UAE Investments Catalyze Growth in African Mining Sector

The United Arab Emirates (UAE) is heavily investing in the African mining sector, with notable investments from Ambrosia, AD Ports, and others. Ambrosia’s acquisition in Mali and Ethiopia aims to significantly boost gold production, while AD Ports enhances logistics at Luanda Port. Additional efforts by International Holding Company and Emiral Mining contribute to production increases and project advancements. Opportunities for further investment and partnerships are set to unfold during African Mining Week 2025.

The United Arab Emirates (UAE) is significantly investing in the African mining sector, enhancing growth through various initiatives.

In February 2025, Ambrosia Investment Holding acquired a 50% stake in Canadian Allied Gold’s mining projects in Ethiopia and Mali. This arrangement includes a $375 million capital infusion aimed at elevating gold production by 290,000 ounces annually in Ethiopia and 400,000 ounces in Mali by 2028. Additionally, solar photovoltaic systems will be installed at the Sadiola mine in Mali by July 2026 to ensure energy security.

AD Ports Group initiated operations at Luanda Port in January 2025, entering with a $250 million investment. This port handles 76% of Angola’s cargo, acting as a critical trade conduit, particularly for Zambia and the Democratic Republic of Congo. Plans exist to increase investments to $380 million to accommodate anticipated container volume increases of 3.3% annually.

International Holding Company has enhanced production at Zambia’s Mopani Mine, raising ore production from 2.2 million tons to 2.8 million tons with a $1.1 billion investment from March 2024. Copper grade improvements have also been noted, alongside a rise in employment.

Emiral Mining is prioritizing its iron ore project in Mauritania, with a pre-feasibility study expected by Q1 2025, following a $40 million exploration investment since February 2020. Simultaneously, the company is strengthening its position in Ghana’s gold sector through a major stake in Asante Gold Corporation, which is focusing on a $522 million expansion program for key mines.

UAE entities are actively seeking investments in African markets. Recent developments include an agreement between International Resources Holding and South Africa’s Public Investment Corporation for investments in mining and logistics. Furthermore, DP World revealed a $3 billion, five-year investment plan to improve Africa’s logistics infrastructure, while the UAE Ministry of Investment and ADQ are working to enhance the Kenyan mining sector.

The upcoming African Mining Week from October 1-3 in Cape Town serves as a pivotal opportunity for UAE and African stakeholders to fortify collaboration. This premier mining event aims to bolster industry cooperation, with the theme of “From Extraction to Beneficiation: Unlocking Africa’s Mineral Wealth.” The event coincides with the African Energy Week, promoting discussions on diverse mining opportunities across the continent.

The UAE’s investments in African mining not only propel production and logistical improvements but also enhance energy security and job creation across the continent. These strategic initiatives illustrate a commitment to fostering mutually beneficial partnerships, ultimately positioning Africa as a key player in the global mineral market. Upcoming events like African Mining Week are essential for strengthening these relationships.

Original Source: www.zawya.com