Why we are a great investment opportunity
Building Africa’s first sustainable battery metals producer
The clean energy transition will require significant quantities of critical minerals from Africa, given the ongoing geopolitical shifts that have recently realigned Africa as a critical strategic source for raw materials in supply chains.
Aligning with Africa’s vision of achieving minerals-based industrialisation, critical mineral demand creates an opportunity for value addition and establishment of robust regional supply chains that are integral to the global economy.
Green Africa Minerals bridges a crucial gap by driving African-led investments in the battery minerals value chain by harnessing the continent’s abundant mineral wealth to generate domestic value in Africa. In this way, GAM will create prosperity for investors, miners, industries, communities, and other stakeholders.
Strategically Advancing Green Africa Minerals Projects
- A privately-owned startup company actively searching for financial support to facilitate resource development
- The company is under-valued considering the asset quality and development metrics
Potential for the High Grade Graphite deposit in Tanzania
- Grab samples from the project site have returned significant average grades of 10.4% ( 8.5-12.4%) TGC
- Other projects in Africa (e.g. Lindi in Tanzania and Balama in Madagascar) have similar grades
- The Morogoro Project has the potential to host a multimillion-tonnage graphite project
Great market opportunity
- Rapid transition to clean energy has resulted in critical mineral demand outstripping supply
- Graphite is forecast to dominate battery mineral demand to 2050
- Graphite demand is expected to increase by 500% between 2018 and 2050*
- Graphite has been identified as a critical mineral in the developed markets
- Graphite is the only mineral suitable for the anode component in lithium-ion batteries
- Graphite requires the largest production increase of any battery mineral
- By 2035, graphite could hit 8x more than global output in 2022
- Africa expected to overtake China as global graphite supply leader
- Africa is on course to achieving 26% of global graphite supply of which Tanzania currently manages 56%
- GAM is considering a vertically integrated strategy and will review downstream opportunities where most value can be added. This can potentially add value for the continent significantly beyond the export only of raw or partially refined materials
Why Critical Minerals? Why Africa?
Battery metals are considered Critical minerals because they are key to the renewable energy transition. Vehicle electrification and the production and distribution of renewable energy is not possible without a large increase in the supply of these metals. Without much more Lithium, Graphite, Cobalt, Copper, Nickel, Manganese, Zinc and Lead we cannot build the infrastructure required to decarbonise and ensure that our planet remains habitable.
Supply of these metals must increase threefold by 2035 to meet increasing demand brought by the needs of the energy transition. The need to increase and ensure the supply of these minerals has been recognised by governments globally, often taking a protectionist stance. Beijing has banned the export of graphite and introduced strict export restrictions on all rare earth metals. Washington is pumping money into the sector through green technology subsidies and Brussels passed the Critical Raw Materials Act. The Critical Raw Minerals Act sets benchmarks to increase domestic capacity for the extraction, processing, and recycling of key minerals, setting aspirational targets for each. However, it does place an emphasis on creating strategic partnerships to secure supply of these critical resources. And Chinese firms are also mobilising to secure partnerships for the supply of these minerals in Latin America and Africa.
The importance of critical battery minerals is thus globally acknowledged. However, in global efforts to increase supply to meet ever increasing demand, we see a far too familiar pattern emerging. Wealthy developed nations seek to extract these minerals, using the associated hard labour, from Africa, with little economic benefit for the continent, and likely more environmental devastation. This in an important moment for the continent, to learn from the lessons of our past and ensure that Africans benefit from the extraction of African resources. Local beneficiation and value retention are key to ensuring that the mining and processing of these green metals is sustainable for the communities affected by the extraction of these minerals, and not just for customer countries.
The clean energy transition demands huge volumes of critical minerals from Africa in the current context of geopolitical shifts and post-COVID fragmentation in global supply chains. These global shifts and re-alignment have positioned Africa as the preferred strategic source of raw materials supply chains central to the global economy.
This development coincides with Africa’s own vision of achieving a minerals-based industrialisation through value addition and establishing robust regional supply chains central to the global economy.
Africa has the potential and the capacity to mine and beneficiate these minerals. With the youngest population globally, 30% of all critical minerals, a large available labour force and market friendly governments, Africa is fertile ground for the development of a thriving green metals and green technology industry.
GAM is one of the best-placed businesses for driving the development of mining operations and plants to achieve the extract and refining of critical minerals on the continent, and the establishment of downstream value-adding manufacturing plants. At the same time, resource rich nations in Africa are calling for a just transition to a lower carbon continent and world. In the short term, GAM seeks to develop a portfolio of assets including graphite, copper, nickel, lithium, graphite and cobalt. In the medium to long term, GAM will enter into strategic partnerships with automakers, developmental finance institutions and specialist companies with expertise in developing battery technology to build an integrated company.
That said, in the absence of coordinated efforts between policy makers, investors, miners and buyers, a lack of critical minerals will disrupt the energy transition. GAM has a central part to play in facilitating the transition and overcoming the obstacles to it. And in doing so, we aim to create more value domestically in Africa by turning its vast mineral wealth into widespread prosperity for investors, miners, communities, and various other stakeholders.
GAM’s upstream progress update
GAM is raising $3 million for phase 1 of its exploration in exchange for x% equity
The capital raised will be invested in sampling, mapping, drilling and testworks.
| Item description | Amount (US$’000) |
| Business Development | 155 |
| Replicate Sampling (Graphite) | 10 |
| Mapping & Drilling (Graphite) | 2,500 |
| Mineralogy and Metallurgical Testwork (Graphite) | 250 |
| Resource Estimation | 85 |
| Total | 3,000 |
Experienced Management Team
- Experienced Board and Executives, with individual experience in the mining industry extending up to 50 years.
- In-country team of geologists and other Global specialists already advancing GAM’s Morogoro Graphite project.
Sources: *World Bank
