Akatswiri Mineral Resources is optimistic of realising the $820 million aluminium production venture which promises to be a game-changer in the country’s industrialisation drive.
The company concluded a feasibility study in 2023 for the mining of bauxite deposits on the plains of Mulanje Mountain. It will be processed into alumina before being smelted into aluminum, a widely used industrial metal product.
The deposits at Linje and Lichenya locations at the top of the mountain have depth of 10 metres and 15 metres respectively, and both have an average thickness of 4 to 5 metres, according to the feasibility study.
However, the firm admits that the project requires high electricity voltage and huge capital cost.
Akatswiri Mineral Resources Group Chairperson Hilton Banda said the project needs to be owned by Malawians who should be able mobilise resources, with the immediate need being conducting an Environmental and Social Impact assessment (ESIA).
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“This is a project that has huge potential impact to the country which is importing a lot of aluminium products. We would have loved if we raines the resources in Malawi so that Malawians can wholly own the project,” Banda said.
Mining and economic experts have challenged the government with partnership of the private sector to take lead in promoting such a significant and strategic projects.
Mining policy expert Grain Malunga the Mulanje Bauxite project is very strategic due to its multiple economic benefits.
An economist, Lesley Mkandawire, recommends sovereign guarantees and the utilisation of financing windows offered by multi-lateral and bi lateral partners for strategic industrial projects.
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He said mining can drive growth and generate considerable amount of forex but urged the country to have a focus on large scale strategic projects.
An attempt to get a comment from both Ministry of Mining and the Mining Authority did not materialise.
The company’s plan is to mine 580 000 metric tons of bauxite a year which will be processed to produce 100 000 metric tons of aluminium.
With aluminium selling at $2600 per ton at London market this week, that wouod potentially generate $260 million annually as the global aluminium industry is growing rapidly.
