Sameera Casmod | sameerac@radioislam.co.za
7 April 2026 | 11:36 CAT
3-minute read

Surge in demand for African critical minerals: a curse in disguise?

A surge in demand for critical minerals from the African continent, which holds approximately 30% of the world’s mineral reserves, is being seen as both an opportunity for industrialisation and a new resource curse.

The demand for key minerals such as lithium, cobalt, copper, manganese, and platinum group metals (PGMs)—essential for the global shift to clean energy and technology—has revived debates on extraction, development, and governance in resource-rich low- and middle-income countries.

While various issues echo enduring concerns, shifting geopolitics and technological evolution prompt questions over whether to revisit long-standing approaches, such as structuralism and dependency, or create new blueprints to address emerging conditions.

Africa also holds over 125 billion barrels of proven crude oil reserves, representing roughly 7–12% of the global total. The majority of these reserves are concentrated in North Africa and Nigeria. Key holders include Libya (~48.4 billion barrels), Nigeria (~37 billion barrels), and Algeria, which together dominate the continent’s production. 

The continent is thus currently positioned to turn its oil reserves into a major economic game changer, but the transition from exporter to self-sufficient powerhouse hinges on overcoming a critical “refining gap.” 

While the current global oil crisis—marked by Brent crude surging past US$100 in early 2026—has strained many African budgets, it has also accelerated strategic shifts under the African Continental Free Trade Area (AfCFTA), Mbongeni Nhliziyo said on this week’s Africa Report on Radio Islam International.

Nhliziyo, a lecturer at Lupane State University and PhD candidate at the University of Fort Hare in SA, said that while there is a lack of sufficient discussion and concrete action, Africa’s oil reserves present an opportunity to become independent and boost its economy.

“What is needed currently is the leadership and the operationalisation of the African Continental Free Trade Area. These countries should not act individually but should act collectively. And we really need to see the role of African Union and even of the regional blocs,” Nhliziyo said.

The discussion shifted to the cost and advantages of the Africa Just Energy Transition (JET), which is a framework designed to shift the continent’s energy systems from carbon-intensive fossil fuels to cleaner, renewable sources while ensuring the process is socially and economically fair.

The “just” component specifically focuses on protecting workers in the fossil fuel sector (like coal miners), supporting vulnerable communities, and ensuring universal energy access to the 600 million Africans currently without it.

Dr Wayne Malinga, Policy and Research Manager at the Public Policy and Research Institute of Zimbabwe, joined the discussion and said focusing on cost implications is currently of the utmost importance.

“What is really critical are now the cost implications, because Africa is usually financed by external actors and international partners. Africa is also indebted to some of these institutions… [It is thus] critical to try and understand who, at the end of the day, pays and who benefits with regards to the just energy transitions,” Dr Malinga said.

Africa requires an estimated $277 billion to over $400 billion annually in climate finance between 2020 and 2030 to meet its Nationally Determined Contributions (NDCs) and climate goals, including the shift from fossil fuels to renewable energy.

While the just energy transition is necessary for emissions reduction and sustainability, it risks being unjust if Africa bears disproportionate costs or debt while benefits (especially economic and technological) flow mainly to external actors. True justice requires addressing the massive financing, technology, and sovereignty gaps so that Africa is not further burdened by the transition, Dr Malinga said.

Weighing in on the matter, Nhliziyo said the energy transition in Africa is better described as an “unjust transition” rather than a just one, particularly when it comes to the extraction of transition minerals such as lithium.

Building on earlier points about financing, he highlighted a critical policy gap across the continent: most African countries still rely on outdated colonial-era legislation to govern the mining and extraction of these strategic minerals. This lack of robust, modern policy frameworks makes the transition deeply problematic and unfair, especially for local communities living in mining areas who often bear the social and environmental costs.

He noted that South Africa is currently the only African country with a dedicated Just Transition Policy, while elsewhere the weak governance structures risk repeating historical exploitation patterns. In essence, without strong local policies, the shift to renewable energy through mineral extraction risks benefiting external actors while leaving African communities disadvantaged.

Listen to the Africa Report with Dr Wayne Malinga and Mbongeni Nhiliziyo on Sabaahul Muslim, presented by Moulana Sulaimaan Ravat.