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UK-linked consortium to revive collapsed Kerio fluorspar project

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A consortium of companies led by London-based Fujax UK Limited is set to revive the collapsed fluorspar mining project at Kimwarar, Kerio Valley in Elgeo Marakwet District.

The consortium, known as Sofax Fluorspar Kenya Limited, said it would take over management of the quarries and processing plant of collapsed state-owned Kenya Fluorspar.

“Sofax Fluorspar Ltd has the advantage of entering the market with a fresh perspective and the potential to improve operations. The company can leverage existing infrastructure and knowledge base while aiming to improve efficiency and reduce costs,” the group said in a regulatory filing.

“Furthermore, Sofax Fluorspar Kenya Ltd can capitalize on existing ore bodies that were previously mined by the previous investor. However, there are several active mines that remain unexplored or underdeveloped, including Kamnoun, Al Shouf and Chibrin.”

SOVAX Kenya Fluorspar Limited is a joint venture between three companies – SUI Fluorspar Limited, SOVAX UK Limited, and SOVAX East Africa Limited. SOVAX’s directors in Kenya include Joseph Kipchirchir Boynet, David Kiprotich Orgot, Daniel Kibet, Winnie Chiruto Chisang and John Mosegisi Musanda.

Fluorspar mining in the Kerio Valley began in 1967 after deposits were discovered by a local mineral prospector, M. Al-Amin, who was searching for semi-precious stones. In 1971, the Kenyan government established the Fluorspar Company of Kenya (FCK) after purchasing Mr. El-Amin’s operations, with the aim of increasing production of the mineral.

However, FCK faced financial and market difficulties and went into receivership in 1979.

Another state-owned company, Kenya Fluorspar Corporation (KFC), took over operations until it was privatized in 1996 as part of government reforms.

The government’s ceded stake in KFC was taken over by Charles Field Marsham, an investor and son-in-law of the late Nicholas Piot, a minister in the government of the late President Daniel arap Moi.

The company then operated until 2018 when it ceased operations and the lease expired, resulting in the government repossessing the assets on April 1, 2018.

In December 2023, Sofax Fluorspar Kenya Limited expressed interest in leasing the company for 25 years to revitalize the mine and restore its economic viability.

The Sofax consortium said it aims to popularize the open mining method.

“This method is commonly used in near-surface fluorspar deposits. Large open pits are drilled to access the minerals and heavy machinery is used to remove the cover (soil and rock above the deposit) to expose the ore containing the fluorspar.

“Once the ore is uncovered, it is drilled, blasted and then transported to a processing plant. Open-pit mining is preferred when fluorspar deposits are extensive and relatively shallow, allowing for efficient extraction,” Sovacs added.

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