Africa is brimming with untapped potential. The continent holds around 30% of the world’s mineral reserves, including critical elements like cobalt, lithium, manganese, copper, nickel, and more. These minerals are vital for the global energy transition, as they play a key role in electric vehicle batteries, renewable energy storage, and green technologies. In this context, the Critical Minerals Africa (CMA) 2024 summit, held in Cape Town from November 6-7, became a pivotal event for showcasing Africa’s mineral wealth and its path to economic transformation.
The CMA 2024 summit brought together key players from the mining industry, policymakers, investors, and service providers to discuss the pressing need for Africa to unlock the full potential of its mineral resources. This year’s event not only addressed the urgent demands of the critical minerals value chain but also focused on how Africa’s mining sector can accelerate its development while promoting value addition, job creation, and socioeconomic growth.
Africa’s Mineral Wealth: A Foundation for Economic Growth
The primary focus of CMA 2024 was to highlight Africa’s vast mineral reserves and their role in the global economy. The continent holds some of the world’s largest deposits of critical minerals, including:
- Cobalt – Vital for the production of electric vehicle batteries
- Lithium – A key component in rechargeable batteries for green technologies
- Copper and Nickel – Essential for renewable energy infrastructure
- Manganese and Graphite – Critical for energy storage systems
As the world pivots towards clean energy, Africa’s mineral wealth positions it as a crucial player in the global transition. However, Africa’s potential remains largely untapped, and the CMA 2024 summit aimed to address the challenges of maximizing these resources for both local and global benefit.
Strategic Conversations at CMA 2024: Shaping Africa’s Mineral Future
CMA 2024 was not just about showcasing Africa’s mineral resources; it was about actionable strategies for leveraging these resources. The summit featured a series of high-profile discussions, including a Ministerial Forum, where key leaders from Eswatini, Malawi, Argentina, and Tanzania shared their visions for the mining sector and economic growth.
Malawi’s Kasongo Initiative: Expanding Rare Earths Production
Malawi’s Minister of Mining, Monica Chang’anamuno, highlighted the country’s ongoing efforts to increase the production of rare earth metals, graphite, and lithium. The Kasongo Initiative, a major project in Malawi, seeks to unlock the full potential of these resources and position the country as a key supplier for global green technology markets.
- Key takeaway: Malawi is focusing on rare earths as part of a broader strategy to expand its mining sector, driving economic growth and job creation in the process.
Eswatini’s Bold Vision: Mining Sector to Contribute 50% of GDP
The Minister of Natural Resources and Energy from Eswatini, Prince Lonkhokhela, shared an ambitious strategy to grow the country’s mining sector from 1% to 50% of its GDP in the short to medium term. This goal is supported by the discovery of commercial deposits of lithium, copper, cobalt, and other base metals. Eswatini’s strategy is centred on transforming its mining sector into a powerhouse that can support local beneficiation and value addition.
- Key takeaway: Eswatini is investing in exploration and value-added processing to create long-term economic benefits.
Tanzania’s Ambitious Push into Rare Earths and Lithium
Tanzania also presented its vision for expanding its mining sector. The country is aiming to increase exploration in critical mineral-rich basins from 16% to 50% in the coming years. This includes rare earths, lithium, and tanzanite production. Tanzania’s focus is on attracting foreign investment and accelerating mineral exploration to tap into the growing demand for green metals.
- Key takeaway: Tanzania’s push into rare earths and lithium reflects the global demand for these critical minerals, positioning the country as a future leader in the green economy.
Building Africa’s Mining Infrastructure: Investment and Development
The CMA 2024 summit also spotlighted the importance of mid- and downstream infrastructure for the growth of Africa’s mining sector. In this context, the President of the Chamber of Mines of Zimbabwe, Thomas Gono, emphasised the need for investment in the full mining value chain, from exploration to beneficiation. Historically, Africa has exported raw materials with limited value added, missing out on significant economic opportunities.
- Key takeaway: The focus on skills development, local beneficiation, and infrastructure investment is critical for creating jobs and boosting economic output.
An important session of the summit focused on financing strategies, with representatives from key financial institutions like the World Bank, ABSA, and the African Finance Corporation. The discussions centred around how to unlock capital flows for the mining sector, particularly to support mid- and downstream opportunities.
Africa’s Young Workforce: A Game-Changer for Mining and Development
One of the most compelling aspects of CMA 2024 was the recognition of Africa’s young workforce as a critical asset in transforming the mining sector. With the world’s youngest population, Africa has the potential to leverage its human capital to drive innovation in the mining industry.
- Key takeaway: Africa’s youth are not only an asset for driving mining production but also for advancing technological innovation and sustainable practices in the sector.
Regional Initiatives: Unlocking Africa’s Mining Potential
The Lobito Corridor, a major regional infrastructure project aimed at improving mineral transportation across southern Africa, was highlighted as a key initiative to fast-track the development of Africa’s mining sector. The project aims to reduce logistics costs and improve access to global markets, making Africa’s critical minerals more competitive on the world stage.
- Key takeaway: The Lobito Corridor and other regional initiatives are essential for enhancing Africa’s mining value chain and facilitating global trade in critical minerals.
Conclusion: Africa’s Path to Economic Transformation Through Mining
The CMA 2024 summit has underscored the immense potential of Africa’s mineral wealth to drive economic transformation. With growing demand for critical minerals in the global transition to a green economy, Africa stands at a crossroads. By focusing on value addition, local beneficiation, and investment in infrastructure, the continent can unlock new opportunities for socioeconomic development and job creation.
The discussions at CMA 2024 demonstrated that the future of Africa’s mining industry is not just about extraction; it’s about building a sustainable, value-added ecosystem that benefits both local communities and the global economy.
