The plant will produce lithium carbonate, rare earth oxides, and other critical mineral products.
American Resources and its holding ReElement Technologies have partnered with South African-based Novare Holdings to establish Africa’s first integrated critical mineral refining facility with a $100 million investment. As the first of its kind, the facility and possible future additions will enhance Africa’s role in the global supply chain by producing high-purity lithium carbonate, rare earth oxides, and other critical minerals locally instead of exporting raw materials abroad.
Ben Kincaid, CEO of ReElement Technologies Africa, stated, “This partnership brings innovative refining technology to Africa, enabling nations to maximize the value of their resources.” Ola Leepile, CEO of Novare Group, added, “This aligns with our mission to drive local value addition and industrial development.”
ReElement will provide its advanced refining technology, while Novare will invest capital and manage operations. Development of the project is set to begin in late 2025. ReElement made headlines last October, highlighting that its plant in Indiana is the first in the world to produce both lithium and rare earth in the same facility.
Local Value Creation Instead of Exporting Raw Materials
The initiative highlights the growing commitment among mineral-producing regions to enhance local value creation and economic benefits. Last week, for example, India’s Prime Minister Narendra Modi called it “unacceptable” for the country’s emerging economy to export raw materials only to import later finished products made from them. Namibia and Indonesia, two major raw material producers, have already implemented export bans on raw materials in the past to encourage a ramp of domestic refining capacities.
The first solely lithium-focused refinery is meanwhile set to be finished in Ghana in 2026. A joint venture between CAA Mining Ltd, a UK-based company, Livista Energy, a Luxembourg-based company, and its Ghanaian subsidiary, Livista Ghana Ltd., was announced in 2023.
Photo: iStock/inkoly
