"Export Bans Bear Fruit as Africa Ramps Up Lithium Refining Capacity"

" Export Bans Bear Fruit as Africa Ramps Up Lithium Refining Capacity \r\n\r\n As global competition intensifies to secure lithium supplies for batteries, Africa is increasing its capacity for in-country lithium refining, with a surge in investments after several countries banned exports of the raw mineral. \r\n\r\n By Conrad Onyango, bird story agency \r\n\r\nAfter banning exports of raw lithium in the face of growing demand from countries like China, a number of African countries rich in the battery metal are experiencing a growth of in-country mineral processing activities.\r\n\r\nLithium is primarily used in the production of rechargeable batteries for products such as electric vehicles (EV) and mobile phones.\r\n\r\nFor close to a year, there has been a surge in the development of lithium processing plants - especially in Zimbabwe - as foreign investors seek ways to access the material in the face of the export bans.\r\n\r\n\u201cWith investment flowing across the country\u2019s mining value chain, Zimbabwe is estimated to meet upwards of 20% of global demand if its full potential is unlocked,\u201d said Energy, Capital and Power, the organisers of the annual Critical Minerals Africa conference.\r\n\r\nThe Second edition of the event is scheduled for for 6th and 7th November 2024 as it seek to advance its goal of establishing world class minerals value chains in Africa.\r\n\r\n\u201cThis is the African critical minerals deal making space, standing at the intersection of energy and mining, linking global consumers and producers, and bringing global capital to African projects,\u201d said the event organisers on their website.\r\n\r\nThe event happening in Cape Town has \u00a0a dedicated\u00a0\u2019Minerals Showcase: Lithium\u00a0session\u2019 that will explore the continent\u2019s future role in the energy transition as a major producer of the critical mineral.\r\n\r\nAmong the latest developments is the signing of a US$310-million deal between Zimbabwe\u2019s state-owned mining company Kivumba Mining House and a consortium of British and Chinese investors to construct a 3 million ton per year lithium processing plant at the Sandawana mine in Mberengwa.\r\n\r\nThe facility, being developed under a build, operate and transfer agreement, is expected to be operational within 18 months and will initially produce 600,000 tons of lithium concentrate annually.\r\n\r\nIn April 2024, another Chinese mining company, Rwizi Rukuru commissioned the country's third lithium processing plant, a 300-ton-per-day lithium concentrator located in Mutoko, in the country\u2019s Mashonaland East province.\r\n\r\nUK-based mining and exploration company, Premier Africa Minerals has been playing a significant role in boosting investment flows to Africa\u2019s critical mineral sector including through local capital fundraising.\r\n\r\nIn April 2024, the company announced plans to inject US$2.5 million to fast-track the commissioning of lithium mines in the country, including one at the Zulu project, 80km from Bulawayo. The site is regarded as one of the largest undeveloped lithium reserves in the country.\r\n\r\n\u201cThe progress made this year on the most complex part of this plant is actually very good and we should not lose sight of the fact that this initial plant at Zulu is likely only the beginning of a long and exciting development for this project,\u201d said Premier Africa Minerals Chief Executive Officer, George Roach in the company\u2019s August updates.\r\n\r\n \r\n\r\nZimbabwe is home to the world\u2019s largest known deposits of lithium and is estimated to have the highest number of lithium projects under exploration in Africa.\r\n\r\nZimbabwe's government banned raw lithium exports in December 2022, on the back of increased trade by artisanal miners, as it seeks to get more value from the mineral.\r\n\r\nNeighbouring Mozambique is another exciting lithium prospect, according to exploration companies. In May, Mozambican mining company Magnifica and Indian miner Deccan formed a joint venture - Deccan Gold Mozambique - to establish a 100-ton-per-day lithium processing facility, leveraging a US$10 million capital injection from Deccan over the next three years\r\n\r\nUnder the agreement, lithium produced from the Mozambican concessions will be exported to India to meet growing demand for critical minerals crucial for the energy transition in the Asian country.\r\n\r\nIn Nigeria, three Chinese companies are taking the lead in establishing lithium processing facilities.\r\n\r\nChina\u2019s Avatar New Energy Materials has officially launched Nigeria\u2019s largest lithium processing plant in Nasarawa State, located in the center of the country. The US$100 million facility has a capacity of 4,000 tonnes per day.\r\n\r\nCanmax Technology, a prominent Chinese company responsible for approximately one-third of global battery material production, has announced a US$200 million investment for another lithium factory in Nasarawa.\r\n\r\nAnother Chinese company, Ming Xin Mineral Separation is also constructing a lithium processing plant to produce EV batteries in Kaduna state.\r\n\r\nThe Nigerian government has stipulated that no company will be allowed to mine and export raw lithium unless they establish processing plants within Nigeria.\r\n\r\nTanzania is also expected to see a rise on in-country processing after announcing in 2023 it will ban export of unrefined lithium by mid 2024.\r\n\r\nThe Tanzanian government has outlined an export license process, stating that mining companies are required to establish in-country refining facilities alongside their respective operations.\r\n\r\nSo far US company, Titan\u00a0Lithium\u00a0Inc,\u00a0is the top contender for Tanzania\u2019s lithium reserves, with plans to consolidate its position in the country.\r\n\r\nMarket research firm, Benchmark Mineral Intelligence early in 2024 forecast Africa\u2019s lithium production to triple year-on-year in 2024, increasing the continent\u2019s share of global output from 4% to over 10%.\r\n\r\nThe firm attributed the rise to a surge in financing from China, which is expected to be the destination for 90% of Africa\u2019s planned lithium supply through 2030.\r\n\r\n bird story agency \r\n\r\n "

"Export Bans Bear Fruit as Africa Ramps Up Lithium Refining Capacity"

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