News

Download logo

Global demand for rare earths is set to triple by 2035, reaching 150,000 tons from 91,000 tons in 2024. As producers and consumers seek new sources of supply to meet this surge, Africa is increasingly coming into focus. Projected to account for 9% of global output by 2029, the continent is accelerating exploration and drilling activity as governments and developers move to translate geological potential into commercial production. While large-scale output remains underdeveloped, Africa's high-grade deposits, improving project economics and faster development timelines are positioning it as a strategic supplier of critical minerals to global markets.

Expanding Africa's Exploration Portfolio

As the adoption of electric vehicles, renewable energy systems and advanced manufacturing accelerates global demand for rare earths, African countries are scaling up exploration efforts to delineate resources, support job creation and attract international mining investment.

London-listed Pensana commenced preparations for a 7,000-meter infill drilling program at Longonjo Mine in Angola - the country's first rare earth project. The program is designed to support an early 2027 mining and stockpiling schedule, with initial production of 20,000 tons per annum (tpa) and options to increase output to 40,000 tpa in a second phase. At full scale, the Longonjo project is projected to supply approximately 5% of the world's magnetic rare earths, positioning Angola as a key supplier on the global market.

Meanwhile, in Botswana, Canada's Tsodilo Resources is planning a 15,000-meter drilling campaign in 2026 at the Gcwihaba project for resource definition, while Kavango Resources intends to conduct additional drilling at its Ditau project as it seeks partners for expansion. In South Africa, Rainbow Rare Earths is advancing drilling at its Phalaborwa project, targeting completion of a feasibility study by the end of 2026. Namibia's ReExploration continues exploration activities at its Eureka and Lofdal projects, following several private placements raised in 2025. Meanwhile, in Mozambique's Tete province, Altona Rare Earths is drilling at the Monte Muambe high-grade gallium project, which has already defined a maiden mineral resource estimate of 13.6 million tons at 2.42% total rare earth oxides.

Rising Demand Bolsters Foreign Spending 

While the majority of Africa's rare earth production assets remain in construction or pre-production phases, global investor appetite for the continent's resource potential continues to strengthen, with several projects securing financing to accelerate deployment.

In October 2025, South Africa's Steenkampskraal Monazite Mine secured its first tranche of funding from the Industrial Development Corporation, supporting the development of the project's metallurgical phase and underpinning its production expansion plans. Hosting one of the world's highest-grade rare earth deposits, with an average grade of 14.5% total rare earth oxides, the project reinforces South Africa's emerging role in the global rare earth supply chain.

Momentum is also building in Malawi, where the Songwe Hill rare earth project secured $4.6 million in financing from the U.S. International Development Finance Corporation in September 2025 to advance front-end engineering and design studies. As Africa is forecast to attract up to $50 billion in investment for critical minerals development between 2024 and 2040, rare earth projects are increasingly central to converting rising investor interest into tangible capital flows and near-term production capacity.

Stepping into this picture, the upcoming African Mining Week (AMW) – scheduled for October 14-16, 2026 in Cape Town - will spotlight key project milestones and emerging investment opportunities across the continent's rare earth sector. The event will feature high-level panel discussions, exhibitions and exclusive networking sessions, bringing together global investors with African projects, regulators and stakeholders from across the rare earths value chain.

AMW serves as a premier platform for exploring the full spectrum of mining opportunities across Africa. The event is held alongside the African Energy Week: Invest in African Energies 2026 conference from October 12-16 in Cape Town. Sponsors, exhibitors and delegates can learn more by contacting sales@energycapitalpower.com.

Distributed by APO Group on behalf of Energy Capital & Power.