Trillions vs taboos: US firm entry rekindles war for Mrima Hill soul
Financial Standard
By
Bernard Sanga
| Jan 06, 2026
The entry of the US-backed consortium in the race for the estimated $62 billion (Sh7.99 trillion) rare earth and niobium in Kwale County rekindles past battles for the precious minerals.
Mrima Earth Limited, whose membership remains confidential, would have to navigate the intricate political landscape, complex local community dynamics and stiff competition.
Unlike earlier efforts that prioritised raw extraction, the new proposal reportedly focuses on domestic processing to ensure the economic benefits of the mineral remains in the country.
The move follows several high-profile visits by American officials to the region, underscoring Washington’s determination to secure African resources. Last year, interim US Ambassador to Kenya Marc Dillard visited Mrima Hill.
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Yet, the consortium will face stiff competition.
Australian companies RareX and Iluka Resources have already expressed interest, while Chinese firms have long sought access to the deposit, only to be blocked by cautious local communities.
In 2013, Cortec Mining Kenya, a subsidiary of the UK - and Canada-based Pacific Wildcat Resources, released a report following years of exploration and after obtaining a contentious special mining licence, which was later revoked by the government, citing environmental breaches and procedural irregularities.
Principal fixer
The company, however, claimed political interference. After losing the battle in the Kenyan courts, Cortec appealed at the International Centre for Settlement of Investment Disputes (ICSID).
At the centre of Cortec’s local operations was the late Jacob Juma, a politically connected businessman who acted as the company’s principal fixer in Nairobi. Juma later joined Cortec’s legal challenge against the Kenyan government at the ICSID.
He was assassinated in May 2016 under circumstances that remain unresolved before the dispute was ruled in Kenya’s government’s favour in 2018.
During tribunal testimony, Cortec’s Chief Executive Officer, David Anderson, told arbitrators that the company relied on Juma and other political intermediaries to navigate Kenya’s power structure.
He stated that lawyer Robinson Harris was engaged specifically to help Cortec understand and manage the political environment surrounding the mining licence.
Anderson testified that in February 2013, he received a phone call from Juma, who informed him that Cortec’s licence documents were being held somewhere by government operatives and offered to intervene. In return, he proposed to acquire 30 per cent of Cortec’s shares.
The tribunal heard that this proposal was accepted. The tribunal heard that Juma arranged a high-level meeting during the last days of President Mwai Kibaki’s administration.
The meeting brought together Francis Kimemia, then Secretary to the Cabinet, Moses Masibo, who was the Commissioner of Mines, and Ali Mohamed, Permanent Secretary, Ministry of Environment and Mineral Resources.
Others attending were Donald O’Sullivan, chairman of Cortec, and David Anderson. A few days after the meeting, Masibo announced at a press conference that they would issue Cortec a Special Mining Licence, despite unresolved regulatory and environmental concerns.
The government formally gazetted the licence on March 20, 2013, just weeks before the end of the Kibaki administration and amid a politically sensitive transition.
On April 26, 2013, just 17 days after Uhuru Kenyatta took over, Juma escorted Cortec officials to State House, Mombasa, for a courtesy call with the new President.
The visit was presented as an introduction to the new administration, though the tribunal noted it occurred while the legality of the licence was already being questioned within the government.
During the arbitration hearings, Anderson claimed that then Mining Cabinet Secretary Najib Balala had threatened to cancel Cortec’s licence unless he received Sh80 million. Anderson testified that Cortec refused to pay.
In 2013, Balala revoked Cortec’s special mining licence and constituted a multi-agency tribunal to scrutinise all mining licences issued during the previous administration.
The review concluded that Cortec’s licence had been issued unlawfully, without a valid Environmental Impact Assessment licence and in breach of statutory procedures.
The ICSID tribunal ultimately dismissed Cortec’s claims, finding that the company had not acquired legal rights capable of protection under international investment law.
The arbitrators ruled that political access and expectations, even at the highest levels of government, could not substitute for compliance with Kenyan law.
This briefly brought environmentalists a sense of relief. But beyond the site’s sacred status lies a quieter, less visible threat: radiation.
Mrima Hill has high background radiation due to thorium deposits, and experts have long warned that unregulated extraction could trigger a public health crisis for nearby villages.
The new consortium’s proposed “value chain” approach reportedly includes advanced mitigation technologies and commitments to ecological rehabilitation.
Yet critical details remain thin, particularly on how large-scale industrial processing would coexist with the preservation of the surrounding Kaya forest.
Scholarly articles show that at least five global mining firms have since 1952 tried to dig up Mrima Hill to extract huge mineral deposits beneath. Anglo American Corporation also explored Mrima.
But for the residents, the forest is a gem they will fight for by all means.
But why? Mrima, which is located about 60 km west of the Mombasa-Lungalunga road, has extremely rare, diverse foliage.
Renowned botanists, like the late Bernard Verdcourt, studied rare types of trees towering into the sky at Mrima. Documents show that Verdcourt was interested in the rare Gigasiphon macrosiphon tree, locally called the mnyanza.
Traditions and taboos
But this was before loggers sneaked into the sacred grove and hewed down ageless trees into logs and timber or burnt charcoal.
Elders say most trees were felled between 1989 and 1992. Inside the forest, one can also not fail to notice deep test holes dug by geologists exploring for minerals.
“We have fought spiritually, legally, and physically to protect this forest. But the appetite from forces keen to turn the hill upside down persists,” said Kaya Chigongoni chairman Ali Mohamed Mwatsimbu in a recent interview.
“There are 23 medicinal plants in Mrima Hill. It is our responsibility to protect and nurture these trees. We have come up with a strict code on the use of these trees,” said Bakari Bege.
Inside the forest, there are trees that villagers are not allowed to cut down. A family that cuts down the tree for charcoal, firewood, and timber will be cursed, said another elder, Ayubu Suyu.
“We protect the forest using our traditions and taboos and enforce them through ceremonies and rituals,” said Suyu, who is the secretary of the Mrima Community Forest Association.
He said that a cow, sheep, or goat that finds their way into a prohibited area must be slaughtered and eaten within the forest.
“This protects endangered shrubs or trees from destruction,” he said. “No one should use medicinal trees as firewood or burn charcoal. The smoke of these trees invites bad omens or calamities to the family,” said Suyu.