The Africa Finance Corporation (AFC) presented three strategic pillars for advancing Africa’s energy transition metals sector at the 2024 Critical Minerals Africa (CMA) summit. Franklin Edochie, AFC’s Senior Vice President of Natural Resources, Mining & Energy, highlighted financial partnerships as a key component for achieving timely and cost-effective project development during an interview with Energy Capital & Power at CMA 2024.
He stressed that accelerating Africa’s mineral development requires collaboration between African development finance institutions, commercial banks, and international partners.
“Although many mining projects meet financing criteria, they often struggle to secure funds, particularly in the junior miners’ space,” Edochie said, noting that large investors tend to prioritise bigger companies. Edochie also emphasised the importance of regional integration within Africa’s mineral value chain to boost value addition and local processing.
“To overcome Africa’s structural challenges and fluctuating commodity markets, projects must focus on adding value locally. Processing minerals within Africa ensures greater sustainability and more stable market access,” he explained.
He urged greater collaboration in mining technology research and development, pointing out that limited access to technology hinders value chain optimisation in Africa. Edochie reaffirmed AFC’s commitment to improving the viability and development of critical mineral projects across Africa through its project development initiatives.
