Kebbi State is set to become a lithium processing hub as El-Tahdam Exploration Limited secures a $500 million investment from TSG Mining Group. The company aims to establish a comprehensive lithium processing value chain, which includes the construction of plants capable of processing thousands of metric tonnes of lithium ore. This initiative is expected to boost local economies, create jobs, and attract major players in the electric vehicle market, all while supporting Nigeria’s economic diversification goals.
Kebbi State, Nigeria, is on the brink of becoming a center for lithium processing, led by El-Tahdam Exploration Limited. This mining company aims to exploit Nigeria’s rich reserves of essential minerals for electric vehicles (EVs), such as lithium, manganese, and iron. El-Tahdam has gained international recognition, supported by substantial investments, notably a recent partnership with TSG Mining Group, signifying growing global interest in Nigeria’s mining sector.
In the past three years, El-Tahdam has invested around $5 million in exploring lithium ore in Libata, Kebbi. After spending over a year in China mastering lithium processing techniques, El-Tahdam achieved a 92% recovery rate, which is among the world’s highest. The company has invested in specialized equipment for their mining site, further enhancing its operational capabilities.
El-Tahdam’s strategic plan aims to construct three cutting-edge lithium processing plants in Kebbi, Kwara, and Kaduna states. Each facility is designed to process 3,000 metric tonnes of lithium ore daily, producing up to 2,250 metric tonnes of 6% lithium concentrate. Additionally, a planned Lithium Carbonate plant in Lagos aims for a production capacity of 80,000 metric tonnes annually, boosting Nigeria’s lithium market share significantly.
This integrated processing model, a first for Nigeria, is set to enhance the domestic value of lithium, decreasing reliance on raw material exports and increasing the Federal Government’s royalty revenues. As Africa loses billions due to unprocessed mineral exports, this initiative addresses critical economic challenges, potentially attracting major players in the battery manufacturing industry, such as CATL and Tesla.
El-Tahdam’s recent $500 million investment from TSG Mining Group highlights global confidence in its vision. $250 million of this investment is earmarked for a modern processing plant in Kebbi, projected to begin operations by late 2025. With a 25-year mining license secured, this partnership will catalyze resource integration across Africa, combining financial resources and technical expertise.
These strategic efforts align with Nigeria’s national economic development goals, targeting increasing lithium demand and job creation. The establishment of lithium processing plants is expected to stimulate local economies and reduce reliance on oil, contributing to sustainable growth in the Nigerian mining sector.
Furthermore, El-Tahdam is committed to community empowerment, with the Kebbi plant expected to create approximately 1,000 direct jobs and 3,000 indirect jobs. The company is also engaging in efforts to attract investments in other essential minerals, which could yield an additional $1 billion in foreign direct investment to Nigeria.
To maximize this potential, ongoing support from federal and state governments, as well as regulatory bodies, will be essential. Such endorsements will be vital in securing Nigeria’s position in the global mining landscape, ensuring that its mineral resources foster significant economic advancement.
El-Tahdam is poised to lead the way in transforming Nigeria’s economic landscape, converting mineral wealth into tangible benefits for local communities and the nation as a whole.
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In summary, El-Tahdam Exploration Limited is positioning Nigeria as a potential leader in lithium processing through significant investments, strategic planning, and global partnerships. By enhancing local production capabilities, creating jobs, and aligning with national economic goals, El-Tahdam’s initiatives promise to transform Nigeria’s mining sector and contribute to sustainable economic growth. Continued support from stakeholders will be essential in maximizing the potential of the country’s abundant mineral resources for future development.
Original Source: www.premiumtimesng.com
