Tiomin wants Sh200 million suit cost from farmers
Tiomin wants Sh200 million suit cost from farmers
14th February 2007
Litigation can be costly.
This is the lesson for eight Kwale farmers, who went to court last year challenging the Government's move to acquire their land for titanium mining.
Tiomin Kenya Limited, a party to the suit, has requested the High Court to order the farmers to pay it Sh200 million approximately 1.8 million pounds sterling] as the cost of litigation.
The company wants the payment after the eight farmers lost in their bid last December to stop the Canadian firm from extracting the mineral.
In a suit before Mr Justice Joseph Nyamu yesterday, Tiomin Kenya Limited is demanding the amount on grounds that orders issued against it last November affected its operation. The orders for injunction were later quashed.
Last December, after a full hearing, Mr Justice Nyamu dismissed the suit filed by the farmers and ordered them to pay costs to Tiomin Kenya Limited and other respondents. On the cost of litigation, the Canadian firm argues that orders barring mining that were later lifted, resulted in losses.
At the time the injunction was issued, the firm had moved heavy machinery in Maumba and Nguluku in readiness for the first phase of mining.
Tiomin Kenya says the eight farmers, led by Mr Rodgers Muema Nzioka, had filed the suit with a view to killing the multi-billion-shilling project.
Entitled to pay
However, through lawyer Gibson Kamau Kuria, the farmers have raised a preliminary objection arguing that they were not entitled to pay Tiomin Kenya Limited any amount. They argued further that no certificate of cost had been issued so far by the court.
However, Tiomin Kenya's ability to get this amount appears remote, considering that the only asset the farmers had was their land, which is valued at Sh20 million.
Further, the farmers claim the cost demanded by Tiomin Kenya was likely to contravene their fundamental rights.
Mr Justice Nyamu adjourned that case to allow the parties to research on the issue. The case will be mentioned in 21 days time.
Last December, Justice Nyamu ruled that the Government was justified in forcibly taking over land to allow for titanium mining.
Tiomin to build power plant in Kwale
Story by NATION Correspondent
Publication Date: 2/15/2007
Mining firm Tiomin Kenya Limited will build a power plant of 16 megawatts (MW) in Kwale district subject to grant of a licence by Electricity Regulatory Board (ERB).
Tiomin's general manager, Joe Schwarz, said the power plant will be located 18 kilometres (km) south of Ukunda along the A14 road on Likoni-Lunga Lunga highway and 8 kilometres inland.
He said in a Kenya Gazette Notice No.1176 that Tiomin will on March 12, 2007 submit to the Electricity Regulatory Board (ERB) an application for a power generating licence for electricity to be used in mining project.
Copies of the draft licence to be applied for by Tiomin and other details required can be inspected by members of the public at ERB's offices along Valley Road in Nairobi
The 16 MW power plant is expected to operate at 12 MW as demand for electricity will average 10 MW, and will be built and operated according to World Bank guidelines.
Any public or local authority, company, person or group wishing to make any representations on the application for the grant of the licence must write to the Energy minister Kiraitu Murungi within 60 days. A copy of the representation marked "Electric Power Act" must also to be forwarded to Tiomin Kenya before the expiry of 60 days from January 29.
Tiomin secures land for Kenya plant
15th September 2005
Toronto-listed Tiomin Resources yesterday confirmed the completion of tan acquisition of some 100 acres of land near the Central Dune area of the Kwale titanium project, in Kenya, necessary for the construction of the proposed gravity and mineral processing plants.
The mineral processing plant (MPP) will comprise a feed preparation circuit, rutile dry circuit and zircon wet/dry circuits and will be permanently established next to the wet plant at the Central Dune.
The MPP will be designed to receive up to 80 tph of heavy mineral concentrate (HMC) reaching an annual projected production rate of 330 000 t/y of ilmenite, 75 000 t/y of rutile and 40 000 t/y of zircon, Tiomin said in a statement.
Up to 95% of the titanium heavy minerals can be extracted using an environmentally friendly process of water, gravity, spirals and magnets.
Significant strides have also been made to resolve all remaining issues relating to the resettlement of the local farmers from the mine site.
The resettlement area, located about 20 km from the mine site, has been allocated and agreed to by all parties.
The relocation process is expected to start on schedule in mid-November, with construction expected to be underway by the end of the year.
A substantial portion of Kwale's production has been committed through letters of intent and offtake agreements with large titanium and zircon consumers.
Project financing continues to take shape as a number of multilateral agencies and international banks have indicated strong interest.
Based on the recently-updated feasibility study, production from Kwale is expected to generate pretax cash flow of over $40-million in the first six years of operation, largely deriving from the premium priced rutile (50%) and zircon (30%), with ilmenite representing 20% of sales.
Once underway, the Company's other large titanium exploration projects may be placed into development, providing the potential for substantial long term growth.
The mineral processing plant (MPP) will comprise a feed preparation circuit, rutile dry circuit and zircon wet/dry circuits and will be permanently established next to the wet plant at the Central Dune.
The MPP will be designed to receive up to 80 tph of heavy mineral concentrate (HMC) reaching an annual projected production rate of 330 000 t/y of ilmenite, 75 000 t/y of rutile and 40 000 t/y of zircon, Tiomin said in a statement.
Up to 95% of the titanium heavy minerals can be extracted using an environmentally friendly process of water, gravity, spirals and magnets.
Significant strides have also been made to resolve all remaining issues relating to the resettlement of the local farmers from the mine site.
The resettlement area, located about 20 km from the mine site, has been allocated and agreed to by all parties.
The relocation process is expected to start on schedule in mid-November, with construction expected to be underway by the end of the year.
A substantial portion of Kwale's production has been committed through letters of intent and offtake agreements with large titanium and zircon consumers.
Project financing continues to take shape as a number of multilateral agencies and international banks have indicated strong interest.
Based on the recently-updated feasibility study, production from Kwale is expected to generate pretax cash flow of over $40-million in the first six years of operation, largely deriving from the premium priced rutile (50%) and zircon (30%), with ilmenite representing 20% of sales.
Once underway, the Company's other large titanium exploration projects may be placed into development, providing the potential for substantial long term growth.
TORONTO, ONTARIO--(CCNMatthews - Sept. 13, 2005) - Tiomin Resources
Inc. (TSX:TIO) is pleased to report that it has completed the acquisition of
approximately 100 acres of land in proximity to the Central Dune area of
the Kwale titanium project in Kenya necessary for the construction of the
Gravity and Mineral Processing Plants.
