Nigeria’s Growing Role in Global Lithium Supply Amid New Mining Policies
Nigeria is experiencing a surge in international interest in its lithium reserves, crucial for electric vehicles and green technologies. The government’s new mining policies require value addition before export, aiming to foster local industries. As Africa is projected to supply 20% of global lithium by 2030, Nigeria seeks to enhance its market participation, competing primarily with Zimbabwe, the continent’s current leader in lithium deposits.
International interest in Nigeria’s lithium reserves is growing, driven by the mineral’s high demand in electric vehicles and renewable energy technologies. The country’s new mining policy mandates value addition to raw mineral ores prior to export, reinforcing its commitment to developing local industries. Nigeria aims to enhance its share of the lithium market, competing with leading African producers like Zimbabwe, which presently holds the largest lithium deposits on the continent. By 2030, Africa is expected to supply 20% of global lithium demand, positioning Nigeria to play a significant role in this sector.
Segun Tomori, special assistant on media to the minister of solid minerals development, emphasized lithium’s global significance, noting its essential role in electric vehicle production and clean energy advancements. He remarked, “Lithium is a major dragnet; it is what attracts a lot of investors across the world.” Notably, amidst increasing interest, several lithium processing facilities are being established in Nigeria.
In a strategic partnership, Kaduna State has engaged China’s Ming Xin Mineral Separation Nig Ltd. to construct Nigeria’s first lithium-processing facility set to manufacture electric vehicle batteries. The Nigerian government previously declined a proposal from Tesla to buy raw lithium, adhering to its new mining policy promoting value addition. Ayodeji Adeyemi, the minister’s aide, explained, “Our new mining policy demands that you add some value to raw mineral ores, including lithium before you export to create jobs and build industries.”
Additionally, South African President Ramaphosa has expressed interest in collaboration with Nigeria for harnessing critical minerals, particularly lithium, to support the green energy transition. Nigeria recently inaugurated a lithium factory in 2024, bringing its total to two, with another under construction, firmly establishing the country as a key player in lithium processing and the clean energy sector.
Nigeria’s strategic focus on its lithium reserves amidst new mining policies is poised to enhance its role in the global energy transition. The government’s requirements for value addition prior to export aim to stimulate local industry and job creation. With international partnerships and increasing processing capabilities, Nigeria positions itself competitively in the race for lithium resources, crucial for future clean energy technologies.
Original Source: africa.businessinsider.com
