China’s Zijin Mining Group Co. is poised to begin lithium production in the Democratic Republic of Congo (DRC) by early 2026, tapping into one of the world’s largest lithium deposits. This move highlights the increasing global focus on securing critical battery metals for the energy transition, even amid a market correction for lithium prices.
The Manono lithium project, located in southeastern Congo, could position the DRC as a major player in the global lithium supply chain, given the site’s rich mineral reserves and strategic importance in the electric vehicle (EV) market. However, the development faces legal hurdles as Australian mining firm AVZ Minerals Ltd. contests the site’s ownership.
Lithium Production Timeline and Project Details
Zijin Mining confirmed its plans to commence production at the Manono lithium project during the first quarter of 2026. Once operational, it will mark Congo’s first lithium-producing mine, complementing the country’s established dominance in copper and cobalt production.
Key highlights of the project:
- Production Launch: Q1 of 2026
- Ownership: Joint venture between Zijin Mining and the Congolese government
- Lithium Grade: Average grade of 1.51% lithium oxide
- Resource Significance: Expected to be among the world’s largest hard rock lithium deposits
Zijin secured a full mining license for Manono four months ago, despite legal challenges, and is pushing forward with site development.
Global Strategic Importance of Lithium Mining
Lithium, a critical component for EV batteries and energy storage systems, has seen volatile pricing trends in recent years. After peaking in 2022, lithium prices plummeted by nearly 90%, driven by oversupply and weaker-than-expected demand.
Despite the current downturn, Zijin is positioning itself for long-term gains, citing sustained demand growth for new energy vehicles (NEVs) and energy storage systems.
Chinese companies, including Zijin, have been aggressively expanding their lithium interests across Africa, targeting key regions like:
- Mali – Home to the Goulamina Lithium Project
- Zimbabwe – Several emerging lithium projects
- Congo – Now with Manono under development
This strategic investment underscores China’s commitment to securing critical minerals for its growing battery manufacturing industry.
Legal Disputes Surrounding the Manono Project
Zijin’s lithium ambitions face legal challenges from AVZ Minerals Ltd., an Australian mining company that previously held exploration rights over the Manono deposit.
Key Points of the Dispute:
- AVZ Claims: AVZ contends that it was unlawfully stripped of its exploration rights and that a portion of the permit was improperly awarded to Zijin in September 2023.
- Ongoing Arbitration: AVZ has initiated arbitration proceedings against both Zijin and the Congolese government, seeking to reclaim rights over the site.
- Legal Injunctions: Arbitration tribunals have reportedly ordered Zijin’s Congolese partner to halt further development activities until legal matters are resolved.
An AVZ spokesperson stated:
“The government is in blatant violation of several injunctions.”
Adding to the controversy, AVZ disclosed in late 2024 that the Australian Federal Police had searched its offices over bribery allegations linked to the Manono project. AVZ, however, has denied any wrongdoing.
Financial Viability and Lithium Reserves
Despite the ongoing legal disputes, market analysts have expressed confidence in the financial viability of the Manono lithium project.
Key Insights:
- High-Grade Resource: With a lithium oxide concentration of 1.51%, Manono offers a competitive resource base compared to global lithium deposits.
- Cost Competitiveness: A 2020 feasibility study suggested that Manono could remain profitable even amid current weak lithium prices.
- Global Significance: If developed at full scale, Manono would rival major projects such as:
- Greenbushes Mine (Australia) – The world’s largest lithium operation
- Goulamina Project (Mali) – A recent addition to Africa’s lithium supply
Battery materials analyst Thomas Matthews from CRU Group commented:
“If Zijin builds a mine on the scale envisaged by AVZ, Manono could become one of the most significant lithium assets globally.”
Implications for the Global Lithium Market
Zijin’s progress on the Manono project, despite ongoing disputes, signals broader market trends:
- Increased Chinese Influence: China’s expanding investments in African lithium underscore its strategy to dominate critical minerals supply chains.
- Diversification of Supply: Manono’s development could diversify global lithium production away from traditional powerhouses like Australia and Chile.
- Long-Term Demand Growth: Despite current price corrections, long-term forecasts suggest increasing demand due to the EV revolution and clean energy transition.
However, unresolved legal battles and concerns over resource nationalism in Congo could complicate the project’s timeline and investor sentiment.
Conclusion: A Defining Moment for Congo’s Lithium Industry
Zijin Mining’s commitment to launching lithium production at the Manono project by early 2026 highlights the shifting dynamics of the global battery metals market. If successful, the mine could establish Congo as a key player in the lithium sector, complementing its leading positions in copper and cobalt.
However, ongoing legal disputes with AVZ Minerals and regulatory hurdles must be resolved to avoid long-term disruptions.
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