By: Mining.com.au

Africa in focus: Downstream value and the critical minerals shift

Africa is one of the most resource-rich regions globally, with mineral endowments that underpin local economies and international supply chains. In the past, the continent’s precious metals reserves took precedence, and the industry thrived across South Africa, Ghana, Zimbabwe, Botswana, and Namibia, in particular for gold, platinum group metals, and diamonds.

While these reserves are still a major focus of the industry across the continent, critical minerals have arisen as a core focus, across commodities including cobalt, manganese, and rare earth elements. 

From raw exporter to value creator

And it is within the mid- and downstream sectors that Africa is focusing on a shift from being a raw material exporter to a value creator. Central to this idea is that developing midstream and downstream industries will lead to economic growth across the continent, creating jobs, building key skills, and stimulating local economics. 

In a publication by the World Economic Forum (WEF), the authors state that the Southern African Development Community (SADC) in particular stands at the forefront of a new industrial era, driven by the rising global demand for critical minerals. 

“Through value-added processing and regional collaboration, Southern Africa can capture greater economic value and build resilience across minerals value chains,” says the WEF. 

Strategic leverage in global supply chains

With Africa’s vast reserves indispensable to the global clean energy shift, the continent is positioning itself at the centre of supply chain discussions, with this downstream focus a way for Africa to derive as much value from its own resources, rather than exporting raw materials to other nations. 

The global focus on critical minerals as vital for not only the global energy transition, but for energy security, defense, and emerging technologies, provides Africa with strategic leverage, strengthening its economic value and power within the industry itself. 

Building strong mid- and downstream sectors is the key to transforming Africa’s mineral wealth into long-term industrial independence and sustainable growth and prosperity across the continent.

Global competition

Africa is not the only region looking to gain dominance in the critical minerals space. Oxford Economics reports that there is heightened interest in collaboration in the African minerals space, particularly from the US and China. The report notes that as global economic powers compete for influence in the critical minerals and supply chain spaces, Africa will need to find balance between domestic beneficiation and remaining open to trade. 

China has long been invested in African resources projects, but this year it appears as though the US is looking to gain traction in this space. Oxford Economics notes that the US sent its largest delegation ever to Mining Indaba this year, including representatives from the US Trade and Development Agency, the US International Development Finance Corporation, the Department of Energy, The State Department Bureau of African Affairs Office of Economic and Regional Affairs, among others.

Oxford Economics explains that this evolving engagement of the US into Africa is part of US President Trump’s interest in securing critical minerals essential for AI, defense, and the energy transition. 

“Africa is thus becoming embedded in US industrial and national security strategy, rather than traditional development diplomacy,” says Oxford Economics.

At the centre of this drive for critical minerals security, is the US’ Project Vault, announced on 2 February 2026, which aims to build a strategic stockpile of critical minerals reserves. 

Oxford Economics notes that this explains the strong US presence at this year’s Indaba. “Yes, we think the growing trend of resource nationalism across the continent will likely lead African nations to seek to maximalise the economic benefits of any minerals-related deals, regardless of the partner nation.”

That value will come, in large part, by investing in mineral processing, refining, and manufacturing across the continent so that Africa can capture more value from its own resources.

Africa’s mineral wealth is no longer just about extraction — it’s about transformation. As global powers compete for access to critical minerals, the continent’s ability to build robust mid- and downstream industries will enable this transition for the continent to become a true value creator in the global economy. 

Balancing partnerships and local ownership

Mining.com.au caught up with Molebogeng Mazibuko, Associate Vice President and Mining Lead at Africa Finance Corporation following the Mining Indaba conference. Speaking on this theme, Mazibuko explains that “it’s a chicken and egg situation”.

“As much as we want to bring the value downstream, the products are generally not owned by Africans, so it is not up to us to necessarily determine whether we can manage the mid- or downstream onshore. This is determined by the buyer, who typically wants to dominate that downstream capacity on their own continent or in their own countries” Mazibuko says.

“China will invest in an upstream project, but they already have a line of sight of the value chain coming up to China. 

“It’s a great agenda, but until there can be local ownership, I’m not entirely sure if we can execute on that ambition.”

The challenge now lies in balancing foreign partnerships with domestic beneficiation, ensuring that Africa captures the full economic, social, and industrial benefits of its own resource endowments.

Globe Metals & Mining’s integrated approach

Globe Metals & Mining is positioning itself as a key player in Africa’s shift from raw material exporter to value creator through its vertically-integrated Kanyika Niobium Project in Malawi.

The fully permitted project is designed to produce high-purity niobium pentoxide and tantalum pentoxide powders, essential for aerospace, defense, clean energy technologies, and more. By focusing on refining and processing within Africa, Globe is aligning with the continent’s broader push to capture more value locally. 

The project has a JORC resource of 68.3 million tonnes, including a 22.8 million tonne high-grade core, a 23-year mine life, and strong project economics. 

Globe’s Kanyika project employs a conventional concentrator flowsheet, with the concentrate produced being further refined into niobium and tantalum oxides, suitable for advanced industrial applications. 

By embedding refining and processing into the Kanyika project, Globe is helping to ensure that Africa’s critical minerals contribute directly to local economies, job creation, and long-term value, while strengthening the continent’s role in global supply chains.