Kenya is on the brink of a mining transformation after British firm Shanta Gold Limited confirmed a gold deposit valued at US$5.29 billion (Sh683 billion) in Kakamega County, marking the country’s largest discovery in decades.
According to Business Insider Africa, the find at Shanta Gold’s Isulu-Bushiangala underground project represents a breakthrough for Kenya’s mining sector, which has traditionally played a minor role in Africa’s gold industry.
The company’s Environmental Impact Assessment (EIA) report, submitted to the National Environment Management Authority (NEMA), outlines plans to develop a large-scale underground mine spanning about 337 acres in Kakamega South Sub-county.
The project, managed by Shanta Gold Kenya Limited, a subsidiary of the London-listed parent company, will employ advanced Long Hole Open Stoping technology to minimize surface disruption while extracting ore.
Infrastructure plans include a 1,500-tonne-per-day processing plant, a 12-megawatt power station, and a tailings storage facility, with construction expected to cost between Sh22 billion and Sh27 billion and an operational lifespan of at least eight years.
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Shanta Gold said the initiative aims to “enhance local economic development through job and business opportunities and significant contributions to the government of Kenya through taxes, royalties, and revenue generation.”
The project could boost national and regional growth by creating jobs, stimulating local enterprises, and attracting foreign direct investment.
Under Kenya’s Mining Act, 3% of gross gold sales will be paid as royalties, with 20% allocated to Kakamega County and 10% to host communities through development projects.
Additionally, 1% of total gold output will go directly toward community development under Kenya’s Mining (Community Development Agreement) Regulations.
Economists project that the new goldfield will diversify Kenya’s economy beyond agriculture and tourism while positioning the country as an emerging player in large-scale mining.
The Star Kenya reported that the discovery could significantly improve Kenya’s global mining reputation—especially as the nation ranked sixth in Africa for mining investment attractiveness in the 2023 Fraser Institute Survey.
However, environmental and social concerns remain. The site’s proximity to the Kakamega Forest and vital river catchments has raised questions about land acquisition, displacement, and ecological risks. Shanta Gold has pledged compliance with Kenya’s Land Act and international resettlement standards to mitigate potential impacts.
If approved by NEMA, the Isulu-Bushiangala gold project could make Kakamega County the epicenter of Kenya’s industrial-scale gold mining, unlocking billions in economic value and ushering in a new era of national growth.
