c)financial statements and books of accountsas the Cabinet Secretary may by notice require;and
(d)anyother reports orinformation asmay be prescribed or otherwise determined by the Cabinet Secretary.
(3) The holder of a reconnnissance licence shall submit six-monthly and annual reports on reconnaissance operations in the form prescrbed in guidelines.

Section 70of No.12of2016which it isproposed toamend

Amendment of programne fsr.econnaissance

The holder of a reconnaissance licence may make an application in the prescribed form to the Cabinet Secretary for approval to amend the approved programme for reconnaissance.

Secrion 71ofNo.12ef20l6which it isproposedtoamend-

Right to surrender reconnaissance licence

(1)The holder of a reconnaissance licence may,upon application in the prescribed form and manner and upon meeting prescribed conditions, surenderthe licence.
(2)Upon surrender,the holder of a reconnaissance licence shall submit all records,reports.results.data and interpretation arising from the reconnaissance operations to the Cabinet Secretary which shall become the property of the State,and the holder shall not trade or otherwise divulge information to any third party without the express permission of the Cabinet Secretary.

Section 72ofNo.12of2016which it is proposed to amend-

Application for prospectinglicence

(1)A person may apply for a prospecting licence to the Cabinet Secretary in the prescribed form and accompanied by theprescribed fee.
(2)Anapplicant fora prospecting licenceshallprovidethe following information to the Cabinet Secretary-
(a)the mineral or minerais in respect of which the licence is sought;
(b)the area in respect of which the licence is sought:
(c)particulars of the proposed programme for prospecting operations to be carried out under the licence:
(d) details ofthe experience and financial resources availableto the applicant to be able to conduct the prospecting operations:
(e)a plan giving particulars of the proposals by the applicant with respect to the employment and training of Kenyan citizens; and
(f)a plan giving particulars ofthe proposals by the applicant with respect to the procurement of local goodsand services.
(3)The Cabinet Secretary shall not grant a prospecting licence unless he is satisfied that-
(a)the size area of land over which the prospecting licence is sought isreasonable having regard to the proposed programme of prospectingoperationsby the applicant:

(b)the applicant hasadequate financial resources,technical competence and mining industry experience to carry on the proposedprogramme ofprospecting operations;
(c)the applicant has submited an environmental rehabilitation and restoration plan:
procurement oflocallyavailable goods and services are acceptabic,and
(e) the employment plan by the applicant with respect to employment and training ofKenyan citizens are acceptable.
(4)The Cabinet Secretary shall prescribe the items required to be submitted by the applicant where an application for the prospecting licence is approved under this Act.

Section 76of No.12of2016which itisproposed to amend-

Mineralsobtained under prospecting licence

(1)Any mineral acquired in the course of prospecting operations under a prospecting licence-
(a)is the property of the National Govermment:and
(b)shall not be.disposed of or removed from Kenya without the written consent of the Cabinet Secretary.
p (( required for sampling.assaying.analysis or other similarexamination.

Section 77of No.12of20i6 whichitis proposed toamend-

Obligationsunder prospectinglicence

(1)The holder of a prospecting licence shall-
(a)commence prospecting operations within three months of the grant of the prospecting licence or a period specified in the approvedprogramme for prospecting operation:
(b)undertakeprospectingoperations in accordancewith the approved programmeofprospectingoperations;
(c)ensure that the amount ofwork and expenditure specified in the approvedprogramme ofprospecting operations is pctually expended in the course of undertaking prospecting operations within the deadlines stipulated:
(d)comply with the terms and conditions of the environmental rehabilitation and restoration plan;

(e)without any unreasonable delay,notify the Cabinet Secretary of the discovery of any mineral deposit of polential commercial value including mineral deposits for which the holder of the licence wasnot authorised to prospect:
(f)notify the Cabinet Secretary of any archaeological discovery:
(g)comply with the conditions of the licence or any cxisting and applicable minerals agreement,and any directions issued by the Cabinet Secretary or an authorized officer in accordance with this Act;
(h) submit to the Cabinet Secretary geological and financial reports and such other information relating to prospccting operations as may be prescribed either quarterly or at such other intervals as may be determined by the Cabinet Secretary;and
()carryout prospectingactivities inaccordancewith the intermational best practice standards and guidelines as may be prescribed.
(2)Where the expenditure specified in the approved programme for prospecting operations insub-section(1)(c)isnotexpended during the term be prescribed by Regulations made under this Act.

Section79 ofNo.12of2016which it isproposed toamend

Record-keepingand reportingrequirements

(1)The holder of a prospecting licence shall keep complete and accurate records of the prospecting operations at the registered office of the holderin the manner prescribed.
(2)For the purpose of sub-section (1).records of the prospecting operations include-
(a)details ofall minerals discovered:
(b) the results of geochemical or geophysical analysis obtained and compiled by the holder;
(c)financial statements and books of accounts as the Cabinct Secretary may by notice require;and
(d)any other reports or information as may be prescribed or otherwise determined by the Cabinet Secretary.

Section 80of No.12of2016which itisproposed toamend

Amendmentofprogramme forprospectingoperations

The holder of a prospecting licence may make a written application in the prescribed form to the Cabinet Secretary forapproval to amend the

approvedprogramme forprospecting operations.

Section8lofNo.12of2016which itisproposed toamend

Renewalofprospectinglicence

(1)The holder of a prospecting licence may apply to the Cabinet Secretary for the renewal of the prospecting licence in respect of an area ofland that forms part of the prospecting area.
(2)An application under this section shall be made in the prescribed form and shall be accompanied by the prescribed fee.
(3)An application for the renewal of a prospecting licence shall be made three months before the expiry of the term of the current prospecting licence.
(4)The Cabinet Secretary,on the recommendation of the Mineral Rights Board,shall respond to an application for the renewal of a prospecting licence within sixty days of receipt of the application.
(5)Where an application has been made and the Cabinet Secretary fails to respond before the expiry of the prospecting licence,the applicant may continue the prospecting operations until the application is determined.

Section 82ofNo.12of2016which ir isproposed to amend-

Application forrenewalofprospectinglicence

(1)An application for the renewal of a prospecting licence shall be accompanied by-
(a)a report on the progress of theprospecting operations;
(b)a statement of the costs incurred in the course of undertaking prospecting operations;
(c)particulars of the programme for prospecting operations that the applicant proposes to carry out during the renewal period, including an estimate ofexpenditure;
(d)a plan showing the area of land in respect ofwhich renewal is soughr:and
(e)proof of submission and approval of environmental audit reports relating to the initial application and the application for renewal, to the National Environmental Management Authority.

(2)Where an applicant does not provide a plan in accordance with subsection (l)(d).the Cabinet Secretary shall determine the area in respect ofwhich renewal shall be granted
(3)The Cabinet Secrelary shall only renew a prospecting licence where the applicant demonstrates compliance with this Act.

Section84ofNo.12of20l6which it isproposedtoamend

Relinquishment,consolidation ete.

(1)Unless the Cabinet Secretary agrees that a smaller area may be relinquished,the size of the area specified in a prospecting licence shall be reduced upon renewal-
(a)by not less than one half the number of blocks,but a minimum of one hundred and twenty fiveblocks shall subject to the licence:or
(b)where the blocks form not more than three discrete areas,each consisting of a single block or a number ofcontiguous blocks each havinga side in common with at least one other block in that area.
(2)Where aperson or company holds two or more contiguous prospecting licences of the same term and in respect of the same mineral or minerals,the Cabinet Secretary may.for the purposes of relinquishment of part or any of the areas thereof,declare the areas covered by such licence tobe one area subject to a single prospecting licence and provide written notification to the holder of the prospecting licence:
(3)A person shall not be paid compensation in respect of the relinquishment of land provided forunder this Act or where the land formed part of the prospecting area under a prospecting licence.

