Rare earths, a group of 17 chemical elements, have become essential strategic metals in the modern world. Used in a multitude of applications ranging from advanced technologies to renewable energies, these elements are at the heart of economic and environmental issues in Africa and the rest of the world.

What are rare earths?

Rare earths include 15 elements in the lanthanide series, as well as scandium and yttrium. Although called rare, these elements are not necessarily rare in the Earth’s crust, but their extraction and purification are complex and expensive. Rare earths are crucial to the manufacturing of many technological products, including:

• Permanent magnets: Used in electric motors, wind turbines, and hard drives.
• Catalysts: Essential in refining oil and producing cleaner vehicles.
• Displays and electronic devices: Used in smartphones, televisions, and computers.

The growing importance of rare earths

Burgeoning market

The rare earth market is booming. According to a report by Grand View Research, the global rare earth market is expected to reach 20.44 billion USD by 2027, growing at a compound annual growth rate (CAGR) of 9.0% between 2020 and 2027. This growth is fueled by increasing demand in sectors such as electronics, automotive, and renewable energy.

Energy transition

Rare earths play a key role in the global energy transition. Neodymium-iron-boron magnets, which contain rare earths, are essential for wind turbines and electric vehicles. According to the International Energy Agency (IEA), demand for rare earths for renewable energy technologies could increase by 70% by 2040. This underscores the importance of these metals in combating climate change.

Rare Earth Challenges

Concentration of Production

Rare earth production is highly concentrated. In 2022, China produced about 60% of the world’s rare earths, followed by the United States (15%) and Australia (10%). Countries dependent on rare earth imports may find themselves vulnerable to supply disruptions. For example, in 2010, China restricted rare earth exports to Japan due to a territorial dispute, leading to a supply crisis.

Diversification Strategies

Faced with this dependency, many countries are seeking to diversify their sources of supply. The United States, for example, has launched initiatives to boost its rare earth production, including through mining projects in California and Texas. In 2023, the US government invested 30 million USD in research and development projects to reduce reliance on rare earth imports.

Challenges of rare earth mining

Environmental impact

Rare earth mining poses major environmental challenges. The extraction and purification processes generate toxic waste and can lead to soil and water pollution. It is therefore crucial to develop more sustainable extraction methods.

Production costs

The costs of extracting rare earths vary considerably depending on the methods used. Extraction through open-pit mining is generally less expensive, but it has a greater environmental impact. In contrast, more sustainable extraction methods, such as recycling rare earths from used electronics, are still in development and can be costly to implement.

Rare Earths in Africa: Current Projects and Outlook

• New Projects: Eight new mines are expected to come online in Tanzania, Angola, Malawi, Uganda, and South Africa. These projects include the Ngualla project in Tanzania, capable of producing 16,200 tonnes of concentrate per year, and the Makuutu mine in Uganda, which contains 126,000 tonnes of rare earth oxides.
• Production Forecast: According to Benchmark Mineral Intelligence, Africa is expected to contribute 9% of global rare earth supply by 2029.
• Investments: Significant investments are underway, such as the 176 million USD loan for the Ngualla project.

Recycling and the circular economy

Recycling rare earths is a promising solution to reduce reliance on mining. According to a study by the Fraunhofer Institute, recycling rare earths from electronic waste could supply up to 30% of global demand by 2030. This would not only reduce environmental impact, but also lower supply costs.

International collaboration

International cooperation will be essential to address rare earth challenges. Initiatives such as the Rare Earth Partnership, which brings together producing and consuming countries, could facilitate the sharing of best practices and technologies. It could also help establish environmental standards for rare earth mining and processing.

Major African Countries Active in Rare Earth Mining

Major African countries involved in rare earth mining or exploration include:

• Burundi: Currently, Burundi is the only African country with active rare earth production, thanks to the Gakara mine operated by Rainbow Rare Earth (RRE).
• Tanzania: The Ngualla project is under development and could become a major supplier of rare earths.
• South Africa: Mines such as Steenkampskraal and other projects are in the development phase to begin commercial production.
• Malawi: The Songwe Hill project and Kangankunde are potential exploration and development sites for rare earth mining.
• Madagascar: Exploration projects are underway, including the Ampasindava mine.
• Namibia: The Lofdal Heavy Rare Earths project is under development with Japanese support.
• Uganda: The Makuutu project is another promising site for rare earth mining.
• Angola: The Longonjo project is under development.
• Mozambique: The Xiluvo REE project is another exploration site.

These countries are at the center of a competition for access to rare earth resources, involving international players such as China, Australia, and Japan.