Securing Minerals for the Energy Transition 2025

Examples of publicly announced policy actions TABLE 1 Source: Press search, literature review, CSIS, Global Critical Minerals Outlook 2025.Non-exhaustive Country Overview of critical minerals sector Recent policy actions AngolaFocusing on increasing production of critical minerals such as lithium and rare earth elements (REE)Fundo Soberano de Angola (sovereign wealth fund) invested an additional $9 million in Pensana’s Longonjo rare earths project. The United States International Development Finance Corporation backed a feasibility study for rare earths processing in 2024. BotswanaEmerging copper producer, particularly in the Kalahari Copper Belt, saw a five-fold increase in production from 12 kilotonnes (kt) in 2021 to 55 kt in 2023. An amendment to the existing Mines and Minerals Act increased local ownership in mining projects. Diversified exploration spending increased the share of non-diamond minerals (copper and nickel) from 24% in 2006 to 70% in 2024. DRCMaking heavy investment in exploration; 67% of total exploration investment is in copper, ensuring that the Kamoa-Kakula Complex produces the world’s highest copper ore grade. Has a 74% share of global cobalt production, refining activity remains low. Aiming to enhance cobalt refining capabilities. Temporarily banned cobalt exports in early 2025 to curb oversupply, stabilize global prices and enhance domestic processing capabilities. Exerting pressure on the International Conference of the Great Lakes Region to enforce stricter mineral tracing standards. MadagascarHas a 6% share in global graphite production, 1% in global nickel production. Creating infrastructure in areas with mines, which are located in remote locations.Recently published Mining Code incorporates provisions to attract investment, including enhanced mining sector governance and assurance of fair distribution of mining benefits. MozambiqueComprises 6% of global graphite production. Security challenges have caused exploration spending to drop from $25.5 million in 2014 to just $1.4 million in 2024.Mozambique Mining Exploration Company, a state-owned company, is working to further increase graphite extraction. NamibiaCritical minerals such as REE and lithium are in development/early production stage.Banned export of unprocessed critical minerals in 2023, including lithium and REE. Signed an EU-Namibia strategic partnership on sustainable raw materials value chains and renewable hydrogen. South AfricaProvides 40% of global manganese supply (2024). Is the leading producer of platinum group metals and chromium. Published a minerals exploration strategy, including a critical minerals list. Announced a ZAR500 million (~$27 million) critical minerals fund to support exploration activities. TanzaniaIs building graphite and rare earth reserves. Doubled exploration spending from 2021 to 2022; is redirecting more exploration investment towards nickel and copper. Is developing a Critical and Strategic Minerals Strategy (at consultation stage). Is undertaking legal reforms (Mining Act CAP 123) to attract investments. ZambiaHas a 3% share of global copper production. Targets 3 million tonnes of copper output by 2031. Increased exploration investment 89% year-on-year in 2022, from $42.1 million in 2021 to $79.6 million.Has drafted a local content policy to increase the participation of domestic businesses in the nation’s mining industry. Launched the Integrated Mining Information System (ZIMIS) to ensure transparency in managing mining licenses. ZimbabweLithium production has increased eight-fold from 417 kt in 2020 to 3,400 kt in 2023; the current share is at 2% of global lithium production.Introduction of the Base Minerals Export Control Order in 2022 is set to boost processing and local value addition. Amendments to the tax regime and expansion of the definition of “beneficial owner” and “controller” deter corruption. Securing Minerals for the Energy Transition: Finance for Southern Africa 9