Section86ofNo.12of2016which it isproposed to.amend-

Application forretention licence

(1)The holder of a prospecting licence may apply for a retention licence by making an application to the Cabinet Secretary in the prescribed form and accompanied by thc prescribed fee.
(2)An applicant for a retention licence shall provide information to the Cabinet Secretary in the prescribed form in accordance with subsection (三)-
(a)the mineral or mineral deposit in respect of which the licence is sought:

(b)a full study and assessment by an independent expert on-

(i)the prospects for recovery:

(i)the commercial significance of the mineral deposit;
(ii) the relevant adverse market conditions,economic factors, technical constraints or any other factors that may make it
impossible to developthemineral deposit immediately:
(c)the area in respect of which the licence is sought;
(d)particulars of any proposed prospecting operations to be carried
out under thelicence:
(e)details of the experience and financial resources available to the applicant for the development of the mineral when the relevant adversemarketconditions.economicfactors,technical constraints or other factors which make it impossible to develop the mineral cease to exist;
(f)a plan giving particulars of the applicant's proposals with respect to the employment and training ofKenyan citizens;and
(g)a plan giving particulars of the applicant's proposals with respect
tothe procurement of local goods and services.
(3) The Cabinet Secretary,on the recommendation of the Mineral
Rights Board,shall only grant a retention licence,if-
(a)the application is reasonable having regard to the study and
assessment referred to in sub-section (2)x(b):
(b)the applicanthas adequatefinancial resources,technical competence and mining industry experience to develop the mineral deposit once the relevant adverse market conditions. economic factors,technical constraints orother factors that make it impossible to develop the mineral deposit cease to exist;
(c)the applicant has obtained an environmental and social impact assessment licence and an environmental management plan which relates to the operations to be carried out under the retention licence where required under the Environment Management and
Coordination Act:
(d)the applicant's proposal with respect to the procurement of local goods and services is acceptable;and
(e)the applicant's proposal with respect to employment and training
ofKenyan citizens is acceptable.
(4)The Cabinet Secretary may require the applicant to provide any additional information which may be reasonably required regarding the applicant's proposal for the retention and development of the mineral
depositscovered by the application.

(5)Where an applicant does not respond to a request for additional information in accordance with subsection (4).the Cabinet Secretary shall reject the application.

Section 87of No.12of2016 which itisproposed toanend-

Term ofretention licence

(1)The term of a retention licence shall be specified in the licence.and shall not exceed two years.
(2)The holder of a retention licence may,at any time butnot later than three months before expiration of the initial term of the licence,apply to the Cabinet Secretary for a renewal of the retention licence in the prescribed manner.
(3)The Cabinet Secretary.on the recommendation of the Mineral Rights Board shall grant a renewal of the temm of the licence for a further periodnotexceeding twoyears.

Section89ofNo.12of2016 which ir isproposed to amend-

Obligationsunderretention licence

The holder of a retention licence shall-

(a) demarcate the licence area in such manner as may be prescribed:
(b)back fill or otherwise make safe in the prescribed manner or as otherwise directed by the Cabinet Secretary any excavations made during the course of prospecting operations;
(c)permanently preserve,or otherwise make safe in the prescribed manner or as otherwise directed by the Cabinet Secretary,any boreholesmade during the course ofprospecting operations:
(d)comply with the terms and conditions of the environmental restoration,rehabilitation and heritageplan:
(e)remove any equipment,plant or building erected for prospecting operations in the area specified in the licence;
(f)carry out such studies and assessments of the prospects of the commercial exploitation ofthe mineral deposits concemed as may reasonably be required by the Cabinet Secretary:and
(g)comply with the conditions of the licence or any existing and applicable minerals agreement,and any directions issued by the Cabinet Secretary or an authorized officer in accordance with this Act.

Section90ofNo.12of2016which it isproposed to amend

Record-keeping and reportingrequirements

(1)The holder of a retention licence shall keep at the registered office,complete and accurate records of prospecting operations relating to the licence in the manner prescribed.
(2)The records to be kept by the holder of a retention licence for the purposes of subsection (l) shall include-
(a)details of all minerals discovered:
(b)results of geochemiicalor geophysical analysis obtained and compiled by the licence holder:
(c)results of studies,surveys,tests and other work undertaken in the areacovered by.the RetentionLicence,including any interpretation and assessment of those testsand surveys:
(d)financial statemenis and such other books of account as the Cabinet Secretary may prescribe:and
(e)such other reports and information as may be prescribed or otherwise determined by the Cabinet Secretary.

Section91ofNo.12of2016which it isproposed toamend

Compulsion to apply for mining licence by retention licence holder

(1)The Cabinet Secretary may issue written notice to the holder of the retention licence requiring the holder to apply for a mining licence in respect of the minerals specified in the notice before the end of the period specified in the licence.
(2)The Cabinet Secretary shall issue a notice under sub-section (l) if he is satisfied,based on an independent report,that it has become technically possible and commercially viable for a mineral deposit that is the subject of a retention licence to be mined during the term of the licence.
(3)Where the holder of a retention licence fails to comply with a notice served in accordance with subsection (l).the Cabinet Secretary shall give such holder thirty days'notice to show cause as to why the retention licence should not be revoked.
(4)Where no response is received within the period specified in subsection (3),the Cabinet Secretary shall revoke the retention licence.
(5)The holder of a retention licence shall not be entitled to compensation,if a retention licence is revoked under this section.

Section94ofNo.12of2016whichit isproposed toamend-

Artisanal Mining Committee

(1)There shall be established in every countyan Artisanal Mining Commitiee.
(21 An Artisanal Mining Committee shall comprise of
(a)arepresentativeofthe Governor who shall be the chuiicrson ol the committee:
(b)the representative of the Director of Mines who shall be the secretary:
(c)three persons not bcing public officers and elected by the association of artisanal miners in the county:
(d)a representative of the inspectorate division of the Ministry:
(e)a representative of theNational Environment Management Authority:and
()arepresentative ofthe countyland board
(3)The Committee shall advise the representative of the Director of Mines in the granting renewal or revocation of artisanal miningpermits.
(4)Themembers of the Committee shall hold office for a period and on such terms and conditions as may be determined in the instrument of appointment.

Section98ofNo.12of2016which itisproposedtoamend-

Operations of Artisanal Miners

(1)A holder of an artisanal permit may mine and produce minerals in an effectiveand efficientmcthod,
(2)The holder of an artisanal permit shall observe good mining practices.health and safety rules and pay due regard to the protection of thecnvironment.
(3)The Cabinet Secretary shall prescribe Regulations for the protection,health and safety of artisanal mining operations.

