How is Zimbabwe benefiting from the lithium mining boom?

Harare, Zimbabwe – Zimbabwe’s lithium industry is dominated by a handful of large-scale mining projects, most with Chinese investment. Key producers include Bikita Minerals in Masvingo province, Prospect Lithium Zimbabwe’s Arcadia mine near Harare, the Kamativi mine in Matabeleland North, Sabi Star in Buhera, Sandawana in Mberengwa, and Gwanda in Matabeleland South.

These projects have propelled Zimbabwe into one of Africa’s top lithium producers and a growing source of critical minerals for electric vehicle batteries and renewable energy technology.

Zimbabwe’s push to move beyond raw mineral exports took a step forward in April, when Prospect Lithium Zimbabwe announced its first shipment of lithium sulphate — a higher-value processed product. The material was produced at the company’s $400 million processing plant at the Arcadia mine near Harare.

PLZ is wholly owned by Zhejiang Huayou Cobalt, a major Chinese battery minerals company.

Advancing beneficiation policy

Bikita Minerals says it is pressing ahead with plans to move further up the lithium value chain. The company says it is aligning operations with Zimbabwe’s beneficiation strategy through a multi-million-dollar investment program to produce lithium precursor chemicals instead of exporting concentrates.

Bikita Minerals is undertaking a $400 million investment program to shift from exporting concentrates to developing lithium precursor chemicals. The first phase of the lithium sulphate project is expected to come online in the second quarter of 2027 with a capacity of 60,000 tonnes per year.

Meanwhile, Mutapa Energy Minerals — a subsidiary of the state-owned Mutapa Investment Fund — says it is preparing to develop a lithium concentrate processing plant at the Sandawana mine, in partnership with Zhejiang Huayou Cobalt and Tsingshan Holding Group.

Export growth

According to data from the Minerals Marketing Corporation of Zimbabwe, mineral sales reached $983.85 million in the first quarter of 2026, with export volumes up 27% and export values up 79% following a ban on exports of unprocessed minerals.

Lithium export earnings rose from $84.19 million in Q1 2025 to $178.64 million in the same period this year. Minister of Mines and Mining Development Polite Kambamura said the sector has generated at least $2 billion so far this year.

Community concerns

Analysts warn that domestic mineral processing will not automatically deliver broad economic development. Political analyst Rashweat Mukundu told Al Jazeera that promoting lithium processing is a positive step but requires sustainable investment in infrastructure, technology, and industrial capacity.

Farai Maguwu, executive director of the Centre for Natural Resource Governance, criticised the sector: “Zimbabwe’s lithium industry continues to be held back by inconsistent policy, weak infrastructure, limited industrial capacity and inadequate community benefits.”

Maguwu said communities around major lithium projects have yet to see the expected level of benefits: “Communities with lithium mines are receiving few benefits, especially around Bikita Minerals, Prospect Lithium in Goromonzi and Sabi Star. There are concerns about damaged roads, limited local job opportunities, declining livelihoods and inadequate investment in health, education and public infrastructure.”

Mountain Mujakachi, director of the Bikita Institute for Land Development, said community expectations about lithium beneficiation have largely been unmet: “There is no clear evidence that value addition has created meaningful jobs.” He questioned infrastructure commitments, including a $10 million bridge project that Sinomine Resource Group announced after acquiring Bikita Minerals, which remains unimplemented.

Bikita Minerals countered that the company continues to invest in community development initiatives, including a $1 million health facility serving more than 5,000 people, a nutrition support program reaching nearly 10,000 schoolchildren, a 132kV power line project worth up to $30 million, and over $500,000 spent on road rehabilitation and community infrastructure.

The Zimbabwe Diamond and Mineral Workers Union supports the policy of restricting exports of unprocessed lithium but warns that domestic processing will not automatically improve workers’ lives. Secretary General Justice Chinhema stressed: “Implementation must include social dialogue, unions, labour protections, community benefits and revenue transparency.”

As Zimbabwe races to secure a higher position in the global battery minerals supply chain, the fundamental question remains open: Who really benefits from the country’s lithium wealth? For many communities living near the mines, the answer is still unclear.