Tanzania is emerging as a key player in the global lithium market, driven by government initiatives and private sector investments. The 2023 ban on raw lithium exports has spurred investments and projects. Strategic programs, including the Tanzania Critical and Strategic Mineral Strategy and partnerships with international coalitions, are bolstering investments. The African Mining Week will showcase potential investment opportunities in the sector.
Tanzania is enhancing its role in the global lithium market through government initiatives and active engagement from international enterprises in exploration and production. Following the introduction of a raw lithium export ban in 2023, investments have expanded significantly, as the nation aims to bolster downstream investments with numerous projects currently in progress.
The Tanzanian government has established strategic programs to attract investments in both the lithium and wider critical minerals sectors. The Tanzania Critical and Strategic Mineral Strategy, rolled out in late 2024, is currently in the stakeholder consultation phase and seeks to improve the management of essential resources like lithium by facilitating exploration, mining, and local processing while also strengthening supply chains.
In October 2024, the Geological Survey of Tanzania announced a 73 billion TZS initiative for a High-Resolution Airborne Geophysical Survey, aimed at comprehensively mapping mineral resources, including lithium. With under 20% of Tanzania’s land surveyed, the goal is to cover 50% by 2030, thus advancing exploration projects and attracting investments in the sector.
In September 2024, Tanzania formed a partnership with the Minerals Security Partnership, comprising 14 Western nations and the European Commission, designed to enhance access to financing, technical knowledge, and supply chain support for critical minerals like lithium and graphite. These initiatives are expected to boost investments across the lithium value chain significantly.
The private sector is increasingly contributing to Tanzania’s lithium growth, with several international companies engaging in exploration and production. In July 2024, AustChina confirmed high-grade lithium deposits at its Chenene Project, while in April 2024, Titanium Lithium identified lithium minerals at its Titan 1 and Titan 2 projects. Furthermore, CGrowth Capital discovered lithium deposits during a field mapping exercise in the Dodoma Region.
The upcoming African Mining Week will serve as a crucial networking event, linking Tanzanian lithium projects with potential investors. This event will highlight opportunities within the entire lithium value chain in Tanzania and across Africa, emphasizing collaboration and investment potential. African Mining Week will coincide with the African Energy Week: Invest in African Energies 2025 conference scheduled for October 1-3 in Cape Town.
In conclusion, Tanzania is making significant strides in the global lithium market through strategic government initiatives and increased private sector participation. The combination of a robust investment climate, comprehensive mapping programs, and international partnerships promises to foster a sustainable and competitive lithium industry. Upcoming events like African Mining Week further provide platforms for collaboration and investment opportunities, ensuring the growth of Tanzania’s lithium value chain.
Original Source: energycapitalpower.com
