Africa seeks industrial growth through critical mineral processing

Africa currently processes less than 10 percent of its lithium, graphite, copper, and gold locally. For graphite, a key battery anode material, the local processing rate is between 3 and 5 percent. This lack of domestic beneficiation results in significant value loss, such as ilmenite being exported for under US$300 per tonne while the resulting titanium dioxide pigment sells for over US$3,000.

The Nyanza Light Metals titanium plant in Richards Bay, South Africa, serves as a model for industrialization. The US$850 million project, which began construction in June 2026, aims to produce 80,000 tonnes of pigment annually. Its bankability was secured through early support from the South African trade ministry, development finance from institutions like Afreximbank and the African Development Bank, and pre-signed customer contracts.

Investment forums are increasingly linking mineral development with energy infrastructure. Because many large deposits are located inland, there is a growing need for cross-border rail and power systems. The Lobito Corridor, which supports mines in the Democratic Republic of the Congo and Zambia, is being studied as a replicable model for connecting mineral-rich regions to reliable grids and ports.