Namibia is gradually establishing itself as one of Africa’s new hubs for so-called “critical” minerals, essential for the global energy transition. By focusing on diversifying its mining sector, the country aims to move beyond the uranium-diamond duo and capture more value in the industrial chains of copper, lithium, manganese, and rare earth elements.

A Strategic Subsoil for the Energy Transition

The international context is working in Namibia’s favor: global demand is exploding for the minerals needed for batteries, electric vehicles, renewable energies, and electrical grids. Lithium, copper, graphite, manganese, and rare earth elements are at the heart of this rush, and Namibia possesses a particularly diversified portfolio of these resources.

According to a recent UNCTAD intervention in Windhoek, the country stands out for its “remarkable range” of energy transition minerals, placing it at the heart of major powers’ supply chain security strategies. This new situation reinforces the country’s position as a key supplier, not only for Europe, but also for Asia and North America.

588 Exploration Permits and a Rush for Projects

According to data reported by the African Press Agency, Namibia already has 588 active exploration permits, evidence of a growing appetite among investors for its mineral potential. These permits cover a broad spectrum, extending well beyond uranium and diamonds to include copper, lithium, rare earth elements, and other strategic minerals.

This dynamism is also reflected in sector statistics: the Namibian mining sector is entering 2026 on a solid footing, driven by favorable global prices and sustained demand for gold, uranium, and base metals. Revenues from non-diamond sub-sectors have increased significantly, with an estimated 54% rise in corporate tax from these activities between 2024/25 and 2025/26.

A strategy of moving upmarket: from raw exports to added value

Aware of the limitations of the “export raw ore and import finished products” model, Namibia has clearly stated its ambition: to process its resources domestically. The government thus introduced a ban in 2023 on the export of certain critical unprocessed minerals, including lithium, in order to encourage the establishment of processing units and manufacturing industries within the country.

This approach is formalized in the Minerals Beneficiation Strategy, which aims to develop local value-added activities (refining, manufacturing of intermediate materials, electrical components, etc.). A rapid assessment conducted with the support of UNCTAD identified 353 products in 23 sectors where Namibia can diversify, including 60 directly linked to energy transition minerals value chains, representing up to $811 million in export opportunities.

Regulatory Reforms and a New Mining Legal Framework

To consolidate its status as a critical minerals hub, Windhoek is also working on its regulatory framework. The country is finalizing a new draft minerals law, expected to be adopted in the coming months, to align the mining sector with new governance, value-sharing, and local content requirements.

At the same time, Namibia is relying on broader economic policy instruments: a national development plan, special economic zones, and the strategic use of the port of Walvis Bay as a regional gateway. These measures enhance the country’s attractiveness to investors while attempting to better manage the local impacts of mining projects.

A Booming Mining Sector, but Exposed to Risks

Recent indicators show that the Namibian mining sector is entering 2026 “on solid footing,” driven by high prices for gold, uranium, and certain base metals. The 2026/27 budget anticipates that mining will remain a key driver of growth, making a significant contribution to tax revenues and exports.

However, this momentum comes with risks: volatile global prices, geopolitical tensions, pressure on domestic costs (electricity, fuel), and environmental challenges linked to the rapid expansion of mining projects. The social and environmental sustainability of these projects, as well as the distribution of benefits among the population, will remain central to the legitimacy of this new extractive model.

What are the implications for Namibia and Africa?

The Namibian trajectory illustrates a key challenge for Africa: transforming the “rush for critical minerals” into genuine industrial development, rather than simply perpetuating cycles of dependence on raw materials. In its quest to become a hub, Namibia is not simply supplying the minerals for the energy transition; it aspires to integrate the higher value-added segments of the value chains – electrical components, battery materials, and equipment.

For investors, the country offers an attractive three-pronged approach: abundant and diverse resources, a relatively stable political framework, and a strong commitment to building long-term partnerships around local value creation. For Namibia, the challenge now will be to transform this potential into skilled jobs, local SMEs integrated into supply chains, and sustainable infrastructure, so that its status as a “new critical minerals hub” translates into a structural transformation of the economy.