Section10lof No.12of2016which it isproposed toamend

Application formininglicence

(1)A person or company may apply for a mining licence in the prescribed form and accompanied by the prescribed fee.
(2)An application for a mining licence under subsection (l) shall be in the prescribed form and addressed to the Cabinet Secretary and shall provide thefollowinginformation-

(b) the area in respect of which the licence is sought:
(c)a proposed programme ofmining operations that outlines the mine forecasts and operation plans,including the options for minerals beneficiation in the prescribed form:
(d)a feasibility study:
(e)a statement regarding the mineral or minerals in the area of land over which the licence is sought,including details of all known minerals as well asprobable mineral reserves;
(f)a statement of the financial and technical resources available to the applicant to carry out the proposed mining operations and to comply with the conditions of the licence:
(g)a plan giving particulars of the applicant's proposals with respect to the employment and training ofKenyan citizens;
(h)a plan givingparticulars of the applicant's proposals with respect to theprocurement oflocalgoods and services:
(i)proofofsubmission and approval ofan environmental and social impact assessment report and environmental management plan for the term of the mining licence to the National Environment Management Authority:and
)a plan giving particulars of the applicant'sproposals with respect to social responsible investments for the local community.

Section 102of No.12of2016whichir isproposedto amend-

Restrictions in respect of mininglicences

The Cabinet Secretary shall not grant a mining licence in respect of land which is the subject of a prospecting licence,reconnaissance licence, a retention licence or a mininglicence unless-

(a)the applicant is the holder of that licence;or
(b)the applicant,with the consent of the licence holder,is applying fora licence that would permit the applicant to work a mine dump or mine waste and tailings on the land but not to undertake any other mining operation on the land.

Section 103ofNo.12of2016which it isproposedto amend-

Consideration ofapplications

The Cabinet Secretary.on recommendation of the Mineral Rights Board,may grant a mining licence if satisfied that-

(a)the area of land over which the mining licence is sought is reasonable havingregard to the applicant's proposed programme ofmining operations.but in any case not more than three hundred contiguous blocks:
(b)the applicant has adequate financialresources,technical competence and mining industry experience to carry out the proposed programme of miningoperations:
(c)the applicant has obtained an approved environmental impact assessmentlicence.asocial heritageassessmentand environmental management plan in respect of the applicant's proposed mining operations:
(d) the applicant's proposal with respect to the procurement of local goods and services is acceptable:
(e)the applicant's proposal with respect to employment and training ofKenyan citizens is acceptable:
(f)the project is feasible based on the feasibility study:and
(g)the applicant's proposal with respect to engaging in community investments is sociallyresponsible.

Section 104of No.12of2016which it isproposed toamend

Application by holder of prospecting licence

The Cabinet Secretary shall grant a mining licence to an applicant where-

(a) the applicant is the holder of a prospecting licence and has given notice to the Cabinet Secretary of the discovery ofminerals in or onterrestrial or marine areas which are the subject of the prospecting licence:and
(b) the applicant has satisfied the requirements prescribed by this Act for the grant of a mining licence.

Section 105of No.12of2016whichit isproposedto amend

Noticeofrefusal

The Cabinet Secretary shall not reject an application for a mining licenceunless-

(a)he has given the applicant a notice of the intention to reject the application stating the grounds for rejecting the application:
(b)he has specified in the notice a period within which the applicant may make appropriate proposals to remedy the grounds stated in the notice of intention to reject the application:and

(c)the applicant has failed,within the specified period,to make appropriate proposals.

Section 106of No.12of2016whichit isproposedtoamend-

Form ofmininglicence

Amining licence shall contain the following information in addition to any other information provided for under this Act-

(a) the mineral in respect of which the licence is issued;
(b)name and address of the holder;
(c)date of grant and expiry of the licence:
(d) the area in respect of which the licence issued;
(e) the approvedprogramme for mining operations;
(f) the approved plan for the procurement of local goods and services:
(g)conditions subject to which the licence is issued;
(h) the approved plan to employ and train citizens of Kenya;
(i)details of the approved environmental impact assessment report, social heritage impact assessment and environmental management plan:and
()such other information as the Cabinet Secretary may consider necessary.

Section 109ofNo.12of2016whichit isproposedto amend-

Obligations under mining licence

The holder ofa mininglicence shall-

(a)commence mining operations within six months of the grant of the licence,or as may be specified in the approved program for
(b)conduct mining operations in.compliance with the approved programme for mining operations;
(c)complywiththe terms and conditions of the approved environmentalimpact assessment tlicence,socialheritage assessment and environmental management plan relating to the operations to be carried out under the mining licence;
(d) demarcate and keep demarcated the mining area in the prescribed manner:

(e)comply with the conditions of the licence,any applicable mineral agreement and any directions issued by the Cabinet Secretary or an authorized officer in accordance with this Act;
(f)submit to the Cabinet Secretary up to date quarterly returns of mine development and mineral production;
(g)stack or dump any mineral or waste products in the manner provided for in the licence or as otherwise prescribed,having regard to good mining industrypractice;
(h)carry out prospecting and mining activities in accordance with international best practice and the prescribed guidelines:and
(i)sign a community development agreement with the community where mining operations are to be carried out in such a manner as shall be prescribed in Regulations.

Amendment ofprogramme ofmining operations

Section I1lof No.12of2016which it isproposedto amend

(1) Subject to the terms and conditionsof the licence,the holder of a mining licence shall notify the Cabinet Secretary of any proposed Amendment of the approved programme for mining operations.

2. (2)Unless the Cabinet Secretary rejects the proposed amendment,the amendment shall take effect three months after the date of notification under subsection (1). 3. (3)A proposed amendment which is likely to substantially alter the approved programme of mining operations shall not take effect unless expressly approved by the Cabinet Secretary.

Section112of No.12of20l6whichir isproposedto amend

Newly discovered minerals

(1)The holder of a mining licence shall notify the Cabinet Secretary of the discovery of any mineral to which the licence does not relate within thirty days of the discovery.
(2)The notification under sub-section (1) shall include the particulars ofthe site and such other circumstances of the discovery asmay be prescribed or otherwiserequired by the Cabinet Secretary.
(3) Subject to subsections (1).the holder of the mining licence may apply to the Cabinet Secretary to include a newly discovered mineral or minerals under the mining licence.
(4)An application to includea newly discovered mineral or minerals made under subsection (3) shall be in the prescribed form and shall include

aproposed programme for mining operations relating to such mineral or minerals,
(5)The Cabinet Secretary,on recommendation of the Mineral Rights Board may approve an application made in accordance with subsections (3).subject to such additional conditions as the Cabinet Secretary may preseribe.

Section 113ofNo.12of20i6whichit isproposed to amend

Cessation,suspension,or curtailment of production in respect of mining licences

(1)The holder ofa mining licence shall give the Cabinet Secretary a notice of any intention to cease or suspend mining operations,or curtail production carried on pursuant to the mining licence.
(2)For the purposes of subsection (l).the holder shall give notice of
(a) six months.for cessation of mining operation:
(b)thrce months,for suspension of mining operation:or
(c)one month,for curtailment in production.
(3)A notice given under section shall include a statement that sets out the technical and economic basis for the proposed cessation,suspension or curtailment ofproduction.

(4)Upon receipt of a notice given in accordance with this section,the Cabinet Secretary shall investigate the circumstances leading to the proposed cessation,suspension or curtailment of production and if he or she is satisfied,the cessation,suspension or curtailment of production should be granted.

(5)The Cabinet Secretary may approve the cessation,or suspension ofmining operations or curtailment of production proposed by the licence holder subject to the holder complying with such conditions as the Cabinet Secretary may determine,
(6)The Cabinet Secretary shall prescribe the period within which a suspension allowed under this section may be acceptable.
(7)Where the holder is unable to give the required notice as provided under subsection (l)and the holder suspends orcurtails production from a mine,the holder shall,within three days of the suspension or curtailment, notify the Cabinet Secretary.
(8)The Cabinet Secretary shall make Regulations to provide for the conditions to manage the mines and the licence area where a cessation notification hasbeen approved.

