Africa: A Central Player in the Global Energy Transition

Supplied by the African Energy Chamber

As the global economy accelerates its shift from fossil fuels to cleaner energy systems, Africa is emerging as a pivotal supplier of the minerals required to power this transformation. According to the African Energy Chamber’s State of African Energy 2026 Outlook, the continent’s vast reserves of cobalt, lithium, copper and Platinum Group Metals (PGMs) place it at the centre of global supply chains supporting renewable energy deployment and electric vehicle (EV) manufacturing.

Rising Global Demand and Supply Pressures

The transition to solar, wind, battery storage and electric mobility is driving unprecedented demand for critical minerals. Clean energy technologies require significantly greater volumes of cobalt, lithium and nickel than traditional energy systems. Projections suggest global demand for these minerals could rise as much as fivefold by 2035 compared to 2023 levels.

At the same time, supply constraints are becoming increasingly apparent. Concerns over sourcing, sustainability and project timelines are intensifying amid geopolitical tensions, concentrated refining capacity and supply chain vulnerabilities. These pressures are pushing major economies to diversify and secure reliable sources of critical minerals — positioning Africa as indispensable to the energy transition.

In 2024, Africa led global production of cobalt, copper, gold and PGMs, while rapidly expanding lithium output. The Democratic Republic of the Congo (DRC), Zambia, Zimbabwe, Mali, Namibia, South Africa and Morocco are at the forefront of production.

China remains the largest foreign investor in Africa’s mining sector, leveraging initiatives such as the Belt and Road Initiative to secure long-term resource access. More recently, the United States and the European Union have intensified engagement through strategic partnerships, infrastructure funding and agreements aimed at strengthening mineral supply chains while promoting responsible mining standards.

Cobalt and Lithium: Strategic Cornerstones

Cobalt remains essential to lithium-ion battery production. In 2024, the DRC dominated global cobalt supply, with leading operations including Kisanfu (51.92kt, nearly 20% of global production), Tenke Fungurume (48.08kt) and Kamoto (27.2kt). Combined, these mines accounted for more than half of global cobalt output, underscoring Africa’s strategic weight in the battery value chain.

The DRC is increasingly focused on domestic value addition, investing in refining capacity to convert cobalt hydroxide into higher-value cobalt metal. Ethical sourcing, traceability and improved environmental standards are being prioritised to strengthen the country’s position as a responsible supplier. Temporary export restrictions in 2025 helped stabilise global prices, and authorities are now considering flexible quota systems to balance market stability with producer returns.

Lithium production is also expanding rapidly. Africa produced 124,230 tons of lithium carbonate equivalent (LCE) in 2024, primarily from hard-rock spodumene deposits. Zimbabwe leads output, with Mali, Namibia, South Africa, Ghana and the DRC scaling production. The continent holds an estimated 26.7 million tons of identified lithium resources — around 5% of the global total.

Morocco currently hosts viable battery-grade chemical refining capacity, while Zimbabwe is advancing a $450 million refinery project at Mapinga Industrial Park. Production costs across Africa — between $250 and $650 per ton of spodumene concentrate — remain competitive compared to Australia’s approximate $800 benchmark. Several governments, including Mali, Ghana and Zimbabwe, are increasing state participation through mandated national equity stakes to secure long-term economic benefits.

Infrastructure and Strategic Partnerships

Securing African mineral supply chains has become a global priority. The United States, through the Development Finance Corporation (DFC) and the Minerals Security Partnership, has committed over $200 million to African mining and infrastructure projects, supporting responsible sourcing and potential battery manufacturing collaboration with the DRC and Zambia.

One flagship initiative is the Lobito Corridor, a transcontinental rail link connecting Zambia to Angola’s Atlantic port. Backed by a $553 million DFC loan and European Union support, the corridor is designed to streamline mineral exports while improving regional trade connectivity.

NJ Ayuk, Executive Chairperson of the African Energy Chamber, emphasised that Africa’s mineral endowment represents more than resource wealth. “Africa’s mineral wealth is not just a resource; it is a strategic asset for the global energy transition. By fostering local beneficiation, ethical production and sustainable supply chains, Africa can drive industrialisation, create jobs and secure its position at the heart of the clean energy economy,” he said.

Strategic Opportunity

With continued exploration, refining investments and strategic global partnerships, Africa is positioned to expand its influence in the decarbonised global economy. The continent’s ability to balance resource development with environmental stewardship and local value creation will determine how effectively it converts mineral wealth into long-term economic transformation.

As the energy transition accelerates, Africa is not merely a supplier of raw materials — it is becoming a central architect of the clean energy future.