The Mineral Processing Plant (MPP) will comprise the Feed Preparation Circuit, Rutile Dry Circuit and Zircon Wet/Dry Circuits and will be permanently established adjacent to the Wet Plant at the Central Dune. The MPP will be designed to receive up to 80 tph of heavy mineral concentrate (HMC) reaching an annual projected production rate of 330,000 tpa of …
The Mineral Processing Plant (MPP) will comprise the Feed Preparation Circuit, Rutile Dry Circuit and Zircon Wet/Dry Circuits and will be permanently established adjacent to the Wet Plant at the Central Dune. The MPP will be designed to receive up to 80 tph of heavy mineral concentrate (HMC) reaching an annual projected production rate of 330,000 tpa of …
Canadian Company Secures Land in Kenya
By - Thursday 22 September 2005.
Tiomin Resources Incorporated, a Canadian Company,recently announced that it has completed the acquisition of approximately 100 acres of land in proximity to the Central Dune area of the Kwale titanium project in Kenya necessary for the construction of the Gravity and Mineral Processing Plants.
The Mineral Processing Plant (MPP) will comprise the Feed Preparation Circuit, Rutile Dry Circuit and Zircon Wet/Dry Circuits and will be permanently established adjacent to the Wet Plant at the Central Dune.The MPP will be designed to receive up to 80 tph of heavy mineral concentrate (HMC) reaching an annual projected production rate of 330,000 tpa of ilmenite, 75,000 tpa of rutile and 40,000 tpa of zircon.
Up to 95% of the titanium heavy minerals can be extracted using an environmentally friendly process of water, gravity, spirals and magnets.
Infrastructure to and from the proposed plant site is excellent with the main Mombasa Coastal Highway located just 8.4 km away. The Company has already acquired all the surface area necessary for construction of the ship loading facility at Likoni on the south side of Mombasa Harbour, the second largest port on the east coast of Africa. Located within a 50 km haul distance from the Kwale processing facilities, the port location represents a major competitive advantage with easy accessibility to the major consumer centers in Europe and Asia.
The presence of a large oil refinery in Mombasa is another significant benefit to the Kwale project.
Significant strides have been made to resolve all remaining issues relating to the resettlement of the local farmers from the mine site.The resettlement area, located approximately 20 km from the mine site,has been allocated and agreed to by all parties. The relocation process is expected to commence on schedule in mid-November 2005 with construction expected to be underway by the end of the year.
A substantial portion of Kwale’s production has been committed through letters of intent and offtake agreements with major titanium and zircon consumers. Project financing continues to take shape as a number of multilateral agencies and international banks have indicated strong interest. Based on the recently updated Feasibility Study, production from Kwale is expected to generate pre-tax cash flow of over US $40 million in the first six years of operation, largely deriving from the premium priced rutile (50%) and zircon (30%), with ilmenite representing 20% of sales. Once underway, the Company’s other large titanium exploration projects may be placed into development, providing the potential for substantial long term growth.
For further information, please contact Tiomin at (416) 350-3776. Jean-Charles Potvin, President, ext. 227,
Bruce Ramsden, Chief Financial Officer, ext. 232 or
Donna Yoshimatsu, Investor Relations ext. 222.
Visit the Company’s website at www.tiomin.com.
Photo: Tiomin Plant at Kwale, Kenya.
The Mineral Processing Plant (MPP) will comprise the Feed Preparation Circuit, Rutile Dry Circuit and Zircon Wet/Dry Circuits and will be permanently established adjacent to the Wet Plant at the Central Dune.The MPP will be designed to receive up to 80 tph of heavy mineral concentrate (HMC) reaching an annual projected production rate of 330,000 tpa of ilmenite, 75,000 tpa of rutile and 40,000 tpa of zircon.
Up to 95% of the titanium heavy minerals can be extracted using an environmentally friendly process of water, gravity, spirals and magnets.
Infrastructure to and from the proposed plant site is excellent with the main Mombasa Coastal Highway located just 8.4 km away. The Company has already acquired all the surface area necessary for construction of the ship loading facility at Likoni on the south side of Mombasa Harbour, the second largest port on the east coast of Africa. Located within a 50 km haul distance from the Kwale processing facilities, the port location represents a major competitive advantage with easy accessibility to the major consumer centers in Europe and Asia.
The presence of a large oil refinery in Mombasa is another significant benefit to the Kwale project.
Significant strides have been made to resolve all remaining issues relating to the resettlement of the local farmers from the mine site.The resettlement area, located approximately 20 km from the mine site,has been allocated and agreed to by all parties. The relocation process is expected to commence on schedule in mid-November 2005 with construction expected to be underway by the end of the year.
A substantial portion of Kwale’s production has been committed through letters of intent and offtake agreements with major titanium and zircon consumers. Project financing continues to take shape as a number of multilateral agencies and international banks have indicated strong interest. Based on the recently updated Feasibility Study, production from Kwale is expected to generate pre-tax cash flow of over US $40 million in the first six years of operation, largely deriving from the premium priced rutile (50%) and zircon (30%), with ilmenite representing 20% of sales. Once underway, the Company’s other large titanium exploration projects may be placed into development, providing the potential for substantial long term growth.
For further information, please contact Tiomin at (416) 350-3776. Jean-Charles Potvin, President, ext. 227,
Bruce Ramsden, Chief Financial Officer, ext. 232 or
Donna Yoshimatsu, Investor Relations ext. 222.
Visit the Company’s website at www.tiomin.com.
Photo: Tiomin Plant at Kwale, Kenya.
Tiomin Resources: a controversial mining in Kenya (06/01)
At least a quarter of the half million people who live in Kenya's Kwale district, near the Indian Ocean coast, eventually may be evicted to make way for a controversial mining project by the Canadian firm Tiomin Resources Inc. The rest, and others living along the coast, could face significant health risks due to the toxic emissions associated with titanium mining.
As controversy rages, Kenya's government is caught between pleasing the company and remaining accountable to its citizens. The standoff also pits the government and Tiomin Kenya Limited, the Kenyan subsidiary of the Canadian firm, against local and international environmental groups. The critics include farmers, the Coast Mining Forum, Action Aid (Kenya), Muslims for Human Rights, Coastwatch, Environment Trust of Kenya, and coastal leaders.
Used in manufacturing military hardware - not to mention golf clubs - titanium is mainly found in China, Japan, Kazakhstan, Russia, and the US. But the Kwale deposits represent up to 15 percent of the world total. According to Kenyan military sources, the West isn't comfortable importing such a vital mineral from China or Russia. Thus, the find could be a big plus for Kenya's economy.
Top government officials have assured the company that mining can start this year. In newspaper ads, Tiomin defends its bid, saying it has "followed the Kenyan law" in seeking a license, and that extremely low levels of uranium and thorium in the titanium-laden Kwale sands won't pose a health risk. The marine terminal at nearby Shimoni beach will neither need dredging nor pose a danger to the coral reefs, it also claims.
