Africa's Share in Global Lithium Production Set to Rise
Africa's contribution to global lithium production is expected to increase from 4% in 2023 to 12% by 2033, according to Benchmark Mineral Intelligence. The continent's top lithium producers, Zimbabwe, Mali, and Nigeria, are developing projects to strengthen local lithium transformation.
$100 Million Investment in African Refineries
ReElement Technologies and Novare Holdings have announced a $100 million investment to build refineries in Africa. Zimbabwe, the continent's leading lithium producer, has already attracted a $500 million Chinese investment for a lithium refinery. In Nigeria, processing plants have also emerged, backed by Chinese investments, with a daily processing capacity of 4,000 tons.
Riding the Wave of Global Demand
This development is taking place in a rapidly expanding global market, driven by the growth of electric vehicles, which could see lithium demand reach 616,000 tons by 2030. African transformation projects benefit from competitive advantages, including proximity to mines, favorable energy costs, and labor costs, making the continent more competitive than other regions like China or Australia.
Despite Advantages, Africa Still Lags in Critical Mineral Investments
However, despite these advantages, Africa still lags behind in terms of investments in critical mineral transformation, attracting only 2.8% of global investments between 2019 and 2023.
