China’s dominance in the rare earth market has raised concerns in the West, prompting a search for alternative suppliers. Recent forecasts by Benchmark Mineral Intelligence suggest that Africa could become a significant alternative in the coming years. Currently a minor player in the rare earth market, Africa is projected to provide 9% of the world’s supply by 2029. According to these forecasts, eight new mines may be developed in Tanzania, Angola, Malawi, and South Africa.
Burundi’s Gakara mine, operated by Rainbow Rare Earths, became the first African rare earth project in 2017. However, operations at Gakara have been suspended since 2021. Rainbow Rare Earths is in discussions with the government to restart the mine and is also developing a new project in South Africa, Phalaborwa, set to launch in 2026. While Gakara remains Africa’s only active rare earth mine, several new projects are under development across the continent.
In Malawi, the Australian firm Lindian plans to start production at Kangankunde in 2025. In Uganda, Ionic Rare Earths expects its Makuutu mine to begin production in 2026. Makuutu is estimated to host 126,000 tons of neodymium and praseodymium. In Tanzania, Peak Rare Earths is making progress on its Ngualla project, which is expected to produce 16,200 tons of concentrate annually over a 24-year lifespan.
Angola’s Longonjo mine, operated by Pensana, had its output forecasts updated in October 2023. The project is expected to deliver 38,000 tons per year of mixed rare earth sulfate. Additionally, Ecofin Pro has announced upcoming projects in Mozambique and Namibia, specifically the Monte Muambe and Lofdal projects.
Rare earths encompass 17 metals that are in high demand in industries such as automotive, defence, wind energy, and electronics. China currently dominates the global market, supplying over 70% of the world’s rare earths, a position that has raised concerns among Western nations.
As the West seeks alternatives to China’s dominance in the rare earth market, Africa’s emerging potential as a supplier could reshape the global landscape.
Pensana plc (LON:PRE) explores and mines neodymium, praseodymium, and rare earth minerals. The Company’s flagship assets are the Saltend rare earth refinery project in the United Kingdom and Longonjo neodymium and praseodymium (NdPr) Project in Angola.