In response, local mining and environmental experts charge that the publicity blitz is really designed to secure a license before the new National Environmental Management Authority (NEMA) is fully established, and a legal challenge, filed by environmentalists to block the project, can be heard.
In a letter last November to the chief accounting officer in Kenya's Ministry of Environment and Natural Resources, Tiomin's senior vice-president and chief operations officer Ian Schache suggested that the firm work with the National Environment Secretariat (NES) on licensing. But lawyers for the opposition contend the NES has no legal standing. Tiomin doesn't want to wait for NEMA, empowered by the new Environmental Management and Co-ordination Act (EMCA) to handle such applications. It's also uncomfortable with the National Environment Council, which is yet to be officially launched.
Tiomin scorned an environmental impact assessment (EIA) report compiled by Kenyatta University. The firm's vice-president, Mathew Edler, claims, "Kenya lacks environmental consultants who have the necessary experience to manage the EIA for the Kwale project. Placing the EIA title on its cover does not make it credible."
According to Harun Ndubi, executive director of Kituo cha Sheria, a local legal organization, the firm has disregarded Kenya's land laws, especially the stipulation that any lease ought to reach the local land control board six months prior to signing. "When I sought evidence that the company had adhered to this piece of legislation," he explained, "its president Jean Potvin failed to produce consent documents, saying only that the company had deposited them with the Kenya government." Oddly, the company claims it didn't retain copies of the documents.
Fast Track, Soft Sell
The titanium snafu also involves compensation for Kwale residents who would be evacuated. Initially, Tiomin offered about $114 per acre, later upping that to $505. Edler argues that he based the figure on "lands office records on land sales in the area," using them as the basis to develop individual offers.
Residents and anti-project lobby groups argue that the payment is too low, based merely on the value of the soil and existing development, not the rich deposits beneath.
"If it were in a developed country, Tiomin would be talking about a third of the value of the mineral deposits," says Ndubi. He charges that the archaic Mining Act and yet-to-be-operational EMCA work to Tiomin's advantage. The former stipulates that mining companies pay five percent of the value of minerals to the government.
Local observers believe that Tiomin hopes to get its license before the repeal or amendment of the Mining Act. Paying the nominal percentage will be a small price compared to the huge profits the company will reap.
Since the resource at stake represents over 10 percent of the world's known titanium, opponents of the project argue that licensing shouldn't be rushed. Tiomin estimates that the deposits contain 200 million tons. If true, exploitation costs could be recovered within three years.
Complicating the picture is the issue of radiation. "If a deposit has uranium, we have to be very careful," says Dr. Wellington Wamicha, a Germany-trained Kenyan mineralogist who led the Kenyatta University assessment. "The only reason the Kwale residents are currently not being affected by radiation is because thorium and uranium, the radioactive emitters present in zircon deposits, are in their thermodynamic stable state," he explains. But mining - through attrition and processing the ore by subjecting it to hot sulphuric acid - will release the radioactive elements into the environment.
According to the Kenyatta study, the project will also result in the removal of vegetation, affecting the reflectivity of solar radiation. As more solar radiation is reflected back to the sky, the result could be more heating of the cold inward-bound winds, as well as negative impacts on local rainfall.
The study also argues that mining will eliminate aquatic biodiversity and pose a serious hazard to ecosystems, communities, species, and genetic material. Mutations due to radiation and chemical toxins, the report says, will lead to disruption of gene pools.
Further, mining will contaminate ground water bodies, increase competition for water resources, degrade water quality, and lead to gaseous emissions (sulfur dioxide) from combustion of heavy oils and use of sulfuric acid. The open-cast (strip mining) method to be used involves clearing all vegetation, stripping and stockpiling the top soil so as to expose the mineral-heavy sands.
Inside Track
In recent years, Canada has increasingly looked beyond its own boundaries to exploit mineral wealth. In fact, the country has become a leader on the global mining scene, both in terms of mineral exploration and capital generation.
At the same time, however, the nation's mineral industry has contributed to "the ugly Canadian" image, favoring maximization of revenues at the expense of local communities and the environment.
The drama began unfolding in 1995, when Tiomin struck what are now recognized to be the biggest unexploited titanium deposits in the world. These include five titanium-rich sites with 650 million tons at Mambrui and 1.2 billion tons at Sokoke. The quantities at Sabaki, Mombasa, and Kwale haven't been made public. Controversy has dogged the company since the day the announcement was made in early 1997. Since then, the issue has snowballed into what may be the biggest controversy since Kenya's independence.
Among the first accusations was the charge that the plan was less than transparent. Tiomin preferred to deal with government officials behind the scenes, ignoring stakeholders in the areas where deposits were found. According to opponents, no case has yet been made that the project will actually benefit Kenyans, rather than just a handful of government operatives and Tiomin.
Last October, residents of Msambweni unleashed a scathing attack on Kenya's minister for tourism, trade, and industry, Nicholas Biwott, one of the ministers said to be behind the Tiomin deal. "We shall not allow the mining to go on and we shall not budge in our demands that the sums to be paid out as compensation be renegotiated," announced their spokesperson Boniface Mbevi, a prominent farmer.
Coastal MPs claim that there were plans to move the project to Biwott's ministry. One of the most powerful ministers in President Daniel arap Moi's government and a key ally, Biwott has been cited in a number of political and business scandals.
Writing in the New York Times last June, columnist Blaine Harden noted, "During his 10 years as minister of energy, Biwott was linked in the Kenyan press with a number of kickback schemes and non-competitive contracts awarded to companies in which he had an interest." To date, Biwott hasn't denied a relationship with Tiomin.
Tiomin puts the value of the deposits at about $132 million. But according to Suleiman Kamolle, MP for Matuga constituency in Kwale district, the true value may be astronomically higher. A banker, Kamolle argues that he obtained the data from French and German geologists and statisticians.
"The $132 million being put as value of the titanium sand mineral deposits by the Canadian firm is a negligible amount," he says. "We have gathered enough evidence from the earmarked 200-square-kilometer area disproving that figure and have found out that the real value of the deposits is a staggering $11 billion."
Kwale residents recently moved to the high court to stop the project. Although the case is pending, however, most plaintiffs pulled out after government officials threatened them with "dire consequences" and Tiomin greased their hands. Of course, those involved deny these claims.
The Panama Connection
With all the hoopla, Tiomin and other Canadian companies have increasingly come under the spotlight. While the details of Tiomin's activities along the Indian Ocean and Madagascar haven't been readily available, a report on its operations in Panama makes shocking reading.
