The global energy transition and the quest for critical minerals required to develop the new technologies and industries associated with this dynamic have contributed to Africa becoming one of the world's most coveted mining investment destinations.
China, the continent's largest foreign mine operator, and the US have been the most active in this regard, with their ongoing mining investment push supporting the development of concessions, railways, energy infrastructure, and other major projects.
Nevertheless, there are concerns that this ongoing mineral push will subject African countries to the superpower rivalry between Beijing and Washington, with the US highlighting that its increased engagement in Africa is motivated by its intention to reduce Beijing's continental mineral dominance. Against this backdrop, there are allegations, notably from Zambia, that the US has conditioned the signing of bilateral health partnership agreements on ensuring access to US critical minerals.
In parallel, despite being the continent's largest international mining investor, Chinese companies have been accused, including by labour unions and local media outlets, of poor worker treatment and importing Chinese labour for their projects. In this regard, African governments have increasingly sought to foster mineral partnerships with emerging countries and middle powers that have the financial and technical capacity to support equitable and less geopolitically exposed mining ventures.
Nascent investor appeal is embedded in their integrated approach, which entails supporting the broader development of the mining ecosystem.
While countries like Australia, Canada, and South Africa have an established continental mining footprint, Turkey is a nation that is increasingly becoming a partner of choice. In May alone, Turkey reportedly signed an MOU with Nigeria to support Africa's most populous country, which has historically been oil-dependent, in its effort to tap into its estimated USD 750 billion mineral potential and deepen its diversification drive.
The agreement follows broader sectoral reforms undertaken by Abuja since 2023 and complements a similar deal signed in 2021. In parallel, Turkey reportedly signed an agreement with Somalia to assist the Horn of Africa nation in developing its estimated 10,200 tonnes of uranium deposits alongside the country's gold, copper, lithium, rare earths, and other minerals. These agreements entail the provision of mining technology, undertaking geological mapping, and sectoral capacity building.
In parallel, Gulf states have invested an estimated USD 2.2 billion in African critical-minerals assets, making them the third-largest source of international funding, with Emirati firms the most active in the continental mining landscape. UAE-based Emiral Mining is undertaking iron ore and gold projects in Mauritania and Ghana, with fellow Emirati firm Alphamin Resources expressing interest in obtaining a 50% stake in Canada's Allied Gold to pursue operations in Ethiopia and Mali. In parallel, International Resources Holding (IRH) acquired a 51% stake in Zambia's Mopani Copper Mines for USD 1.1 billion in 2024.
In the same year, IRH signed a strategic agreement with the Public Investment Corporation to revitalise underperforming mines and modernise rail infrastructure, thus improving the clogged logistics network that has long crippled the industry's export potential. In parallel, the N69 Holding is collaborating with Congo Kipay Energy to build a 46 MW power plant in the DRC, providing electricity for mining and surrounding communities.
These endeavours highlight the integrated approach, which ensures foreign capital injection across the mining value chain, from mapping to the construction of complementary infrastructure that can support non-mining activity. This orientation will continue to make these countries appealing potential partners, as African governments increasingly seek to optimally benefit beyond extraction.
Will the ongoing Middle East conflict negatively impact continental mining investment?
Despite Turkey and the UAE's growing engagement in African mining, there are concerns that hostilities in the Middle East will prompt countries in the region to scale back investments to focus on pressing domestic issues. For example, Saudi Arabia's Manara Minerals, a firm backed by the Public Investment Fund, is pivoting away from global mining M&A deals toward joint ventures and offtake agreements with commodity traders amid Riyadh's new domestic focus. Nevertheless, for countries like Turkey, which registered USD 40 billion in bilateral trade with Africa in 2025, and the UAE, which emerged as Africa's largest international investor during the 2019 to 2024 timeframe, continental engagement remains central to their foreign policy and domestic objectives.
The UAE has stood out in this regard, with Emirati entities, African Rail Company, and Etihad Rail having separately been announced in April and June as partners for railway projects in South Africa and Central Africa (specifically Cameroon and Chad), with these investments set to support the respective mining ecosystems. Their involvement in these ventures was confirmed at the height of the hostilities, and supports UAE Foreign Trade Minister Thani bin Ahmed Al Zeyoudi's assertion that, despite the ongoing challenges, sustaining investments and economic cooperation with Africa remains a priority for Abu Dhabi.
Whether this commitment holds if the conflict drags on remains to be seen, but the increasingly diverse range of sectoral investors is beneficial for African countries, as it increases the prospect of securing fairer deals and ensuring greater African involvement across the mining value chain.
