$30m lost in illegal Gold mining

An investor in Gold Mining in Busia district says government is losing close to 30 million US dollars annually through illegal gold mining in the district. Illegal mining is also impacting negatively on investors as local miners encroach on their licensee land.

The acting manager of Busitema gold mine Peter Mayer revealed to the members of the Social Services and National economy Committees of parliament. Mayer estimates over 300 illegal miner's are involved in illegal mining in Tiri parish, 8 km from the Kenyan boarder with Uganda .

The acting manager further alleges that illegal artisans were using mercury to extract gold from other impurities. He says mercury is contains a dangerous chemical that is hazardous to human health.

It's further alleged that the illegal artisans degrading the environment by digging several pits which are left uncovered.

However State Minister for Energy in charge of minerals Dr. Kamanda Bataringaya indicates plans are under way to mobilize and sensitize local artisans involved in gold business on good the best practices of the trade.

One of the other challenges Busitema Gold miners encounter is lack of cooperation among some landlords who have deliberately refused to be compensated despite valuation by government..

Peter Meyers says this has hindered the company's extension mining programme. Busitema gold mining company is licensed to operate on 51 acres of land in Tiri Parish in Busitema Sub County in Busia district.