A Defining Moment for African Mining: Key Takeaways from Mining Series 2025

For too long, Africa has been the backbone of global supply chains, exporting vast quantities of raw minerals while importing back refined products at a premium.

But if one thing was emphasised at Invest Africa’s 12th Annual Mining Series alongside Mining Indaba 2025, it is that this model is no longer sustainable. The message from ministers, investors, and industry leaders alike? Africa must move beyond extraction and start creating wealth from its own resources.

From shifting investment patterns to geopolitical tensions and the digital transformation of mining, here are five key takeaways from Mining Series 2025.

1.      The Era of Raw Material Exports is Nearing its End

For decades, Africa has been locked in a low-value position in global supply chains—exporting minerals like lithium, copper, and cobalt while missing out on the lucrative refining and manufacturing industries. Currently, the continent retains just 4–20% of the final value of its mineral exports, with China and Europe capturing the lion’s share through processing and product manufacturing.

But things are changing. For example, Namibia and Zimbabwe have banned raw lithium exports, forcing investors to set up local processing facilities. South Africa is launching a new digital mining cadastre system to fast-track investment in value-added projects. Meanwhile, Zambia and the DRC are pushing for regional battery supply chains under the African Continental Free Trade Area.

The challenge, however, is that beneficiation is only viable if key enablers—affordable energy, stable regulations, and investor incentives—are in place.

2.      Investor Sentiment in African Mining: Cautious Optimism Amid Uncertainty

Africa’s mining sector remains a key driver of economic growth—South Africa’s alone contributes 6% of GDP and 45% of export revenue—but investors are taking a cautious, selective approach.

At Mining Series 2025, speakers made it clear that traditional bank lending for mining projects is slowing, with new financing models taking hold. Private equity, royalty agreements, and prepaid offtake deals, for instance, are replacing traditional debt financing, as investors look for greater security. ESG performance is of course now a prerequisite for securing capital—meaning mining companies must prove their commitment to sustainability if they want funding.

Regulators are also adapting. South Africa’s upcoming e-cadastre system should cut red tape in mining permits, while new contracts increasingly require community investment, ESG compliance, and in-country processing. The message was clear: the most attractive investment destinations will be those that balance investor incentives with local benefit.

3.      Africa is at the Centre of the Critical Minerals Race

With demand for lithium, cobalt, rare earths, and nickel surging due to the clean energy transition, geopolitical rivalries between the US, China, the EU, and more are affecting Africa’s mining landscape.

The U.S. is ramping up engagement, exploring mineral-for-security pacts, such as a proposed agreement with the DRC that would grant American firms exclusive access to cobalt and lithium in exchange for security support. Washington and Brussels are also financing infrastructure projects like the Lobito Corridor railway to counterbalance China’s influence. China of course remains a dominant player, but the tone also appears to be changing, with countries like Zambia and the DRC are reviewing Chinese contracts to ensure fairer terms.

Meanwhile, Africa is considering collective strategies, such as a “lithium alliance” akin to OPEC, to exert greater control over pricing and supply chains.

4.      The Mining Industry is on the Brink of a Digital Transformation

The theme for the main Indaba was of course “Future-Proofing African Mining, Today” this year, and speakers at our Mining Series underscored that the mining industry is on the brink of a technological revolution. From autonomous haul trucks to AI-driven exploration, African mining is starting to embrace innovation more and more—albeit at a slower pace than global peers. The key driver? A fusion of efficiency gains and ESG compliance, as companies seek to boost productivity while meeting environmental and social obligations.

ESG-focused tech was another major theme, with blockchain solutions for mineral traceability improving supply chain transparency, and AI-driven water management helping miners curb environmental impact. Renewable energy integration, such as microgrids and solar-powered mines, is also gathering pace.

Of course, challenges still remain. Skills shortages could hamper tech adoption, and outdated regulations need reform to support the incorporation of technology into mining operations. Still, the takeaway is clear: mining firms that invest in technology now will secure cost savings, stronger ESG credentials, and a competitive edge in an increasingly sustainability-driven market. African governments, meanwhile, must facilitate this shift with policy incentives and workforce development.

5.      Infrastructure is Africa’s Greatest Bottleneck—and Opportunity

Despite its resource wealth, Mining Series 2025 reinforced the hard truth that Africa’s mining potential will remain underutilised without major infrastructure improvements. Poor transport links, unreliable power supply, and outdated regulatory systems are stifling growth and deterring investment. Rail and port constraints, particularly in South Africa, have caused billions in lost revenue, while power shortages threaten plans for local mineral processing.

Encouragingly, new projects are emerging. The Lobito Corridor, linking Zambia and the DRC to Angola’s coast, promises faster mineral exports, while countries like Nigeria and Angola are upgrading rail networks. South Africa is also allowing private investment in rail and ports to ease Transnet’s inefficiencies. On the energy side, speakers highlighted that miners are shifting to renewables to secure reliable power while cutting costs.

For investors, the lesson is clear: projects in infrastructure-ready jurisdictions will progress faster, cheaper, and with fewer risks. Governments must prioritise infrastructure funding, attract private co-investment, and adopt regional strategies to ensure Africa’s mining future is not constrained by logistics and energy gaps.