Tata Chemicals Says Fully Compliant After Kenya Orders It To Exit Century-Old Magadi Mine

Tata Chemicals on Friday said its Kenyan subsidiary is "fully compliant with the regulatory requirements" and has submitted all documentation sought by the government, pushing back after Kenyan President William Ruto ordered the Indian firm to leave the century-old Magadi soda ash operation it has run for two decades.

In a statement to stock exchanges, the company said Tata Chemicals Magadi Ltd (TCML) had received the Ministry of Mining, Blue Economy and Maritime Affairs' suspension letter dated July 28 and, on August 11, submitted "all the required information, reports and documentation," and is now "awaiting the Ministry's review of our submissions and its further direction." "We respect the authority of the Government of Kenya and remain committed to constructive engagement through the appropriate legal and regulatory channels to resolve the outstanding matters," the company said, adding that its priority "continues to be the well-being of our employees, the Magadi community, our stakeholders in Kenya and continued economic development of Kenya." It noted it has operated the Magadi plant since Tata Chemicals Ltd acquired it in 2005, calling it "an integral part of our business." The statement follows Ruto's order, delivered during a visit to Kajiado county, that Tata "pack and go" from the Lake Magadi site, with the government seeking new investors to take over the mining rights. "Tata has held mining rights for 100 years, yet it has not built anything in Kajiado," Ruto was quoted by Bloomberg as saying. "They take our resource to India and other places." Ruto said the government would bring in two new companies to replace Tata - one to build a glass factory, another for chemical production.

The President's remarks come five weeks after the mining ministry directed TCML to suspend operations, citing unpaid royalties and other regulatory shortfalls. Kajiado Governor Joseph Ole Lenku, speaking at the same rally, said Tata's mining rights had in fact expired in 2023.

Kenya has produced soda ash from the site since 1911; Tata Chemicals acquired the operation from Brunner Mond Ltd. in 2005.

Kenya is the world's fourth-largest producer of natural soda ash, accounting for about 1 per cent of global output, according to the US Geological Survey. Sodium carbonate, as the compound is also known, is used in glassmaking, cleaning products and electric-vehicle battery manufacturing.

"We wish to reiterate that on August 11, 2026, TCML submitted all the required information, reports and documentation, and TCML is fully compliant with the regulatory requirements," the Tata company said.

"TCML, having provided a comprehensive response to the matters raised by the Ministry, including information regarding its compliance with applicable regulatory requirements, awaits the Ministry's review of our submissions and its further direction." Since 2005, when Tata Chemicals Limited acquired the Magadi plant, it has played an important role in the Kenyan economy and continues to be an integral part of the company's business, it said.

"We respect the authority of the Government of Kenya and remain committed to constructive engagement through the appropriate legal and regulatory channels to resolve the outstanding matters.

"Our priority continues to be the well-being of our employees, the Magadi community, our stakeholders in Kenya and continued economic development of Kenya."