Section 114of No.12of2016which it is proposed to amend

Renewal ofmininglicence

(1)The holder of a mining licence may apply to the Cabinet Secretary for the renewal of the licence.
(2)An application under subsection (l)shall bemade in the prescribed form and be accompanied by theprescribed fee in respect of all orpart of the licence area.
(3)An application for the renewal ofa mining licence shall be made at least one year before the expiry of the licence.

Section115ofNo.12of20l6which it isproposedtoamend-

Application forrenewal of mining licence

An application for the renewal ofa mining licence shall contain the information orbe accompanied by the followingdocuments

(a)a proposed programme ofmining operations to be carried out during the term of renewal:
(b)a plan of the area in respect of which renewal of the mining licence is sought including all or any of the contiguous blocks in the mining licence area;
(c)an approved environmental impact assessment licence.social heritage assessment .environmental management plan in respect ofthe applicant's proposals. whererequiredunderthe Environmental Management andCoordinationActand Community Development Agreement:and
(d)such additionalinformation as the Cabinet Secretarymay prescribe

Section117ofNo.12of20j6which ir isproposed toamend-

Mineralagreement.

(1)The Cabinet Secretary in consultation with the National Treasury may enter into a mineral agreement with the bolder ofa mining licence where the proposed investment exceeds five hundred million United States dollars.
(2)A mineral agreement shall include terms and conditions relating to-
(a)the minimum prospecting or mining operations to be camied out and the time table determined for purposes of such operations;

(b) the minimum expenditure in respect of the prospecting or mining operations;
(c)the manner in which prospecting or mining operations shall be carriedout:
(d) the environmental obligations and liabilities,subject to the requirement of the Environment Management and Co-ordination Act,
(e) the procedure for settlement of disputes:
(the processing.whether wholly or partly in Kenya.of any mineral or group of minerals found,obtained or mined by the holder of a mineral right in the course of mining operations;
(g)the basis on which the market value of any mineral or group of minerals in question may from time to time be determined:
(h)insurance arrangements;
(i)resolution of disputes through an intemational arbitration or a sole expert:and
(i)community development plans;
(k)the payments of royalties,taxes,cess and other fiscal impositions; and
(I)financial arrangements
(3) Nothing contained in a mineral agreement shall be construed as to absolve any party to such agreement from a requirement prescribed by law.
(4)Amineral agreement shall be prepared in accordance with a standard format asmay be prescribed in Regulations.
(5)All mineral agrcements shall be submitted to the National Assembly and the Senate forratification.

Section 118ofNo.12of2016which it isproposedto amend-

Power to negotiate mineral agreements

The Cabinet Secretary may,on behalf of the State.on the advice of the Mineral Rights Board,negotiate with an applicant for or holder of a prospecting licence,a retention licence or a mining licence in respect of large scale mining or exploitation of minerals in the marine and terrestrial areas in accordance with the provisions of this Act and any other written law.

Section125of No.12of2016whichit isproposedloamend-

Application for areconnaisscnrpermit

(l)A person may apply for a reconnaissance permit to the Cabinet Secretary in the prescribed form and upon payment of the prescribed fee.
(2)An application for a reconnaissance permit shall contain the following-
(a) the full name,nationality and address of the applicant;
(b)the mineral or minerals in respect of which the permit is sought: and
(c) the area in respect of which the permit is sought.

Section 129of No.12of2016which itisproposed toamend-

Application for prospectingpermit

(1)A person may apply for a prospecting permit to the Cabinet Secretary in the prescribed form and upon payment of the prescribed fee.
(2) An applicant for a prospecting permit shall contain the following information-
(a)the full name,nationality and address of the applicant or,in the case of a body corporate,the place ofincorporation and the registered address:
(b) the mineral or minerals in respect of which the permit is sought:
(c)the area in respect of which the permit is sought;
(d)the particulars of the proposed prospecting operations to be camied out under the permit;and
(e)details of the experience and financial resources available to the applicant to conduct the prospecting operations.

Section 130ofNo.12of2016which it isproposed to amend

Notice to applicants

(1) Where the Cabinet Secretary intends to reject an application,he applicant.

2. (2)Anotice under sub-section(I) shall state- 3. (a)the grounds for the intended rejection of the application;and 4. (b)a period within which the applicant may make an appropriate proposal to correct or remedy the ground for the intended refusal.

(3)Where an applicant does notrespond to the notice within the period stated in the notificntion.the Cabinet Secretary shall reject the application.

Section132ofNo.12of2016whichirisproposed toamend-

Rights conferred by prospecting permit

(1)The holder of a prospecting permit shall enjoy the right to prospect for the mineral or minerals and permit.in the area specified in the permit.
(2)The holder of a prospecting permit may.in exercise of the right conferred under subsection (l)-
(a) demarcate areas that fall within the permit area:
(b)enter into land that falls within the area specified in the permit and take all reasonable measures toundertake prospecting operations on orunder the surface of theland:and
(c)erect equipment,plant and buildings forthe prospecting operations.
(3) Save for any prescribed quantities required for sampling and assaying purposes,a prospecting permit granted under this Act shall not be construed to confer upon the holder the right to dispose of minerals obtained in the course of prospecting without the consent of the Cabinet Secretary.

Section 134ofNo.12of2016which it isproposed toamend-

Renewalofprospectingpermit

The holder of a prospecting permit may apply for the renewal of the permit to the Cabinet Secretary in the prescribed form and upon payment of the prescribed fee.

Section136of No.12of2016 whichit isproposed to amend-

Application for miningpermit

(1)A person may apply for a mining permit to the Cabinet Secretary in the prescribed form and upon payment of the prescribed fee.
(2)An applicant for a mining permit shall provide the follewing information to the Cabinet Secretary
(a) the full name,nationality and address of the applicant,or,in the case ofa body corporate,its place of incorporation,names and nationalities of the directors and itsregistered address;

(b)the mineral in respect ofwhich the permit is sought;
(d)particulars of the proposed mining operations to be carried out under the permit:and
()details of the area in respect of which the permit is sought:
(e) details of the mining experience and financial resources available to the applicant to conduct the mining operations.

Approval ofapplication forminingpermit

Section137ofNo.12of20l6whichitisproposedtoamend-

(1)The Cabinet Secretary,on recommendation of the Mineral Rights Board,shall not reject an application for a mining permit,unless he or she has given the applicant a notice ofintention to reject the application.
(3)Where the grounds for the intended refusal are not capable of being remedied,the applicant may show cause,within the specified period to the satisfaction of the Cabinet Secretary,why the application should not berefused.
(2)A notice under sub-section (l) shall state the grounds for rejecting the application and a period within which the applicant may make an appropriate proposal to correct or remedy the grounds set out in the notice.

Section140ofNo.12of2016which itisproposed toamend-

The holderof a mining permit shall-

Obligationsunderminingpermit

(a)conduct mining operations in compliance with a plan approved by
the Cabinet Secretary;
(b) demarcate and keep demarcated the mining area in the prescribed manner:
(c)takeallmeasures necessaryto protect andrestore the environment within the mining area;
mine development and mineral production:
(d) submit to the Cabinet Secretary up to date quarterly retums on
(e)comply with any prescribed record keeping obligations;
(stack or dump any minerals or building materials or waste products in the manner provided for in the permit or as otherwise approved by the Cabinet Secretary:
(g)not use such equipment as may be prescribed in Regulations or
chemicals such as cyanide and mercury:and
(h)pay royalties,fees,mining taxes and charges.

