Australian mining companies RareX and Iluka Resources have outlined plans to develop Kenya's Ksh8 trillion Mrima Hill mineral deposits, promising local processing, skills transfer and community engagement if they win rights to the project.
The consortium has submitted a detailed proposal to Kenya's Ministry of Mining following a competitive tender process for the deposits in Kwale County.
The companies are targeting rare earth elements, niobium and other minerals, with a plan to combine mining and initial processing in Kenya with advanced refining facilities in Australia.
According to RareX, the proposed development would prioritise local value addition, including the development of supply chains for phosphate and manganese by-products.
An aerial view of a section of the Mrima Hill Forest in Lunga-Lunga, Kwale county on September 26, 2025.
Photo
AFP
The companies also intend to establish a pathway for Kenyan businesses to participate in activities linked to the mineral deposits, according to TipRanks.
The consortium plans to use Iluka's Eneabba rare earth refinery in Western Australia to process rare earth concentrates from Mrima Hill into separated rare earth products. These materials could then supply markets in the United States, Europe, Japan and South Korea, according to the company's proposal.
RareX and Iluka have also proposed training programmes and scholarships to develop Kenyan expertise in mining and mineral processing. The plan includes a partnership with Australia's Curtin University to support skills development and transfer technical knowledge to local workers.
The companies have further pledged to prioritise community engagement, environmental protection and the preservation of cultural heritage before undertaking physical activities at the site.
At the same time, their proposal also includes plans to assess the mineral resource more closely, consider the potential for underground mining and address the eventual closure and rehabilitation of the mining area.
However, the proposed benefits remain dependent on the consortium securing the project and translating its commitments into enforceable arrangements.
The Australian proposal comes as the United States increases its efforts to secure access to Kenya's critical minerals.
In September, U.S. officials said Washington was prepared to support local mineral processing, worker training, technology transfer and the development of industries around the deposits.
China is also seeking a stake in the competition for Mrima Hill, with Chinese-backed bidders among the groups pursuing development rights.
A collage of US President Donald Trump (left) and President Willian Ruto (right), with a hand holding rare-earth minerals in the middle.
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Kenyans.co.ke