In an undergraduate thesis submitted to McGill University in Canada, Katy Elisabeth Mamen looked at the situation. "The socio-cultural impacts of Canadian mining companies in remote areas of less developed countries are of particular concern, especially where indigenous communities are involved," she writes. Her paper, Canadian Mining Multinationals and Indigenous Communities: A Study of Company Community Dynamics at the Cerro Colorado Copper Mine and Ngabe Bugle Comarca, Panama, is a stinging indictment. In particular, it examines the factors influencing Tiomin and the effects on a local indigenous community during the project development phase of the Cerro Colorado copper mine in western Panama.
There are clear parallels between what happened in Panama and what's likely to transpire in Kwale if Tiomin is licensed to exploit the titanium deposits. According to Mamen's thesis, "[I]t is expected that once Panama's two world-class mines, Cerro Colorado and Petoguilla, commence operations, mineral products will exceed bananas as the country's primary export item, generating between $250 million and $300 million a year in revenue, and accounting for 60 per cent to 70 per cent of total exports. Thus global pressures and the promise of a brighter economic future have been key factors in fueling Panama's desire to exploit its mineral resources."
The extent of Canada's mining presence in Panama is staggering. By mid-1997, approximately 70 percent of Panama's land surface area, including approximately 70 percent of its legally delineated indigenous lands, had been opened for mineral concessions. Approximately 45 percent of Panama's land had been solicited for concessions; at least 40 concessions have been granted for exploration, and 12 for extraction. Taken together, this covers more than seven percent of the country.
Panama's five most important concessions - Cerro Colorado, Cerro Quema Remance, Santa Rosa, and Petaguilla - are all currently under Canadian management. Petaguilla, with an estimated 20 billion pounds of copper, as well as gold and molybdenum, is currently in the feasibility phase under Goerecursos International SA, a Canadian conglomerate. As of 1998, 70 percent of exploration contracts had been awarded to Canadian companies.
With such an important stake in Panama's minerals sector, and the potential to affect a large area, including most indigenous territories, Canadian mining companies "have a particular responsibility to ensure socially and environmentally responsible business." But do they follow through? No, reports Mamen, who points to the common social problems associated with mining in remote areas (alcoholism and prostitution), and the side effects of environmental impacts (migration), resulting from the loss of land to practice traditional subsistence agriculture.
Large-scale mining in remote areas can promote profound local economic change. But in Kwale, only about 200 direct and 300 indirect jobs are expected for locals. Governments also argue that mining contributes to sustainable development. The impacts include foreign exchange earnings, revenue from taxes, short-term employment, human capital formation, and technology transfer. But no technology transfer is expected in Kwale, since the final processing will be done in Canada.
Finally, reliance on a single dominant source of income leads to problems upon mine closure, including disruption of traditional ways of life and social structures. This will likely be the outcome in Kwale if Tiomin moves ahead with mining.
Risk Factors
In recent years, conflicts surrounding mining companies and local communities have received considerable international attention. Industry and governments have been forced to focus more attention on the impacts of operations, recognizing the importance of integrating community concerns into planning. Although multinational corporations may not acknowledge the conflict between the legal concept of land ownership and the indigenous idea of land stewardship and communal access, "the World Bank recognizes the disruption of indigenous people as a main social issue in mining," notes Mamen.
In Panama, developments at Cerro Colorado have resulted in significant impacts for the local population. These include loss of land, exacerbating an already critical situation. Roads were constructed without consulting the affected landowners, resulting in problems such as destruction of fences, and loss of livestock and arable land. In addition, rivers draining from Cerro Colorado have reportedly been damaged by exploration activity, while residents along San Felix River have seen the disappearance of fish, a main staple.
This scenario is likely to be repeated in Kwale. For example, Tiomin wants to build a ship loading facility that will include a 200-meter-long jetty and storage facility. The minerals would be transported about 30 miles in 40-ton trucks, adding up to 470,000 tons a year. The environmental impacts of transporting cargo are merely the tip of this iceberg.
When a country is relatively underdeveloped and has little experience in mining - but a strong desire to attract foreign investment - its capacity to deal with resulting social or environmental issues is often non-existent. Thus, much of the onus shifts to the private companies. The question is: Can Tiomin be trusted? To start, the identities of any local shareholders are unknown. In fact, Tiomin insists there aren't any. Edler reports that the two companies incorporated in Kenya - Tiomin Kenya Ltd. and Kenya Titanium Minerals Ltd. - are both 100 percent owned by Tiomin Resources Inc. No Kenyan individuals or companies have any direct or indirect interest in either.
On the other hand, Tiomin may be stone-broke. It has no income, and Kwale is currently its only active project. It has accumulated expenses of over $40 million, and survives on bank financing through interest generated by the Kwale project.
The only reason Tiomin remains viable is that Barclays Capital Finance recently lent the company $2 million. Therefore, if Kenya awards the mining contract, it will simply sub-contract the work, in hopes of recovering from the losses accumulated in Panama and Canada.
Background Information: Tiomin Resources Inc. in Kenya
Background Information: Tiomin Resources Inc. in Kenya
The coastline of Kenya, from the port of Shimoni to the ancient village of Mambrui, is under severe environmental threat from irresponsible mining. The Kenyan coast is a stunning tropical paradise, with its 250 miles of palm-fringed beaches, blue lagoons and magnificent coral beaches. Conservation International lists Kenya's coastal forest as one of the world's 25 "hotspots" — places of extraordinary biodiversity that are seriously threatened. A new threat now endangers these forests, coastal waters, and the agricultural communities of the Digo and Kamba people.
Tiomin Resources, a Canadian mining company based in Toronto and listed on the Toronto Stock Exchange, has found deposits of ilmenite, rutile, and zircon in the Kwale District of Kenya for which they would like to strip mine titanium. Titanium is primarily used as a whitener for paint, plastic, and paper. Tiomin has completed their Environmental Impact Assessment and has appointed Barclays Capital to provide financial advisory services for the project. It is currently waiting for government approval.
The project is expected to generate around $47 million in annual cash flow, according to a Tiomin news release. Much of the land in Tiomin's 64 km2 concession will be strip-mined, exposing mineral deposits up to 30 metres in depth. In addition, damage will be caused by timbering, constructing roads, a mill, a power-generating plant, power-lines, and waste piles.
There have been many concerns voiced by the people of Kenya over this project. A coalition of local communities, conservation, and human rights organizations called the Coast Mining Rights Forum is protesting the proposed Tiomin project.
The displacement of the Digo and Kamba people will have a negative impact on their social structure. On the part of Tiomin and the Kenyan government, there is a blatant lack of respect for the land to which these people are bound — economically, socially, and spiritually. Displacement means a change in the way of life for these people and inevitably results in loss of natural environment, loss of land and disruption of social ties. These fates are worsened by poor compensation that renders the people unable to maintain their livelihood.
