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New African mining powerhouses emerge amid global scramble for resources[Graphic: Hope Mukami, bird story agency]

New African mining powerhouses emerge amid global scramble for resources

New players are emerging in Africa's mining sector as global demand for critical minerals soars. These nations are pushing for and securing new deals that, if well-harnessed, can play a role in the transformation of their resource economies.

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By Bonface ORUCHO

Africa’s mining sector continues to attract global players, with an increasing number of African nations securing high-stakes deals for critical minerals.

A new report by the Africa Policy Research Institute, on January 20, highlights a growing number of bilateral agreements — ranging from strategic partnerships to cooperation agreements — that have been established with African states to secure mineral access, promote joint ventures, and integrate mineral value chains.

Between 2019 and 2023, 43 national critical minerals strategies were adopted worldwide, according to the IEA. African nations are leveraging these strategies when selecting mineral partners.

“While some agreements emphasise direct state cooperation, others focus on fostering an enabling environment for private sector investment — a strategy that may yield slower tangible results but ensures long-term sustainability” the report notes.

Among African nations, South Africa, Zambia, and the Democratic Republic of the Congo (DRC) have secured the highest number of deal agreements, each committing to at least six multilateral, bilateral, or state-to-state partnerships.

While traditionally, deals in Africa’s mineral supply have focused on a select few countries, however, such as South Africa, Zambia, and the Democratic Republic of the Congo (DRC), the tide is changing. Agreements now span a broader range of nations as emerging players increase their bets on the sector.

Liberia, for example, expects to attract US$3 billion in new investment including from the mining and extractive sectors, after it identified new mineral resources from studies conducted over five decades, according to President Joseph Boakai.

In his latest State of the Nation Address on January 27, 2025, Boakai emphasised Liberia’s vast mining potential, with confirmed reserves of iron ore, lithium, cobalt, uranium, and more — key resources that can drive economic growth.

“We have engaged domestic and international investors… We are actively negotiating with major multinational companies in energy, mining, agriculture, infrastructure, and technology,” he pointed out during the address.

Mining already plays a significant role in Liberia, contributing up to 15% of GDP. The African Development Bank notes that 2021 marked the year Liberia achieved an all-time high value from the sector, with revenues in excess of US$660 million.

The sector has been a global focal point in large part because of the exponential rise in demand caused by the global green energy and digital transitions. The International Energy Agency projects that the demand for critical minerals alone will increase sixfold by 2050, with their market value reaching US$400 billion, exceeding the value of all the coal extracted in 2020 globally.

Security concerns stemming from shifting geopolitical tensions, the potential for supply chain disruptions and the concentration of refining capabilities in China, have all become focus points. Africa’s rich mineral endowment is now garnering considerable attention.

Countries worldwide are increasingly viewing their critical mineral supply chains not just in terms of global competitiveness or even the global responsibility to decarbonise but as an issue affecting national security. African leaders are taking note.

“Many African leaders actively shape these agreements, selectively engaging with offers and strategically rejecting certain initiatives in favour of others that better align with their national and regional interests,” the report explained.

Liberia’s growing rise into a key player in the mineral sector reflects a broader African trend. Countries like Namibia, Rwanda, Nigeria, and Zimbabwe are also making strategic moves to leverage their mineral resources.

In Namibia, Bezant Resources secured N$13 million (over US$600,000) for its Hope & Gorob copper-gold project. Trigon Metals’ Kalahari Copper Project was also recently chosen for the €5 million UNDERCOVER research project by the EU.

In Zimbabwe, Kavango Resources recently raised £10 million (US$13 million) for its gold projects, wihile early in January 2025, Premier African Minerals raised £4.7 million (US$5 million) to advance its Zulu Lithium and Tantalum Project, aiding in the restart of full-scale operations at the Zulu Mine.

However, even as these deals take shape, the APRI report highlights a gap in transparency. Many agreements remain vague and non-binding, requiring additional financial incentives, like preferential financing, to attract investment.

Nevertheless, twelve major global players have actively sought collaborations with African countries in the recent past, according to the report. These include the UK, Turkey, Saudi Arabia, the UAE, Russia, India, China, South Korea, Japan, Indonesia, the US, and the EU.

China has long dominated Africa’s mining sector, and remains the largest investor in critical minerals, controlling significant hubs such as cobalt and copper operations in DRC and Zambia.

However, new foreign players like the UAE are gaining ground by securing high-profile acquisitions. One UAE acquisition is International Resource Holdings’ US$1.1 billion stake in Zambia’s Mopani Copper Mines.

Mopani Copper Mines, one of Zambia’s largest copper producers, plays a significant role in the country’s mining sector. In 2024, Zambia’s copper production surged by 12%, rising from 732,580 metric tons in 2023 to approximately 820,670 metric tons, according to government data.

Mopani Copper Mines has boosted output by 32% under the management of International Resources Holding RSC Ltd. of Abu Dhabi, which acquired a majority stake at the end of 2023, and is targeting a production milestone of 150,000 tons in 2025, according to mining.com.

This acquisition is just one of many Emirati-backed deals shaping Africa’s minerals sector a sign of the Gulf’s increasing interest in investing in Africa, beyond infrastructure and logistics.

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