Cape Town, South Africa, 9 February 2026 — Africa is home to mineral resources estimated at US$29.5 trillion, or approximately 20% of the world's mineral wealth, but is only capitalising on a fraction of the economic value inherent in this heritage, according to a new study published today by Africa Finance Corporation (AFC).
Of this total, US$8.6 trillion remains untapped, reflecting an underexplored continent where fragmented geological data, uneven coverage and limited transparency continue to increase perceived risk and deter investment. The report argues that improving the availability and quality of geological data is a necessary first step in reducing project risk and unlocking capital for exploration.
The study also highlights that the value of mining sites significantly underestimates Africa's true potential, as it does not take into account the much greater value created when minerals are processed into steel, aluminium, fertilisers, batteries and alloys. Measured at the point of industrial use, Africa's mineral wealth increases by an order of magnitude, revealing considerable latent value.
Launched at the Mining Indaba conference in Cape Town, the Compendium of African Strategic Minerals redefines the sector through the lens of African development, placing industrialisation, infrastructure and long-term regional demand at the heart of mining strategy.
"Today, AFC is proud to launch the African Strategic Minerals Compendium, an initiative aimed at redefining the sector from an African perspective and converting resources into pathways for our collective prosperity," said Samaila Zubairu, AFC Chief Executive Officer. "The Compendium maps out entire value chains and links reserves and production to processing capabilities, energy and transport infrastructure, and regional industrial corridors, thereby improving data transparency to reduce exploration risks, lower the cost of capital, and direct smarter investments towards mining and the infrastructure needed to enhance and integrate regional value chains."
Mining development rooted in African demand
The Compendium notes that mineral production, enabling infrastructure and demand are rarely localised or aligned on a large scale, and calls for stronger regional planning, anchored in the fundamentals of long-term African demand.
The steel value chain illustrates this disconnect. Africa has world-class resources in ferroalloys such as manganese, chromium and nickel, and iron ore supply is entering a new cycle of growth. Yet these supply chains remain commercially linked to Asian steel cycles rather than Africa's own development trajectory.
This exposure is costly in economic terms and is currently manifesting itself. The slowdown in Asian demand for steel, linked to the slowdown in the Chinese property market and the decline in construction activity, has had repercussions on African mining markets. In the Democratic Republic of Congo, production quotas have been imposed on cobalt in order to manage oversupply and falling prices. In South Africa, primary steel production capacity has been reduced due to weak domestic demand, high costs and fragmented purchasing. In Gabon, major manganese operations have periodically suspended production in response to declining demand for alloys from Asia.
These results come at a time when Africa continues to develop the transport networks, electrical systems, housing and industrial capacities that require these materials. The constraint is not a lack of demand, but a lack of anchoring for demand: the inability to align mineral production, processing capacities and infrastructure investments with Africa's long-term material needs.
Infrastructure connects minerals, processing and demand
The Compendium places infrastructure at the centre of mining strategy, not as a passive enabler, but as the system that connects raw materials, processing capacity and demand. The cost and reliability of electricity, transport connectivity and access to industrial land ultimately determine the viability of enrichment.
To this end, the report maps mineral deposits and production assets alongside railways, ports, power generation centres and transport networks to identify locations where regional value chains can realistically be developed. It advocates targeted interventions in shared rail corridors and cross-border electricity transmission, particularly in mineral-rich regions where coordinated infrastructure could enable economies of scale, reduce delivery costs and support regional industrial platforms.
Infrastructure is also essential to Africa's competitiveness in a world marked by green industrialisation. Clean energy, efficient logistics and integrated corridors such as Lobito can reduce carbon intensity and improve access to markets where low-carbon, traceable supply chains are increasingly in demand.
African minerals in a fragmenting global economy
The Compendium situates Africa's mining strategy within a rapidly changing geo-economic landscape shaped by trade tensions, export controls, industrial policy and efforts to reduce concentration risk. These changes reinforce the strategic importance of Africa's mineral resources, but only when the continent is able to offer reliable, high value-added alternatives.
Rather than positioning Africa as a marginal supplier of raw materials, the report advocates selective integration into strategically exposed segments of global supply chains, where diversification would significantly strengthen resilience, particularly for minerals whose processing markets are highly concentrated. These include manganese, rare earths, graphite, uranium and alloys essential for defence, aerospace and clean energy technologies.
It is encouraging to see that momentum is building:
- Angola is developing one of the world's largest and richest deposits of magnetic rare earth elements.
- Mozambique has become a key supplier of graphite and anode materials;
- Projects to produce battery-grade manganese sulphate are progressing in southern Africa; and
- Uranium production resumed in Namibia and Malawi in 2024–2025.
About the AFC
AFC was established in 2007 to serve as a catalyst for pragmatic investments in infrastructure and industry across Africa. AFC's approach combines specialised industrial expertise with a focus on financial and technical advisory, project structuring, project development and venture capital to meet Africa's infrastructure development needs and stimulate sustainable economic growth.
Eighteen years later, AFC has established itself as the partner of choice in Africa for investing in and providing essential, high-quality infrastructure that delivers essential services in key infrastructure sectors such as energy, natural resources, heavy industry, transport and telecommunications. AFC has 48 member countries and has invested over US$18.5 billion in 36 African countries since its inception.
Contact : Yewande Thorpe, Communications Africa Finance Corporation, Mobile : +234 1 279 9654, E mail : yewande.thorpe@africafc.org