People from the villages of Nguluku and Maumba do not feel that the committee formed by Tiomin was representative of all community members. Farmers who have engaged in negotiations with Tiomin for their land feel that they did not make informed decisions. The transparency of Tiomin's approach to this "community consultation" is therefore in question.
Tiomin says that it has negotiated a "mutually acceptable compensation and rental package" with the residents of the Kwale District area. In a letter written to Gene Bernofsky dated May 19, 2000 Tiomin stated that "this compensation will also include payment for all buildings and farm crops and will enable the people to purchase an equivalent or better plot of land elsewhere". Tiomin has negotiated a relocation fee of Ksh. 9,000 per acre and an annual lease of Ksh. 2,000 per acre. These prices translate to US $120 and US $30 respectively. Given the size of the average Kenyan family, this compensation is inadequate by Kenyan standards. It is predicted that the 10,000 people to be displaced will be left with insufficient resources to buy new land, and the majority of people will move to impoverished areas of urban centres. Women and children are at greatest risk of suffering as Kenya is based on a patriarchal structure.
Further, there are concerns about the potential disruption of sacred sites. Observers are concerned that graves as well as spiritual areas called Kayas and Mafingo need to be respected and untouched.
Since 1997, the people in these communities have been very preoccupied with their fate, and many questions remain unanswered. The issue of where these people will move is still unsettled and it is inevitable that the pending displacement will result in the dissolution of community structure.
The sustainability of the agricultural land is at risk. Coconut, cashew nut and mango trees that are essential to the livelihood of the Digo and Kamba people will be torn down in efforts to strip mine the land. Although Tiomin has told farmers that they will have their land back after 21 years, they will be unable to gain economic benefits from the land for another estimated 10 to 30 years - time that it would take the trees to grow, if at all.
Tiomin is proposing to mine rich deposits of ilmenite, rutile, and zircon that are associated with 309 ppm of uranium and 143 ppm of thorium. There are potential dangers to the environment and human health once radioactive elements are brought to the surface and discharged into the river and shallow springs aquifer systems.
There are also concerns over sulphur dioxide emissions, water quality and quantity. The processing plant will require as much as 3900 cubic metres of water per hour, which will exert pressure on water sources. An alternative Environmental Impact Assessment written by Kenyatta University in collaboration with ActionAid Kenya raises questions around water contamination, and the damage to freshwater aquifers.
Tiomin proposes to build a port facility at Shimoni Harbour that will have a negative impact on marine life, damaging coral and disrupting fish.
According to Amnesty International and other international observers, Kenya is one of the world's greatest perpetrators of ethnic violence and corruption. In 1996, Kenya ranked third on Transparency International's Corruption Index.
Despite strong opposition from the public in Kenya, the Canadian High Commission has been promoting this project.
The First Conference on the Implications of Titanium Mining on the Coast of Kenya was held from the 18-21st of June, 2000 in Ukunda, Kenya in order to establish a forum for multi-stakeholders to discuss the project. Representatives from Tiomin were invited to this conference but did not attend.
While it is true that Tiomin's proposed project will significantly increase foreign investment in Kenya and create a new industry, at what cost will this happen? As a Canadian mining company, Tiomin has the obligation to mine responsibly with respect for social and environmental impacts.
The directors of Tiomin include: Jean-Charles Potvin, President and CEO of Tiomin and Pangea Goldfields Inc., director of Gold Reserve Corporation; Oliver Lennox-King, Chairman of Southern Cross Resources Incl, director of SouthernEra Resources Ltd., and Newstar Resources Inc.; – . Thomas Ogryzlo, President and CEO of Black Hawk Mining Incl, former Chairman of Kilborn SNC Lavalin and the Kilborn Group of Companies; Peter Steen, director of Stillwater Mining Company and Dynatec Corporation, former President and CEO of International Corona Corporation, former President, CEO, and director of Homestake Mining Company, former President and CEO of Lac Minerals Ltd; and Donald Worth, director of Canarc Resource Corpl, Cominco Ltd., Founders Capital Corp., Real del Monte Mining Corporation, Royal Gold Incl, and a trustee of the Labrador Iron Ore Royalty Income Fund, and former VP of the Canadian Imperial Bank of Commerce. These people must be held accountable for their actions.
We request that people take action to help persuade Kenyan government officials to immediately halt Tiomin Resources' titanium project until specific environmental and social conditions have been met.
For more information, please contact Joan Kuyek, National Coordinator of MiningWatch Canada at (613) 569-3439 or by e-mail.
Tiomin Resources, a Canadian mining company based in Toronto and listed on the Toronto Stock Exchange, has found deposits of ilmenite, rutile, and zircon in the Kwale District of Kenya for which they would like to strip mine titanium. Titanium is primarily used as a whitener for paint, plastic, and paper. Tiomin has completed their Environmental Impact Assessment and has appointed Barclays Capital to provide financial advisory services for the project. It is currently waiting for government approval.
The project is expected to generate around $47 million in annual cash flow, according to a Tiomin news release. Much of the land in Tiomin's 64 km2 concession will be strip-mined, exposing mineral deposits up to 30 metres in depth. In addition, damage will be caused by timbering, constructing roads, a mill, a power-generating plant, power-lines, and waste piles.
There have been many concerns voiced by the people of Kenya over this project. A coalition of local communities, conservation, and human rights organizations called the Coast Mining Rights Forum is protesting the proposed Tiomin project.
The displacement of the Digo and Kamba people will have a negative impact on their social structure. On the part of Tiomin and the Kenyan government, there is a blatant lack of respect for the land to which these people are bound — economically, socially, and spiritually. Displacement means a change in the way of life for these people and inevitably results in loss of natural environment, loss of land and disruption of social ties. These fates are worsened by poor compensation that renders the people unable to maintain their livelihood.
People from the villages of Nguluku and Maumba do not feel that the committee formed by Tiomin was representative of all community members. Farmers who have engaged in negotiations with Tiomin for their land feel that they did not make informed decisions. The transparency of Tiomin's approach to this "community consultation" is therefore in question.
Tiomin says that it has negotiated a "mutually acceptable compensation and rental package" with the residents of the Kwale District area. In a letter written to Gene Bernofsky dated May 19, 2000 Tiomin stated that "this compensation will also include payment for all buildings and farm crops and will enable the people to purchase an equivalent or better plot of land elsewhere". Tiomin has negotiated a relocation fee of Ksh. 9,000 per acre and an annual lease of Ksh. 2,000 per acre. These prices translate to US $120 and US $30 respectively. Given the size of the average Kenyan family, this compensation is inadequate by Kenyan standards. It is predicted that the 10,000 people to be displaced will be left with insufficient resources to buy new land, and the majority of people will move to impoverished areas of urban centres. Women and children are at greatest risk of suffering as Kenya is based on a patriarchal structure.
