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Gold discovery turns quiet Homa Bay village into hive of economic activity

A gold rush has transformed Maguge Village in Homa Bay Town East Ward into a hive of economic activity, creating jobs for hundreds of residents and attracting miners, traders and entrepreneurs to the area.

The village was previously known for murram quarrying but the discovery of gold-bearing rocks a few weeks ago has sparked a new informal mining economy, with dozens of businesses and activities emerging around the extraction and processing of the precious metal.

The rush began after some residents were seen collecting rocks from the area and taking them to another location for extraction.

According to John Okello, chairperson of the mine management committee, one of the women was questioned and revealed that they were taking the rocks for gold extraction.

Since then, people flocked the area in search of opportunities.

Miners have also been arriving at the site in search of gold-bearing ore. Some dig directly into the ground, while others collect rocks and transport them to crushing and processing points.

But accessing the mining ground comes at a cost. Operators said miners are required to pay Sh50,000 to the landowner before beginning excavation, with a portion of the proceeds subsequently shared with those managing the mining operations.

Gold mining in the area has created an unexpected source of income for casual workers who previously spent days searching for employment.

For Kennedy Oywaa, a construction worker, the gold rush has brought a welcome change.

Oywaa, who specialises in constructing iron-sheet structures, said he has barely had time to rest since miners began arriving at the site.

He is among workers being hired to put up temporary structures for gold traders, including shelters for crushing machines and storage facilities for ore.

“I would previously walk to construction sites as I looked for work each day. Sometimes I would go back home without finding anything to do,” Oywaa said.

He said the increased demand for his services has enabled him to earn enough to support his family.

“We are grateful for the mine and now we are able to feed our families because of the money we get from doing work here,” he said.

The mining boom has also opened up opportunities for masons. John Opiyo, who has been working at the site for more than a week, is constructing water reservoirs used during gold processing.

Opiyo said his workload has increased significantly since mining began.

“Previously I would stay for weeks without a job. Now clients are calling me even at night,” he said.

The economic ripple effect has extended to the food business, with women setting up eateries to serve the growing population of miners.

Melvin Akoth abandoned her previous omena business after learning about the gold discovery and instead opened a small food outlet near the mining site.

“I used to sell omena, but when I heard that there is gold here, I decided to come back and start a hotel for the miners,” Akoth said.

According to Akoth, the new business has proved more profitable because miners provide a steady market for food.

“Food sells quickly and has more profit than the business I was engaged in earlier. Now I am able to sell all my food before evening,” she said.

However, the rapid growth of the mining activities has raised concerns among residents, particularly over the possibility of children being drawn into the gold rush.

Residents have now called on miners to keep school-going children away from the mining pits.

The rapid expansion of the informal mining settlement further raised questions about environmental management and the need to ensure that mining is carried out legally and safely.

National Environment Management Authority (NEMA) County Director Jacob Asembo visited the site and recommended that operations at the mining site be halted until the necessary approvals are obtained.

by Sitna Omar

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