Tanzania is advancing in the global lithium market through government initiatives and private investments. The 2023 export ban on raw lithium has prompted increased investments in downstream activities. Key programs are underway to optimize resource management and attract additional investment to the sector, including collaborations with international partners and the upcoming African Mining Week event.
Tanzania is enhancing its position in the global lithium market with a blend of government strategies and engagement from international mining corporations. Following a 2023 export ban on raw lithium, the country has seen a notable increase in investments aimed at promoting downstream activities. Numerous projects are underway, reflecting a robust growth trajectory in the lithium sector.
To bolster investment in the lithium and critical minerals sector, the Tanzanian government launched various strategic initiatives. The “Tanzania Critical and Strategic Mineral Strategy,” introduced in late 2024, is currently undergoing stakeholder consultations. This strategy aims to optimize resource management by improving exploration, mining processes, local resource enhancement, and supply chain efficiency.
In October 2024, the Geological Survey of Tanzania announced a 73 billion TZS High-Resolution Airborne Geophysical Survey, intending to comprehensively map the nation’s mineral resources, including lithium. With less than 20% of Tanzania surveyed thus far, the initiative strives to cover 50% by 2030, thereby attracting investments and facilitating exploration projects.
Moreover, in September 2024, Tanzania collaborated with the Minerals Security Partnership, a coalition comprising 14 Western nations and the European Commission. This partnership aims to improve financing access, share technical expertise, and enhance supply chains in critical minerals such as lithium and graphite, thereby further fostering investment in the lithium value chain.
Private sector involvement is also on the rise, as multiple international mining entities invest in Tanzanian lithium exploration and production. For instance, in July 2024, the Australian company AustChina completed exploration at its Chenene Project, confirming high-grade lithium deposits. Additionally, Dubai’s Titanium Lithium identified lithium-bearing minerals in its Titan projects, while U.S.-based CGrowth Capital discovered deposits during mapping exercises in Dodoma.
The forthcoming African Mining Week will serve as a platform to connect Tanzanian lithium projects with potential investment partners, emphasizing investment opportunities across Tanzania and the broader African continent. This event will take place alongside the “African Energy Week: Invest in African Energies 2025” conference from October 1-3 in Cape Town, allowing sponsors, exhibitors, and delegates to engage and discover prospects.
In summary, Tanzania is poised for growth in the global lithium market due to strategic government initiatives and active private sector engagement. The introduction of various programs, including the Tanzania Critical and Strategic Mineral Strategy, aims to attract investments and enhance local resource management. The collaboration with international partners further strengthens supply chains, ensuring a conducive environment for the burgeoning lithium industry.
Original Source: energycapitalpower.com
