The graphite industry is currently experiencing a period of turmoil as China’s dominance of the global market is increasingly consolidated. The recent agreement between Australia’s Triton Minerals and China’s Shandong Yulong Gold for control of the Ancuabe graphite project in Mozambique is a prime example. This transaction underlines China’s efforts to strengthen its dominant position in this strategic sector.
Once completed, Shandong Yulong will hold a 70% interest in the Ancuabe project, while Triton will retain the remaining 30%. The acquisition will allow the Chinese company to produce approximately 70,000 tonnes of graphite concentrate per year over an estimated mine life of 27 years. Meanwhile, another Chinese company, DH Mining Development, is set to begin production at its Nipepe project, with a production capacity of 200,000 tonnes of graphite per year over 25 years.
China’s growing interest in African graphite comes at a time when its dominant position in the global market is being challenged, including by African countries themselves. According to Benchmark Mineral Intelligence, Mozambique, Tanzania and Madagascar are expected to account for nearly half of new graphite supply by 2025, despite having had a modest share of global production until recently.
This phenomenon highlights the rapid growth of African graphite production, which is increasingly attracting the attention of international players. In addition to China, other countries and companies appear to be waking up to the potential of these deposits and are looking to invest in this booming sector.
In a context of increased international competition for access to strategic resources, Africa is now positioning itself as a key piece of the global graphite puzzle. This evolving dynamic has attracted the interest and vigilance of industry observers, who are seeking to understand the implications of this reshuffling of the cards for the global economy and international relations.
In conclusion, the rise in African graphite production and the growing interest of international players, particularly Chinese, in these deposits underline the strategic importance of this resource for the future of global industry. The consolidation of Chinese domination in this market only reinforces the geopolitical stakes linked to the exploitation and marketing of this material, which is essential to many industrial sectors.