Ghana is set to make history as the first African country to host a lithium refinery, a $500-million project that will boost the continent’s green economy. The refinery, which will be located in Takoradi in the Western Region, is expected to be completed and operational by 2026.
The project is a joint venture between CAA Mining Ltd, a UK-based company, Livista Energy, a Luxembourg-based company, and its Ghanaian subsidiary, Livista Ghana Ltd. The consortium plans to source lithium from Ghana and other African countries, such as DR Congo, Sierra Leone, Zimbabwe, Mali, Namibia and South Africa.
Lithium is a key component of batteries for electric vehicles, laptops, smartphones and other devices. It is also used in renewable energy systems, such as solar panels and wind turbines. The global demand for lithium is projected to increase by more than four times by 2030, according to the International Energy Agency.
Ghana’s decision to host a lithium refinery is in line with its Green Minerals Policy, which was approved by the government recently. The policy aims to promote the sustainable development of the country’s mineral resources, especially those that can contribute to the transition to a low-carbon economy. The policy also mandates that value must be added to lithium in the country rather than exporting it in its raw form.
The CEO of CAA Mining Limited, Douglas D. Chikohora, told the Daily Graphic that the refinery would create many jobs and opportunities for Ghana and the region. He said the refinery would be the third of its kind in the world and the first in Africa, making Ghana a hub for lithium processing and innovation.
He added that the refinery would also attract other industries, such as battery manufacturers and vehicle assembly plants, to the country. He said the consortium was committed to investing in the lithium value chain, as well as supporting the host communities through social responsibility programmes.
However, the start of work on the refinery depends on the issuance of a prospecting licence to Lithium Resources Ghana Ltd (LRGL), another joint venture of CAA Mining Ltd and a local entity, Empire Rare Earth and Metal Group Limited. LRGL has invested $2 million into exploration for lithium on a 646-square kilometre concession on the lithium corridor along Awutu-Bereku and Mankessim in the Central Region. It has also pledged to roll out a $10 million lithium drilling programme before the end of the year, subject to the approval of the Minerals Commission.
Mr Chikohora said the consortium was in discussions with the Mining Income Investment Fund (MIIF) to be part of the investment in the lithium value chain as a shareholder, to deepen the local content requirement. He also said the consortium had signed a market development agreement with MIIF, so they were aware of their activities.
He expressed optimism that the refinery project would be a success and a milestone for Ghana and Africa. He said the consortium was ready to work with the government and the stakeholders to ensure the safety and benefits of the project.
Source: Graphic Online