Section141ofNo.12of20l6which it isproposedto amend-

Renewal of mining permit

The holder of a mining permit may apply for the renewal of the permit by application to the Cabinet Secretary in the prescribed form and upon payment of theprescribed fee.

Section 143of No.12of2016 which itis proposed toamend-

Application for approval of surrender

The holder of a mineral right may by notice in writing to the Cabinet

Section 144of No.12of2016 which itisproposed toamend-

Approvalrequired for the surrender of mineralright

(1)The Cabinet Secretary.on the recommendation of the Mineral Rights Board,may allow the holder ofa mineral right to surrender that mineral right in respect of the whole or any part of the area specified in the mineral right.
(2)The holder of a mineral right shall apply to surrender the mineral right to the Cabinet Secretary.
(3)An application under sub-section (2) shall be in the prescribed form and the applicant shall give-
(a)at least three months'notice of intention to surrender the whole or part of the area specified in the mineral right:or
(b)in the case of a prospecting permit at least one months'notice of intention to surrender the whole or part of the area specified in the permit.
(4)An application made under subsection(2)shall include-
(a)a plan of the area to be surrendered in a form which is acceptable to the Cabinet Secretary if the surrenderrelates to part of the area specified in the right:
(b)proof of implementation of any environmental management plans,and
(c)pall records and reports with respect to the prospecting or mining operations carried out in the area to be surrendered.

Section145ofNo.12of2016which it isproposed toamend-

Notification of approval of surrender

(1)A proposed surrender of an area covered undera mineral right shall haveno effect unless and untilthe Cabinet Secretary.on the

recommendation of the Mineral Rights Board,gives the holder thereof written notice that the application for surrender has been approved.

Section147of No.12of2016whichir isproposedto amend-

(2)An approval for the surrender of a mineral right may be granted subjecttosuchconditionsas the CabinetSecretary.on the recommendationof the Mineral RightsBoard,may deem appropriate.

Groundsfor suspension andrevocation

(1) The Cabinet Secretary.on the recommendation of the Mineral Rights Board.may suspend or revoke a mineral right if the holder-

2. (b)fails to comply with any condition specified in the right or an obligation placed on the holder by this Act,or fails to take the action required bythe Cabinet Secretary to be taken in accordance with subsection (3): 3. (a)fails to make a payment required under this Act on the due date: 4. (c)commits an offence under this Act; 5. (d)makes or is found to have made a false statement in the application for the grant or renewal of the mineral right;or 6. (e)is adjudged bankrupt or in the case of a company it is declare insolvent. 7. (3)The Cabinet Secretary may suspend or revoke a prospecting or mining permit if the holder does not commence prospecting or mining operations under the permit in accordance with the approved work programme or programme ofmining operations. 8. (4)Before suspending or revoking a mineral right in accordance with subsection (2).the Cabinet Secretary shall give the holder a written notice requiringhim- 9. (a)to comply with the condition or obligation within a reasonable period oftime;or 10. (b) to show cause,within that period,as to why the mineral right should not besuspended orrevoked.

Assets on termination

Section149 ofNo.12of2016which it isproposed to amend

(1)The holder ofa mineral right who applies to surrender the right shall furnish the Cabinet Secretary with a statement of the immovable and movable assets and any other information in the prescribed form-
(b)a notificationofanypotentially hazardous substances. excavations and buildings in the area.
(a)a statement of assets which identifies the assets the holder intends to remove from the area and those the holder intends to leave;and

(2)Where a mineral right is not renewed at the end ofits term or is cancelled by the Cabinet Secretary,the former holder of the mineral right shall provide a statement to the Cabinet Secretary in the prescribed form containing the information prescribed in subsection (l)within such reasonableperiod as the Cabinet Secretary may direct.
(3)All immovable assets of the holder under the mining licence shall vest in the Republic from the effective date of the surrender or termination ofthe licence.
(4)All movable assets of the holder in the mining area which are fully depreciated for tax purposes shall vest in the County Government without charge on the effective date of such temmination and any property not then fully depreciated for tax purposes,the County Govermment or the Republic shall have the right of first refusal for the sale of such assets from the effective date of termination at the depreciated cost.
(5) Subject to subsection (4),the Cabinet Secretary may permit the assets to beremoved solely and exclusively for the purpose ofuse by the holder in another mining operation in the country.
(6)The Cabinet Secretary shall prescribe Regulations on the use of the assets.

Section 150ofNo.12of2016which ir isproposed to amend-

Delivery ofrecordsand documents on termination

Where a mineral right is not renewed or is surrendered by the holder or cancelled by the Cabinet Secretary.the holder shall deliver to the Cabinet Secretary within aperiod oftwo months-

(a)all the records which,prior to termination,the holder was obliged to maintain under this Act:and
(b)all plans or maps of the area covered by the mineral right prepared by or for the holder.

Section153ofNo.12of2016whichitisproposedtoamend-

Principlesofcompensation

(l)Where the exercise of the rights conferred by a mineral right-
(a)disturbs or deprives the owner or any lawful occupier or user of the land orpart ofthe land:
(b)causes loss of or damage to buildings and other immovable property:
(c)causes damage to the Water table or deprives the owner ofwater supply:

(d)in the-case of land under cultivation or grazing of domesticated animals,causes any loss ofeamings or sustenance suffered by the ownerorlawfuloccupierofthe land:
(c)a demand or claim for compensation may be made to the holder ofthemineral righttopaypromptadequateand fair compensation to the lawful owner,occupier oruser of the land in accordance with the provisions of this Act.
(2)A mineral right holder shall deposit a compcnsation guarantee bond with the relevant Ministry.
(3)The Cabinet Secretary may make Regulations relatingto compensation guarantee bonds
(4)A person shall not demand or claim compensation whether under this Act orotherwise-
(a)in consideration for permitting entry to the land connected with the enjoyment of rights conferred undera mineral right:
(b)in respect of the value of any mineral in.on or under the land thal is the subject ofa mineral right:or
(c)for any loss or damage for which compensation cannot be assessed according to legal principles.
(5)Where a demand or claim for compensation is disputed.the parties to the dispute shall seek to resolve the dispute amicably by agreement reached through negotiations in good-faith.
(6)Where a dispute cannot be resolved through negotiations within a reasonable period of time.either party to the dispute may refer the matter to the Cabinet Secretary for a determination in accordance with section 129ofthis Act.
(7)A holder ofa mineral right shall not commence miningof mineralsunlessthelawful occupier.owner oruser of land iscompensated
(8)The Cabinet Secretary in consultation with the community and the National Land Commission shall in such manner as may be prescribed ensure that the inhabitants or communities who prefer to be compensated by way of resettlement as a result of being displaced by a proposed mineral operation are settled on suitable altemate-land,with due regard to their economic wellbeing.social and cultural valucs and the resettlement is carried out in accordance with the relevantphysical planninglaw.
(9)The cost of resettlement under sub-section (8) shall be borne by the holder of the mineral night

Section-154ofNo.12of2016which itisproposedtoanemd

General provisionson dispute resolution

Any dispute arising as a result of a mineral right issued under this Act. may be determined in any of the following manners-

(a)by the Cabinet Secretary in the manner prescribed in this Act:
(b)through a mediation or arbitration process as may be agreed upon by the disputing parties or as may be stated in an agrcement;or
(c) through a court of competent jurisdiction.