Further, there are concerns about the potential disruption of sacred sites. Observers are concerned that graves as well as spiritual areas called Kayas and Mafingo need to be respected and untouched.
Since 1997, the people in these communities have been very preoccupied with their fate, and many questions remain unanswered. The issue of where these people will move is still unsettled and it is inevitable that the pending displacement will result in the dissolution of community structure.
The sustainability of the agricultural land is at risk. Coconut, cashew nut and mango trees that are essential to the livelihood of the Digo and Kamba people will be torn down in efforts to strip mine the land. Although Tiomin has told farmers that they will have their land back after 21 years, they will be unable to gain economic benefits from the land for another estimated 10 to 30 years - time that it would take the trees to grow, if at all.
Tiomin is proposing to mine rich deposits of ilmenite, rutile, and zircon that are associated with 309 ppm of uranium and 143 ppm of thorium. There are potential dangers to the environment and human health once radioactive elements are brought to the surface and discharged into the river and shallow springs aquifer systems.
There are also concerns over sulphur dioxide emissions, water quality and quantity. The processing plant will require as much as 3900 cubic metres of water per hour, which will exert pressure on water sources. An alternative Environmental Impact Assessment written by Kenyatta University in collaboration with ActionAid Kenya raises questions around water contamination, and the damage to freshwater aquifers.
Tiomin proposes to build a port facility at Shimoni Harbour that will have a negative impact on marine life, damaging coral and disrupting fish.
According to Amnesty International and other international observers, Kenya is one of the world's greatest perpetrators of ethnic violence and corruption. In 1996, Kenya ranked third on Transparency International's Corruption Index.
Despite strong opposition from the public in Kenya, the Canadian High Commission has been promoting this project.
The First Conference on the Implications of Titanium Mining on the Coast of Kenya was held from the 18-21st of June, 2000 in Ukunda, Kenya in order to establish a forum for multi-stakeholders to discuss the project. Representatives from Tiomin were invited to this conference but did not attend.
While it is true that Tiomin's proposed project will significantly increase foreign investment in Kenya and create a new industry, at what cost will this happen? As a Canadian mining company, Tiomin has the obligation to mine responsibly with respect for social and environmental impacts.
The directors of Tiomin include: Jean-Charles Potvin, President and CEO of Tiomin and Pangea Goldfields Inc., director of Gold Reserve Corporation; Oliver Lennox-King, Chairman of Southern Cross Resources Incl, director of SouthernEra Resources Ltd., and Newstar Resources Inc.; – . Thomas Ogryzlo, President and CEO of Black Hawk Mining Incl, former Chairman of Kilborn SNC Lavalin and the Kilborn Group of Companies; Peter Steen, director of Stillwater Mining Company and Dynatec Corporation, former President and CEO of International Corona Corporation, former President, CEO, and director of Homestake Mining Company, former President and CEO of Lac Minerals Ltd; and Donald Worth, director of Canarc Resource Corpl, Cominco Ltd., Founders Capital Corp., Real del Monte Mining Corporation, Royal Gold Incl, and a trustee of the Labrador Iron Ore Royalty Income Fund, and former VP of the Canadian Imperial Bank of Commerce. These people must be held accountable for their actions.
We request that people take action to help persuade Kenyan government officials to immediately halt Tiomin Resources' titanium project until specific environmental and social conditions have been met.
For more information, please contact Joan Kuyek, National Coordinator of MiningWatch Canada at (613) 569-3439 or by e-mail.
Canadian Resources Company Creating Conflict in Eastern Kenya
FOR IMMEDIATE RELEASE — 18 AUGUST, 2000
Tiomin Resources Inc., a Toronto-based mining company listed on the Toronto Stock Exchange, is expecting to strip-mine for titanium in the sands of Kenya's Kwale District starting early in the year 2001.
Titanium is used as a whitener for paint, plastic, and paper.
In spite of strong opposition from the public in Kenya, the Canadian High Commission has been promoting this project. The Kenyan government has indicated its support and is dismissing the public's complaints.
Scientists from Kenyatta University, in conjunction with non-governmental organization ActionAid Kenya, produced an Environmental Impact Assessment (EIA) that raised a number of concerns not mentioned in an environmental study done for Tiomin.
Much of the land in Tiomin's 64 km2 concession will be strip-mined, exposing mineral deposits up to 30 metres in depth. In addition, damage will be caused by timbering, constructing roads, a mill, a power-generating plant, power-lines, and waste piles.
Over 450 Digo and Kamba agricultural families will be displaced and plants, trees, soil, houses, schools, and markets will be destroyed.
Although the company plans to return the land to its owners after 21 years, some of Kenya's best farmland will no longer be arable due to changes in soil structure.
The mineral deposits are associated with 309 ppm of uranium and 143 ppm of thorium, radioactive elements that have the potential to harm human health and the environment once exposed to the air.
Kenyan scientists are concerned about sulphur dioxide emissions from the combustion of diesel fuels in the mining plants. They also state that water use will exert pressure on water sources and damage aquifers.
Kenyans feel that relocation and rental fees offered by Tiomin, $120 per acre and $30 per acre respectively, are completely inadequate compensation for these large extended families who will lose not only their homes, but their communities and livelihoods.
Women and children are at greatest risk of suffering. Said one boy from the community: "Maybe after moving we shall become street children."
"There is a lot of fear that (Tiomin) is going to follow the normal historical pattern since colonization, whereby money comes in and destroys local communities, and people's greed messes the entire system up: people end up poorer than they were, and the environment always suffers." — Kamau Gachigi (quoted in Dongo Kundu, a film produced by World Wide Film Expeditions, August 2000).
For more information, please contact Joan Kuyek, National Coordinator, MiningWatch Canada at (613) 569-3439.
Tiomin Resources, a Canadian mining company based in Toronto and listed on the Toronto Stock Exchange, has found deposits of ilmenite, rutile, and zircon in the Kwale District of Kenya for which they would like to strip mine titanium. Titanium is primarily used as a whitener for paint, plastic, and paper. Tiomin has completed their Environmental Impact Assessment and has appointed Barclays Capital to provide financial advisory services for the project. It is currently waiting for government approval.
The project is expected to generate around $47 million in annual cash flow, according to a Tiomin news release. Much of the land in Tiomin's 64 km2 concession will be strip-mined, exposing mineral deposits up to 30 metres in depth. In addition, damage will be caused by timbering, constructing roads, a mill, a power-generating plant, power-lines, and waste piles.
There have been many concerns voiced by the people of Kenya over this project. A coalition of local communities, conservation, and human rights organizations called the Coast Mining Rights Forum is protesting the proposed Tiomin project.
