Charging Ahead: Ghana to Spark a Revolution with Sub-Saharan Africa’s Pioneering Lithium Battery Factory

Ghana‘s Minerals Income Investment Fund (MIIF) wants to invest $2 million in Castle Minerals, owner of the country’s largest graphite project. According to a press release dated Tuesday, November 5, 2024, the funding would make MIIF Castle’s largest shareholder and is part of Accra’s strategy to produce electric batteries locally.

The money will mainly be used to continue the development of Kambale up to the pre-feasibility study stage. The project hosts 1.9 million tonnes of graphite, according to an estimate published in October 2023. The terms of the memorandum of understanding with Castle provide that the MIIF (Mineral Income Investment Fund) will have the preferential right to purchase up to a maximum of 50 % of graphite production.

Although the government already has an agreement with Atlantic Lithium for a possible project for a processing plant for lithium concentration soon to be produced in the first coal mine in the country, this new development reflects the authorities’ desire to make Ghana is a producer of electric batteries. In fact, graphite and lithium are used to produce these batteries.

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« This investment is part of the Ghanaian government’s policy on strategic minerals and its desire to establish the first lithium-ion battery manufacturing plant in the sub-Saharan region », emphasized Edward Nana You Correct, PDG of the MIIF.

Remember that Ghana is not the only country in Africa working to produce electric batteries. Zambia and the DRC have a joint project for an electric battery factory, while Zimbabwe, Africa’s main lithium producer, is encouraging companies present in the country to convert lithium to directly supply the electric battery industry.

Source: EcoFin Agency