Kwale residents demand a say as six firms bid for Mrima Hills minerals

Residents of Kwale County want the government to involve them in any agreements over the Mrima Hills niobium and rare earths deposit, saying they have not been adequately informed, according to Kenyans.co.ke on 2 October. Bidding by firms from the United States, Australia and China is due to close in late October 2026, the outlet reported.

The hills lie in Lungalunga Sub-County. Resident Justus Mweo Mwachupa was quoted by Kenyans.co.ke as saying: "The citizens here have never known the processes that will be used here as well as their impacts on them and the environment around." The outlet reported that residents are also worried about possible relocation. Officials from Haki Madini Kenya said land ownership was among residents' biggest concerns, because much of the land had been inherited and succession processes had not been completed. Mariam Omar, a human rights activist with HUDA, said the organisation was engaging residents to help them understand their potential role and ensure they receive information about the project, the outlet reported.

The Kenyans.co.ke report contains no response from the Ministry of Mining or any bidder to the residents' demands.

Six bidders, few names

Mining Cabinet Secretary Hassan Ali Joho has said six companies are competing for the project, including American firms and others from Australia and China, according to Semafor Africa on 28 September. The Rio Times reported on 24 September that two of the six are from the United States; it names only two bidders and does not mention any Chinese bidder. Ecofin Agency reported on 27 July that Kenyan authorities had not disclosed the full list of shortlisted bidders, although Chinese companies were reported to have shown interest when the tender was launched. None of the sources cited in this story names a Chinese bidder.

Two bidders have identified themselves. RareX, listed on the Australian Securities Exchange, announced on 24 July 2026 that it had advanced to the request for proposal stage, according to Mining.com.au and Ecofin Agency. The advance followed the RareX and Iluka Resources consortium receiving formal notification from Kenya's Ministry of Mining, Blue Economy and Maritime Affairs that it had moved on from the expression of interest stage. Kenyans.co.ke reports that the consortium's detailed proposal is expected in October 2026. In July 2026, US company Critical Metals Corp, which leads the Mrima Earths consortium, said it was one of only three US finalists remaining in the tender, Ecofin Agency reported on 27 July.

How the tender works

The tender was gazetted on 27 March 2026. Kenyans.co.ke reported on 30 March that it invites "expressions of interest (EOI) from suitably qualified mining operators to commercialise the Mrima Hill mineral deposits". It runs under the Mining Act and the Mining (Award of Mineral Rights by Tender) Regulations, 2017.

The Rio Times says Kenyan officials want processing capacity built inside Kenya. It says Kenya's 2022 geological mapping identified thorium, a radioactive element, at the site, and that any processing route must handle radioactive material safely. It also says Kenya has not announced a final award date.

The value is disputed

The size of the prize is contested. Kenyans.co.ke reported in March a value of US$64 billion (about KSh 8 trillion, the outlet's own conversion) and indicated resources of 5.8 million tonnes of niobium material and 48.7 million tonnes of rare earth material. The Rio Times says the best-known figure, US$62.4 billion, is "Cortec Mining Kenya's 2013 estimate of the rare earths' in-ground value", that it ignores mining and processing costs, and that it "is not a deal price". It adds that Kenya has not published a feasibility study or any signed investment terms.

The US talks

Separately, Joho said Kenya and the United States are in advanced talks on a critical minerals partnership, Semafor reported. It said the plan could include refineries and processing plants in Kenya that partly supply the US. Joho said: "There has to be all the necessary incentives that the government will provide, such as special economic zones, port access, support infrastructure, and tax concessions." Joho also said mining contributes around 1% of Kenya's GDP and that the government is targeting 10% within the next decade, according to Semafor.

Kenyans.co.ke reports that Joho linked the US talks to the ongoing Mrima Hill bidding process, which the government expects to conclude in late October before engaging the preferred bidder. The Rio Times reports that Frank Garcia, the State Department's top official for Africa, said on 9 September that Washington would help Kenya build a minerals processing industry.

What happens next

The government expects bidding to conclude in late October, Kenyans.co.ke reports. Residents want to be involved in any agreements. Concerns of the Digo community, who maintain ties to the forested hills, have been documented by the Business & Human Rights Resource Centre in a page dated 6 January 2026. It says community leaders and activists have voiced fears about "environmental degradation, land loss and marginalization", and that RareX, the National Mining Corporation (Namico) and Mrima Earth Consortium did not respond to its invitation to comment. Iluka Resources responded on 27 January 2026 that the Kenyan government had not selected the RareX–Iluka consortium to lead the development, and referred the centre to RareX.