The displacement of the Digo and Kamba people will have a negative impact on their social structure. On the part of Tiomin and the Kenyan government, there is a blatant lack of respect for the land to which these people are bound — economically, socially, and spiritually. Displacement means a change in the way of life for these people and inevitably results in loss of natural environment, loss of land and disruption of social ties. These fates are worsened by poor compensation that renders the people unable to maintain their livelihood.
People from the villages of Nguluku and Maumba do not feel that the committee formed by Tiomin was representative of all community members. Farmers who have engaged in negotiations with Tiomin for their land feel that they did not make informed decisions. The transparency of Tiomin's approach to this "community consultation" is therefore in question.
Tiomin says that it has negotiated a "mutually acceptable compensation and rental package" with the residents of the Kwale District area. In a letter written to Gene Bernofsky dated May 19, 2000 Tiomin stated that "this compensation will also include payment for all buildings and farm crops and will enable the people to purchase an equivalent or better plot of land elsewhere". Tiomin has negotiated a relocation fee of Ksh. 9,000 per acre and an annual lease of Ksh. 2,000 per acre. These prices translate to US $120 and US $30 respectively. Given the size of the average Kenyan family, this compensation is inadequate by Kenyan standards. It is predicted that the 10,000 people to be displaced will be left with insufficient resources to buy new land, and the majority of people will move to impoverished areas of urban centres. Women and children are at greatest risk of suffering as Kenya is based on a patriarchal structure.
Further, there are concerns about the potential disruption of sacred sites. Observers are concerned that graves as well as spiritual areas called Kayas and Mafingo need to be respected and untouched.
Since 1997, the people in these communities have been very preoccupied with their fate, and many questions remain unanswered. The issue of where these people will move is still unsettled and it is inevitable that the pending displacement will result in the dissolution of community structure.
The sustainability of the agricultural land is at risk. Coconut, cashew nut and mango trees that are essential to the livelihood of the Digo and Kamba people will be torn down in efforts to strip mine the land. Although Tiomin has told farmers that they will have their land back after 21 years, they will be unable to gain economic benefits from the land for another estimated 10 to 30 years - time that it would take the trees to grow, if at all.
Tiomin is proposing to mine rich deposits of ilmenite, rutile, and zircon that are associated with 309 ppm of uranium and 143 ppm of thorium. There are potential dangers to the environment and human health once radioactive elements are brought to the surface and discharged into the river and shallow springs aquifer systems.
There are also concerns over sulphur dioxide emissions, water quality and quantity. The processing plant will require as much as 3900 cubic metres of water per hour, which will exert pressure on water sources. An alternative Environmental Impact Assessment written by Kenyatta University in collaboration with ActionAid Kenya raises questions around water contamination, and the damage to freshwater aquifers.
Tiomin proposes to build a port facility at Shimoni Harbour that will have a negative impact on marine life, damaging coral and disrupting fish.
According to Amnesty International and other international observers, Kenya is one of the world's greatest perpetrators of ethnic violence and corruption. In 1996, Kenya ranked third on Transparency International's Corruption Index.
Despite strong opposition from the public in Kenya, the Canadian High Commission has been promoting this project.
The First Conference on the Implications of Titanium Mining on the Coast of Kenya was held from the 18-21st of June, 2000 in Ukunda, Kenya in order to establish a forum for multi-stakeholders to discuss the project. Representatives from Tiomin were invited to this conference but did not attend.
While it is true that Tiomin's proposed project will significantly increase foreign investment in Kenya and create a new industry, at what cost will this happen? As a Canadian mining company, Tiomin has the obligation to mine responsibly with respect for social and environmental impacts.
The directors of Tiomin include: Jean-Charles Potvin, President and CEO of Tiomin and Pangea Goldfields Inc., director of Gold Reserve Corporation; Oliver Lennox-King, Chairman of Southern Cross Resources Incl, director of SouthernEra Resources Ltd., and Newstar Resources Inc.; C. Thomas Ogryzlo, President and CEO of Black Hawk Mining Inc., former Chairman of Kilborn SNC Lavalin and the Kilborn Group of Companies; Peter Steen, director of Stillwater Mining Company and Dynatec Corporation, former President and CEO of International Corona Corporation, former President, CEO, and director of Homestake Mining Company, former President and CEO of Lac Minerals Ltd; and Donald Worth, director of Canarc Resource Corp., Cominco Ltd., Founders Capital Corp., Real del Monte Mining Corporation, Royal Gold Incl, and a trustee of the Labrador Iron Ore Royalty Income Fund, and former VP of the Canadian Imperial Bank of Commerce. These people must be held accountable for their actions.
We request that people take action to help persuade Kenyan government officials to immediately halt Tiomin Resources' titanium project until specific environmental and social conditions have been met.
Tiomin Resources Inc., a Toronto-based mining company listed on the Toronto Stock Exchange, is expecting to strip-mine for titanium in the sands of Kenya's Kwale District starting early in the year 2001.
Titanium is used as a whitener for paint, plastic, and paper.
In spite of strong opposition from the public in Kenya, the Canadian High Commission has been promoting this project. The Kenyan government has indicated its support and is dismissing the public's complaints.
Scientists from Kenyatta University, in conjunction with non-governmental organization ActionAid Kenya, produced an Environmental Impact Assessment (EIA) that raised a number of concerns not mentioned in an environmental study done for Tiomin.
Much of the land in Tiomin's 64 km2 concession will be strip-mined, exposing mineral deposits up to 30 metres in depth. In addition, damage will be caused by timbering, constructing roads, a mill, a power-generating plant, power-lines, and waste piles.
Over 450 Digo and Kamba agricultural families will be displaced and plants, trees, soil, houses, schools, and markets will be destroyed.
Although the company plans to return the land to its owners after 21 years, some of Kenya's best farmland will no longer be arable due to changes in soil structure.
The mineral deposits are associated with 309 ppm of uranium and 143 ppm of thorium, radioactive elements that have the potential to harm human health and the environment once exposed to the air.
Kenyan scientists are concerned about sulphur dioxide emissions from the combustion of diesel fuels in the mining plants. They also state that water use will exert pressure on water sources and damage aquifers.
Kenyans feel that relocation and rental fees offered by Tiomin, $120 per acre and $30 per acre respectively, are completely inadequate compensation for these large extended families who will lose not only their homes, but their communities and livelihoods.
Women and children are at greatest risk of suffering. Said one boy from the community: "Maybe after moving we shall become street children."
"There is a lot of fear that (Tiomin) is going to follow the normal historical pattern since colonization, whereby money comes in and destroys local communities, and people's greed messes the entire system up: people end up poorer than they were, and the environment always suffers." — Kamau Gachigi (quoted in Dongo Kundu, a film produced by World Wide Film Expeditions, August 2000).