Secnion155ofNo.12of2016whichitisproposedtoamend

Determination of disputes by Cabinet Secretary

Subject to the provisions of this Act. the Cabinet Secretary may inquire into and determine the followingmatiers-

(a)a dispute of the boundaries of an aren held under a prospecting or mining right:
(b)any wrongful act committed oromittedin the courseof ueisuee suosd Au qsuondo Suu pue Sundso other person:
(c)a claim by any person to be entitled to crect.cut.construct or use any pump.line of pipes,flume,race.drain.dam or reservoir for mining purposes:
(d)a claim to have any priority of water-taken,diverted,used or claimingthe same:or
(e)assessment and payment of compensation where provided for under this Act.

Section 156ofNo.12of2016which it isproposedto amend

Procedure for determination of disputesby the Cabinet Secretary

(1)A dispute referred to in-section155may be referred to and determined by the Cabinet Secretary in accordance with the following procedures-
(a)theparty referring the dispute to the Cabinet Secretary shall lodge amemorandumwith the Cabinel Secretary together with a statement ofclaim in the prescribed fonm:
(b)on receipt of the memorandum,the Cabinet Secretary shall notify the party against whom the complaint has been made of the

referral of the dispute and shall advise the other party of the mature ofthe complaint andinvitethat party tolodgea memoandum in response to the complaint:

i ceciing the wnten respsefromthe partyagainst whom ht.hendeed fodeteomimatnm.the Cahinet eplhilpt l:ll be he d etened:

idhe partiesshall be invited to state their respective cases bcore the Cabinei Secretary and shall beentitled to adduceevidence on oath or affirmation in support of thcir cases:and
(e)after hearing the statements and receiving the evidence the Cabinet Secretary shall make a written determination of the dispute.
(2)Any person who is a party to a dispute referred to the Cabinet Secretary for determination under this section may appear in person or be representedby an advocate.
(3)In making a determination of a dispute.the Cabinet Secretary shall.having regard to the subject matter of the dispute.apply relevant rules and principles concerning the matter in dispute.
(4) Subject to section 155,the Cabinet Secrctary may make such orders as he may consider necessary to give effect to a determination. including ordering thepayment of compensation by one party to the dispute to the other.
(5)An order made by the Cabinet Secretary under this section shall be enforceable by a Court as if the same were an order of that Court.
(6)The Cabinet secretary shall keep a record ofall malters heard and determined by him,and shall kcep a written record of the evidence given before him.

(7)Any person who is interested in any dispute.decision or order shall be entitled to obtain a copy of such record andnotes upon payment of the prescribed fee.

(8)The Cabinet Secretary may send a copy.certified under his hand and seal,of any decree or order made by him to any civil court within the local limits of whose jurisdiction the subject-matter of the decreeissituated. and such civil court shall enforce the decree of the Cabinet Secretary in the same manner in which it would enforce itsown decree or order.
(9)The Cabinet Secretary shall by notice in the Gazette prescribe rules of procedure to be applied in respect to determination of disputes under this Act.

Section157of No.12of2016which it isproposed to amend-

Appeals

Any person aggrieved by any decree,order or decision made or given umder the powersvested in the Cabinet Secretary may appeal within thirty days to the High Court.

Section158ofNo.12of2016which itisproposed toamend-

158.Disposalofminerals

(1)A person shall not dispose of minerals,whether for sampling. assay,analysisor otherwise exccpt-
(a)with the written consent of the Cabinet Secretary:
(b)where the person is the holder of a mineral right,in accordance with the conditions of the mineral right:
(c)where the person is the holder ofa mineral dealer's licence or a diamond dealer's licence in accordance with the conditions of the licence:or
(d)in any other case,as otherwise pennitted by or under this Act
(2) No title to minerals shall pass in any case where a person disposes ofminerals otherwise than in accordance with subsection (1).

Section160ofNo.12of20l6whichitisproposedtoamend

Application for mineral dealer's licence

(l)An application for a mineral dealer'slicence shall be made to the Cabinet Secretaryin the prescribed form and shall be accompanied by the prescribed fee.
(2)An application made under subsection (1)shall be accompanied by evidence sufficient to show that the applicant is in possession of,or commands,either sufficient knowledge,experience,or working capital to ensure that the applicant can carry on the business that would be permitted under the licence.

Section 16lof No.12of2016which ir isproposedto amend-

Term ofmineral dealer'slicence

(1)A mineral dealer's licence shall expire on the thirty-first day of December of the year in which it is issued.
(2)A mineral dealer may apply for renewal of a mineral dealer's licence to the Cabinet Secretary in the prescribed form and upon payment of the prescribed fee.

Section163of No.12of2016which if isproposedto amend-

Record-keeping obligations of holder of mineral dealer's licence

(1)The holder ofa mineral dealer'slicence shall keep a register of the mineral dealings in the prescribed fom.
(2)The holder ofamineril dealers licence shall record in the register the following information inrespect ofeach transnction-
(a)the nature and weight of the mineralspurchased or sold:
(b) the price paid or received for the minerals:
(c)the date of the purchase or sale:and
(d)the name and address of the vendor or the purchaser or consignee
(3)The holder ofa mineral dealer's.licence shall submit to the Cabinet Secretary a true copy of the register in duplicate for the preceding three months,together with a statutory declaration.of the correctness thereof.in the months of January.April,July and October of every year.

Section 164of No.12of2016which it isproposedto amend

Mineral dealerspermit

(1) A mineral dealer's permit shall be issued,to citizens ofKenya or in the case ofa body corporate,where sixty percent of the shareholding is held by citizens of Kenya.

2. (2)A mineral dealer's permit shall be issued by the Cubinet Secretary upon application and payment of therequisite fees. 3. 3)A mineral dealer's permit shal expire on the thirty-first day of December of the year in which it is issued.

(4) The holder ofa mineral dealer's.permit shall.notexport mimerals but shall have the right to buy and sell locally.

Section 166of No.12of2016which it isproposed1o amend

Application for diamond dealer'slicence

(1) A person shall make an application fora diamond dealer's licence to the Cabinet Secretary in the prescribed form and shall be accompanied by theprescribed fee.

2. (2)An application made under subsection (l) shall be accompanied by evidence sufficient to show that the applicant is in possession of.or commands.sufficient working capital to ensure that he can carry on the business that would be permitted underthe diamond dealer's licence.

(3) The Cabinet-Secretary shall,before issuing a licence under this section.require the applicant to provide security.by way of bond or cash deposit in the prescribed form as the Cabinet Secretary shall require.for the due payment ofany prescribed fees or royalties which may become payable by such dealer in the course of his business under this Act.

Seetion 167ofNo.12of2016which iisproposed toamend

Term ofdiamond dealer's licence

(1)A diamond dealer's licence shall expire on the thirty-first dayof December of the year in which it isgranted.
(2)A diamond dealer may apply for renewal ofa diamond dealer's licence to the Cabinet Secretary in the prescribed form and upon payment of the prescribed fee.

