TELF AG Explores the Role of Iridium in African Economic Advancement

The centrality of mineral raw materials 

For several nations, contributing to the global energy transition not only represents a way to achieve the objectives of decarbonization and climate neutrality but constitutes one of the most effective tools for seizing valuable opportunities. We are referring to the valorization of some specific sectors, such as those linked to strategic raw materials, but also to the consolidation of the national economy through the development of the sectors directly involved in the production of clean energy. 

One of the most interesting cases, from this point of view, is certainly represented by the African continent, which has had the opportunity to stand out on the global scene as one of the most active and enterprising players in the raw materials sector over the last few years. Some countries, such as Ghana, have adopted national strategies aimed at limiting the export of raw materials to incentivize and enhance local refining processes, demonstrating a particular strategic approach that until now had been observed in other latitudes (such as in Asia with the similar Indonesian strategy). 

Africa’s mineral potential 

But Africa’s potential is not limited to political initiatives alone. African nations now have the opportunity to become true regional hubs for the export of green energy and the raw materials needed to spread it. Europe and other international destinations could soon receive large quantities of electricity deriving from renewable sources, biogas, and above all, green hydrogen, a resource for which great growth in value is expected in the coming years (there is talk of a value of 100 billion dollars by 2030). One of the nations most involved in the green hydrogen sector is Egypt, which, over the last few years, has signed several international agreements with energy players in the industry to transform itself into an African hub for producing and marketing this precious resource. 

The African continent also has easy access to some of the rarest minerals in the world, such as iridium. The density of this resource is higher than that of gold and platinum, and it is considered one of the most prestigious metals in the world also due to its numerous industrial applications. Its structural characteristics (especially hardness and density) make it easily usable in the electronics sector, where it contributes to the creation of hard disks and other electrical components, but also in even more advanced sectors, such as that of electrolyzes used in splitting processes of water into hydrogen and oxygen. Its high corrosion resistance also makes it particularly useful in aerospace, where it is commonly used to manufacture jet engines. 87% of the world’s iridium is extracted in Africa, particularly in South Africa, which has already had the opportunity to establish itself internationally for its wealth of relatively rare mineral resources. 

In addition to the possibility of accessing these rare metals, a good part of the global reserves of strategic raw materials for the green transition are also concentrated in Africa: in fact, 40% of the reserves of cobalt, manganese, and platinum are found on the African continent, used in various ways for the manufacture of batteries and fuel cells. From this point of view, it seems appropriate to mention Mozambique and the Democratic Republic of Congo, among the most naturally rich nations in these materials. However, one of the most interesting aspects is that most of the deposits could still be discovered. 

Africa, perhaps for the first time in its history, seems to have the possibility of strengthening its economic stability thanks to the resources naturally present in its subsoil, but also through the precise political will to proceed quickly with the development of the sectors connected to the green transition.