- 30 -
For more information, please contact Joan Kuyek, National Coordinator, MiningWatch Canada at (613) 569-3439.
Background Information: Tiomin Resources Inc. in Kenya
The coastline of Kenya, from the port of Shimoni to the ancient village of Mambrui, is under severe environmental threat from irresponsible mining. The Kenyan coast is a stunning tropical paradise, with its 250 miles of palm-fringed beaches, blue lagoons and magnificent coral beaches. Conservation International lists Kenya's coastal forest as one of the world's 25 "hotspots" — places of extraordinary biodiversity that are seriously threatened. A new threat now endangers these forests, coastal waters, and the agricultural communities of the Digo and Kamba people.Tiomin Resources, a Canadian mining company based in Toronto and listed on the Toronto Stock Exchange, has found deposits of ilmenite, rutile, and zircon in the Kwale District of Kenya for which they would like to strip mine titanium. Titanium is primarily used as a whitener for paint, plastic, and paper. Tiomin has completed their Environmental Impact Assessment and has appointed Barclays Capital to provide financial advisory services for the project. It is currently waiting for government approval.
The project is expected to generate around $47 million in annual cash flow, according to a Tiomin news release. Much of the land in Tiomin's 64 km2 concession will be strip-mined, exposing mineral deposits up to 30 metres in depth. In addition, damage will be caused by timbering, constructing roads, a mill, a power-generating plant, power-lines, and waste piles.
There have been many concerns voiced by the people of Kenya over this project. A coalition of local communities, conservation, and human rights organizations called the Coast Mining Rights Forum is protesting the proposed Tiomin project.
The displacement of the Digo and Kamba people will have a negative impact on their social structure. On the part of Tiomin and the Kenyan government, there is a blatant lack of respect for the land to which these people are bound — economically, socially, and spiritually. Displacement means a change in the way of life for these people and inevitably results in loss of natural environment, loss of land and disruption of social ties. These fates are worsened by poor compensation that renders the people unable to maintain their livelihood.
People from the villages of Nguluku and Maumba do not feel that the committee formed by Tiomin was representative of all community members. Farmers who have engaged in negotiations with Tiomin for their land feel that they did not make informed decisions. The transparency of Tiomin's approach to this "community consultation" is therefore in question.
Tiomin says that it has negotiated a "mutually acceptable compensation and rental package" with the residents of the Kwale District area. In a letter written to Gene Bernofsky dated May 19, 2000 Tiomin stated that "this compensation will also include payment for all buildings and farm crops and will enable the people to purchase an equivalent or better plot of land elsewhere". Tiomin has negotiated a relocation fee of Ksh. 9,000 per acre and an annual lease of Ksh. 2,000 per acre. These prices translate to US $120 and US $30 respectively. Given the size of the average Kenyan family, this compensation is inadequate by Kenyan standards. It is predicted that the 10,000 people to be displaced will be left with insufficient resources to buy new land, and the majority of people will move to impoverished areas of urban centres. Women and children are at greatest risk of suffering as Kenya is based on a patriarchal structure.
Further, there are concerns about the potential disruption of sacred sites. Observers are concerned that graves as well as spiritual areas called Kayas and Mafingo need to be respected and untouched.
Since 1997, the people in these communities have been very preoccupied with their fate, and many questions remain unanswered. The issue of where these people will move is still unsettled and it is inevitable that the pending displacement will result in the dissolution of community structure.
The sustainability of the agricultural land is at risk. Coconut, cashew nut and mango trees that are essential to the livelihood of the Digo and Kamba people will be torn down in efforts to strip mine the land. Although Tiomin has told farmers that they will have their land back after 21 years, they will be unable to gain economic benefits from the land for another estimated 10 to 30 years - time that it would take the trees to grow, if at all.
Tiomin is proposing to mine rich deposits of ilmenite, rutile, and zircon that are associated with 309 ppm of uranium and 143 ppm of thorium. There are potential dangers to the environment and human health once radioactive elements are brought to the surface and discharged into the river and shallow springs aquifer systems.
There are also concerns over sulphur dioxide emissions, water quality and quantity. The processing plant will require as much as 3900 cubic metres of water per hour, which will exert pressure on water sources. An alternative Environmental Impact Assessment written by Kenyatta University in collaboration with ActionAid Kenya raises questions around water contamination, and the damage to freshwater aquifers.
Tiomin proposes to build a port facility at Shimoni Harbour that will have a negative impact on marine life, damaging coral and disrupting fish.
According to Amnesty International and other international observers, Kenya is one of the world's greatest perpetrators of ethnic violence and corruption. In 1996, Kenya ranked third on Transparency International's Corruption Index.
Despite strong opposition from the public in Kenya, the Canadian High Commission has been promoting this project.
The First Conference on the Implications of Titanium Mining on the Coast of Kenya was held from the 18-21st of June, 2000 in Ukunda, Kenya in order to establish a forum for multi-stakeholders to discuss the project. Representatives from Tiomin were invited to this conference but did not attend.
While it is true that Tiomin's proposed project will significantly increase foreign investment in Kenya and create a new industry, at what cost will this happen? As a Canadian mining company, Tiomin has the obligation to mine responsibly with respect for social and environmental impacts.
The directors of Tiomin include: Jean-Charles Potvin, President and CEO of Tiomin and Pangea Goldfields Inc., director of Gold Reserve Corporation; Oliver Lennox-King, Chairman of Southern Cross Resources Incl, director of SouthernEra Resources Ltd., and Newstar Resources Inc.; C. Thomas Ogryzlo, President and CEO of Black Hawk Mining Inc., former Chairman of Kilborn SNC Lavalin and the Kilborn Group of Companies; Peter Steen, director of Stillwater Mining Company and Dynatec Corporation, former President and CEO of International Corona Corporation, former President, CEO, and director of Homestake Mining Company, former President and CEO of Lac Minerals Ltd; and Donald Worth, director of Canarc Resource Corp., Cominco Ltd., Founders Capital Corp., Real del Monte Mining Corporation, Royal Gold Incl, and a trustee of the Labrador Iron Ore Royalty Income Fund, and former VP of the Canadian Imperial Bank of Commerce. These people must be held accountable for their actions.
We request that people take action to help persuade Kenyan government officials to immediately halt Tiomin Resources' titanium project until specific environmental and social conditions have been met.
Company Response:
Tiomin Resources has responded to some of the information presented by Action Aid and the Kenyatta University researchers. Matthew Edler, Vice President of Tiomin Resources, faxed us a letter on August 8, 2000, which you can view here.Related Items
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