Secion 168of No.12of2016which ifisproposed to amend

Obligationsunder diamond dealer'slicence

(l)The holder ofa diamond dealer's licence shall not-
(a)deal in diamonds except in accordance with the conditions set out inthe licence;
(b)engage in mineral dealings conceming diamonds.ascither principal or agent,except with either-the holder of a mineral right who isautnorized to mine diamonds.or tbe holder ofn diamond dealer'slicence:
(C)store diamonds except at theplace or in the premises specified in the licence:or
(d)deal in diamonds as cither principal or agent.except at the place or in the premises specified in the licence.
(2) The holder of a diamond dealer's licence shall comply with any other condition specified in the licence.
(3)The holder ofa diamond dealer'slicence shall keep a register of dealings in diamonds in the preseribed form.
(4)The holder ofa diamond dealer's licence shall record in the register the following infcrmation inrespect of transactions for diamonds-
(a) the nature and weiehr of the diamonds,
(b) the price of the diamonds:
(c)the date ofthe transaction:
(d)in the case ofa purchase of diamonds.details of the vendors authority to sell the minerals:and
(e)the name and address of the vendor.purchaser or consignee
(5)The holder ofa diamond dealer's licence shall submit to the Cabinet Secretary in the months of January,April.July and October of every year,a true copy of the register in duplicate for the prcceding three

months,together with a statutory declaration of the corectness thereof and shall also produce and exhibit the register to a police officer of or above therankof Inspector wheneverrequired in writingby the officer.

Section 169ofNo.12of2016which it isproposed toanend

Appointment of agentbyholder ofdiamond dealer'slicence

(1)The holder ofa diamond dealer's licence may appoint an agent for the purpose of engaging in diamond dealings on behalf of the licence holder.
(2)The appointment of an agent under subsection (l)shall not operatetoexempt the holder ofadiamond dealer'slicence from compliance with the relevant provisions of this Act and the conditions of the licence.
(3) Where the holder ofa diamond dealer's licence appoints an agent he or she shall fumish the Cabinet Secretary with the following information in theprescribed form-
(a)the name and registered address of the agent:
(b)the date of the appointment of the agent:and
(c)the duration of the instrument of appointment between the licence holder and the agent and details of the terms and conditionsof the agencyagreement.
(4)An agent appointed,by the holder ofa diamond dealer's licence may exercise the rights of the holder of the licence subject to,any limitations on the powers of the agent contained in the agreement or instrument of appointment between the licence holder and the agent.

Section 170 ofNo.12of20l6whichir isproposed to amend-

Mines support

(1)person or company shall provide any mine support services subject to being issued with a licence by the Cabinet Secretary.upon recommendation of the Mineral Rights Board.
(2)The Cabinet Secretary shall prescribe Regulations to give effect to this section.

Section 17l ofNo.12of2016which it isproposedtoamend

Import of minerals

Where a person imports minerals,the person shall make a declaration at the point of entry in the prescribed form.

Section 173ofNo.12of20i6which itisproposed toamend-

Suspenslon andrevocation

(1)The Cabinet Secretary may suspend or revoke a licence or permit granted under thisPart if the holder-
(a)fails to make a prescribed payment by the due date:
(b)fails to comply with a condition specified in the licence or an obligation imposed on the holder by this Actand fails to take action to remedy a breach within a reasonable time:
(c)makes a false statement or gives false information to the Cabinet Secretary or to a public officer exercising functionsunder this Act that was,which information is material to the grant of the licence orpermit:
(d)dies;
(e)becomes of unsound mind;
(f)is adjudged bankrupt;
(g)is subject to financial difficulty or otherwiseineligible to hold the licence or permit;or
(h) commits any offence under this Act.
(2)Before suspending or revoking alicence or permit under subsection (l) the Cabinet Secretary shall give the holder of the licence or permmit written noticerequiring the holder-
(a) to comply with the condition or obligation within a reasonable period of time:or
(b)where this is not possible,to show cause within that period,why the licence should not be suspended or revoked.

Section 175of No.12of2016whichir isproposedto amend-

Delivery ofrecords and documents on revocation

Upon revocation of a licence,the holder shall deliver to the Cabinet Secretary within the prescribed period all the records which,prior to revocation or expiration,he was obliged to maintain under this Act.

Section180of No.12of2016whichit isproposed toamend-

Requirement of site restoration and mine-closure plans

(1)The Cabinet Secretary shall not grant a prospecting licence,a retention licence or a mining licence to an applicant.unless the applicant has submitted a site mitigation andrehabilitation or mine-closure plans for approval.

(2)The Cabinet Secretary may prescribe Regulations.for site rehabilitation and mine-closure obligations.

Section181ofNo.12of2016 which itisproposed toamend

Environmentalprotectionbonds

(1) An applicant for a prospecting licence,aretention licence or a mining licence shall provide a bond or some other form of finncial security in this section called an environimental protection bond sufficient to cover the costs associnted with the implementation of the environmental and rehabilitation obligations ofthe holder under this Act.

2. (2)An environmental protection bond required under subsection (1) shall be in a form and for an amount as may be determined by the Cabinet Secretary havingregard to theparticular characteristics of the project, 3. (3)In determining the form and amount ofthe bond refered to in subsection (2).the Cabiner Secretary shall take-into account the amount that the applicant is required to provide by way of bond or some other form of financial security under the provisions of relevant Environmental Management and Coordination Act. 4. (4)The Cabinet Secretary may release in part an environmental protectionbond upon thesatisfactory completionofrehabilitation measures undertaken within the duralion of a licence and shall release the bond in full following the successful completion of all environmental and rehabilitation obligations mentioned in subsection (T).

Secrion 183ofNo.12of2016which it isproposed to amend

Royalties

(1)The holder of a mineral right shall pay royalty to the State in respect of the various minemal classeswonby virtue of the mineml right
(2)The Cabinet Secretary shall prescribe the rates payable under subsection (l).
(3)The Cabinet Secretary may require the holder ofa mineral right to make returns relating to any royalties paid in such manner and within a period as may be prescribed.
(4)Any mineral samples including core samples,removed for the purposes of testing.shall not be subjeet to royaity unless they exceed maximum value stipulated in regulations.
(5)The royalties payable under sub-section (l) shall be distributed as follows-
(a)seventy percent to the National Govermment:

(b) twenty percent to the County Govemment:and
(c) ten percent to the community where the mining operations occur. Section185ofNo.12of2016whichif isproposedtocmend

Record to be kept by a mineral rights holder

(} A mineral right holder who wins.cxtracts.produces.or-disposes ofminerals or mineral products shall maintain up to date records
(2)The records required to be kept under sub-section (1) shall include-
(a)the quantity:and
(b) the commercially relevant characteristics of the mineralsor mineralproducts,
(3)The Cabinet Secretary muy designate a qualified person to inspect and examine any samples,books.records and accounts to ascertain the quantity.quality.grade or value ofminerals or mineral products for the purposeof ascertaining or verifying the amount ofany royalty payable.

Section 186ofNo.12of2016which itisproposed to amend

186.Payment of fees,charges and royalties

(1)All fees.charges and royalties payable by the holder to the State under this Act shall be paid by the holder into the designated account of the State department responsible forcollecting royalties
(2)A payiment shall be accompanied by a statement from the holder stating-
(a) details of the mineral or mineral product:
(b)therelevant pointof sale;and
(e)the date and the amount of royalty paid.
(3)A copy of the statement shall be delivered to the Mining Cadastre Office.
(4)A mineral right holder shall report the royalty liability for each month by the fifih business day of the month.
(5)Upon receiptof aroyalty payment the Statedepartment responsible for collecting royalties shall issue a receipt.

Section187of No.12of20l6which it isproposedtoamend-

Default inpayingroyalties

(1)Where there isa default in payment of the prescribed royalties by amineral right holder.the Mining Cadastre Office shall issue a thirty day

notice to the mineral right holder requiring repayment of the outstanding royalties.

