This archive report was first published on 28 July 2019.
Published on July 28, 2019, by Anthony Kitimo, more by this author.
Base Resources, an Australian mining firm, has been waiting for over nine years for Kenya Revenue Authority (KRA) to pay out more than Sh20 billion in tax refunds.
The company, which took over mining rights from Tiomin Kenya Limited in July 2010, has only received Sh3.5 billion as of June 2019, according to its latest report.
Base Resources paid Sh1.1 billion in tax and royalties to the government in the six months ended December 2018.
The firm's second quarter activities report notes that it has a refund claim for Value Added Tax (VAT) paid in Kenya, relating to both the construction of the Kwale project and the period since operations commenced.
Base Resources is continuing to engage with the Kenyan Treasury and the KRA to expedite the refunds, as per the company's report.
Despite the delay, the firm has seen a significant increase in demand for its ilmenite product, with prices rising due to supply restrictions.
Base Resources recorded a 26.1 percent jump in the value of titanium exports from its Kwale mine to Sh7 billion in the quarter ended June, driven by higher prices of the commodity in international markets.
