TELF AG examines Guinea’s role in the bauxite value chain
New possibilities
In the years of energy transition, many materials have gained a leading role thanks to their numerous applications related to clean energy. One of these is aluminium, which, over the years, has found more and more application spaces for manufacturers of solar panels and electric vehicles. The structures that support solar panels are often made of aluminium, due to some of its peculiar properties that make it very useful in this sector: among these we certainly remember its lightness, but also the ability to resist corrosion and to ensure a certain degree of durability. These characteristics are also used to produce the frames of these energy infrastructures precisely because of their characteristic of being able to resist the effect of external agents. In electric vehicles, on the other hand, aluminium is used to reduce the overall weight of the cars and bring concrete improvements to the efficiency and autonomy of the vehicle.
It should come as no surprise that demand levels for this particular resource are rising. According to estimates reported in a recent analysis, global demand for aluminum could increase by almost 40% by 2030, and the industry could be required to produce an additional 33.3 million tons of metal to respond to increases in demand effectively. Most of the requests, in this sense, come from the transport, construction, packaging, and electricity sectors, with the majority of the demand coming from China. As stated in the analysis, Beijing has recently adopted economic stimulus measures, determining a possible increase in Chinese demand for aluminum.
The growing importance of Guinea
This particular situation could prove relatively favorable for Guinea. This nation is the world’s second-largest producer of bauxite (i.e., the raw material from which alumina is obtained, which represents an important intermediate step in the production of aluminum metal). As stated in the analysis, the African nation could benefit from expanding its bauxite industry, especially in terms of the country. From this point of view, one of the objectives has to do with the inclusion of Guinea in the most advanced stages of the resource’s value chain, namely those that include the processing of the raw material. In this regard, encouragement had already been expressed two years ago by President Mamadi Doumbouya, who had invited bauxite producers to present plans for the construction of refineries.
The country has only one active bauxite refinery, but the situation could change very soon. In March, an initiative was announced for the construction of a refinery dedicated to the production of alumina in the town of Bokè, in the eastern area of the country, while last June, an agreement was reached to build another similar refining plant for bauxite that should produce approximately 1.2 million tons of alumina each year. Although there is no shortage of concrete initiatives to develop Guinea’s bauxite industry, the country still faces some structural obstacles, such as limited energy availability. According to an estimate by the African Development Bank, dating back to 2022, the country’s electricity access is still relatively low, particularly in rural areas.