(2)In the event that the mineral right holder does not pay the royaltiespayable within the period specifiedin the notice-
(a) the Mining Cadastre Office shall record the outstandingroyalties in the cadastral register:and
(b) the Cabinet Secretary shall suspend the respective licence or permit.
(3)In the event that the mineral right holder does not pay the rovalties payable within sixty days,the Cabinet secretary shall revoke the licence or permit as the casemay be.
(4)Where the holder of mineral right fails to pay the prescribed royalty with the prescribed period,the Cabinet Secretary may prohibit the disposalof any mineral or mineralproduct from the mining area concerned,or from any othermining area held by that mineral right holder.

Section 188ofNo.12of2016which it isproposedtoamend-

Reduction or suspension ofroyalties

(1)A mineral right holder may apply to the Cabinet Secretary for a reduction or temporary suspension of a royalty rate.
(2)The Cabinet Secretary shall make Regulations to provide for the conditions and criteria for determining applications for reduction or suspension ofpayment ofroyalties.

Section192ofNo.12of2016which it isproposed to amend-

Requirement to enter information in register

(1)The register established under section 164 shall contain details of each application,grant,assignment,transfer,notice,surrender,suspension and cancellation of a mineral right.
(2)The Cabinet Secretary may prescribe such other records and instruments that shall entered into the register.
(3)The computerized mining cadastre and registry system shall include an online transactional facility to enable applications forgranting and renewal ofmineral rights to besubmited online.
(4)The cadastre shall be a public document and may be inspected by an interested person upon the payment of a prescribed fee.
(5)The National Land Commission shall keep a copy of the cadastre.

Section 196of No.12of20i6whichir isproposed toamend

Appointment of inspectorsof mines

(1) The Cabinet Secretary may.by notice in the Gazette.designate duly qualified public officers. to be inspectors ofmines for such jurisdictional units asmay be specified in the notice.

2. (2)Aminesinspector shall monitor compliance and take enforcement action and perform such other functions as may be required under this Act orspecified in the notice of appointment. 3. (3)The Cabinet Secrelary shall issue a nines inspector with a document ofidentification.

Section 197ofNo.12of2016which it isproposed to amend-

General powersof search and inspection

(1) The Cabinet Secretary or a mines inspector authorised by the Cabinet Secretary may without prejudice to all other written laws,at all reasonable times-
(a)enter,inspect and examine land on which prospecting or mining operations are being conducted or land which is the subject of a mineral right:
(b)enter into an area,structure,vehicle,vessel.aircraft or building that,in the opinion of the Cabinet Secretary or the mining inspector has been or is being used for or in connection with prospecting or mining operations:
(c)carry out periodic inspectionsof premises within the jurisdictional limits which have been or are being used for or in connection with prospecting or mining operations:
(d)enter,inspect and examine any premises where mineral dealings are being conducted;
(e)require the production of.inspect.examine.and take copies of licences.permits.registers,records of any kind and other documents relating to this Act and the carying out ofoperations authorised by a mineral right,or other licence or permit granted underthis Act:
(ftake samples of any article and substances to which this Act relates and submit such samples for testing and analysis in such a manner as may beprescribed:
(g)seize for a maximum period of seven days any article,vessel. motor vehicle.plant,equipment,substance or any other thing

which the inspector reasonably believes has been uscd in the commission of an offence under this Act or. regulations made thereunder:
(h)upon giving the holder three monthswritten notice, instnll any equipment-on any land.premises.vessel or motor vehicle forthe purposes of monitoring compliance with the provisions of this Act,or regulations made thereunder:
(i)enter into any premises to ascertain best mining and minemal
processing practices including safety and health concerns,
()enter into any premises to examine and enquire into the condition and ventilation of any mine or any building used in or connected with prospecting.mining ormineral processing operations and all matters relating to safety.welfare and the health of persons employed in any such mine or building.including the inspection of the accident and incidents register;
(k)require such changes,as may be necessary in regard to the safety oftheoperation and protection ofemployees.to be implemented within a specified time.failing which the licence holder will be considered in breach:
(l)order the temporary cessation ofoperations where he considers that the mining or processing nctivities are so hazardous as to constitute a serious and imminent danger to life:
(m)enter imto any premises-used in or connected with prospecting. mining ormineralprocessing operations to examine the the health of employees including the subsequent nctions taken by licence holder,and
(n) with an arrest warrant and the assistance of a police officer.arrest any person whom he reasomably believes has committed an offence umder this Aet.
(2)In exercising the powers under subsection (I).the inspector of minesshall carry the identification issued under this Act.

Secrion200ofNo.12of2016which it isproposed toamend

Courtorders to ceaseoperations

The Cabinet Secretary or apublic officer may apply to the Environmentand Land Court fororders compelling a personto immediately stop activities-and operations for.or connected with.the search for.prospecting.or mining of amineral ormineral deposit in Kenya where he reasonably believes that such operations are being carried out in contravention of the provisions of this Act.

Section205of No.12of2016 which ir isproposed to amend

Offences relating to monitoring and inspection

(1)Aperson who-
(a)hinders or obstnucts the Cabinet Secretary or an authorised public officer inthe exerciseof their dutiesunder this Act or Regulations-mnde thereunder:
(b) fails to comply with a lawful order or requirement made by the Cabinet Secretary or an authorised public officer in accordance with this Actor Regulations made thereunder:
(c)denies the Cabinet Seeretary or an authorised public officer entry upon any land.premises.vehicle or aircraft that they are empowered to enter under this Act or Regulations made there under;
(d)impersonates the Cabinet Secretary or an authorised public officer:or
(e)denies the Cabinet Secretary or an authorised public officer access to records or documents kept pursuant to this Act or Regulations made thereunder commits an offence
(2)A person who commits an offence under this section is liable on conviction to-
(a)imprisonment for a tem notexceeding three years;
(b)a fine of not less than one million shillings:or
(e)both an imprisonment term and a fine

Section217of No.12of2016which i isproposed toamend

Insurance cover

(1)The holder of a mineral right or an agent appointed bya holder who is undertaking prospecting ormining.operations shall.with respect to those operations,maintain insurance cover in respect of the attached risks especially forhealth and safety of employees.
(2)The holder or person mentioned in subsection (l) shall,where required by the Cabinet Secretary.fumish the Cabinet Secretary with certified copiesof certificafes of insurance that set out the insurancepolicy and any other documents that are required to demonstrate that the policy is valid.effective,and appropriate and covers the prescribed risks.

Section219of No.12of2016which ir isproposedto amend-

Immunity ofofficials

Neither the Cabinet Secretary nor any public officer,shall be liable to be sued in a civil court in respect of the exercise or performance.or in good faith of a function under and for the purposes of thisAct.

Section222of No.12of2016which ir isproposedto amend-

Radioactive minerals

(1)Where a radioactive mineral is discovered in the course of exercising a right under this Act or under another enactment,the holder of the mineral right or another person shall immediately notify the Cabinet Secretary of the discovery.
(2)Where a radioactivemineral is discovered on land other than land which is subject to a miningright,the owner of the land shall immediately notify the Cabinet Secretary of that discovery.
(3) The holder ofa mineral right shall within the first week of each month furnish the Cabinet Secretary and the Director of Geology with a true report in writing of the prospecting and mining operations conducted by the holder in the immediately preceding month with respect to radioactive minerals.

Machine-extracted text (Docling (OCR + layout), extracted 2 Jul 2026) from a scanned document — may contain recognition errors.

Source: parliament.go.ke (parliament.go.ke active listing). Last updated 3 Jul 2026.