Absa Group has emphasized Mozambique’s strategic role in the continent’s energy future, underscoring the importance of its graphite reserves for the global shift toward renewable energy sources.
Shirley Webber, Executive Head of Resources and Energy at Absa CIB and member of the B20 “Energy Mix and Just Transition” task force, explained that critical minerals such as graphite, copper, lithium, nickel, and cobalt are indispensable for the production of clean technologies. In Mozambique’s case, graphite is considered essential for manufacturing electric vehicle batteries and energy storage systems.
According to Webber, “Sub-Saharan Africa holds about 30% of the world’s known reserves of critical minerals,” placing the continent in a privileged position to benefit from the global energy transition, provided it invests in beneficiation rather than relying solely on raw material exports.
The report notes that while Africa is the world’s third-largest copper-producing region, it still depends on raw exports due to a lack of smelting and refining infrastructure.
In Mozambique’s case, developing local graphite processing industries could significantly increase added value for the national economy, create jobs, reduce external dependencies, and strengthen regional energy security. Webber further stressed that the continent must focus on regional value chains, avoiding isolated approaches by individual countries. “Cooperation among African states is essential to develop sustainable industrial infrastructure and ensure competitiveness in the international market,” she said.
Beyond economic benefits and job creation, processing critical minerals within Africa would also help reduce carbon emissions by avoiding the need to transport raw materials to distant refineries.
Absa Group believes that Mozambique, thanks to its graphite, could play a central role in this process if it aligns national policies with a regional strategy for leveraging strategic mineral resources.
Source: Engineering News
