Zimbabwe’s state-owned Mutapa Energy Resources has secured a $300 million investment from a consortium that includes Chinese companies, marking one of the country’s latest moves to strengthen its position in the global lithium supply chain.

The funding will support the expansion of operations at the historic Sandawana lithium mine, where the company is accelerating production and investing in downstream mineral processing as demand for electric vehicle (EV) battery materials continues to rise.

“It’s a done deal,” Mutapa Energy Chief Executive Officer Innocent Rukweza said, confirming the financing agreement.

Zimbabwe strengthens its role in global lithium supply

Zimbabwe has rapidly emerged as one of the world’s fastest-growing lithium producers after attracting billions of dollars in investment from Chinese mining companies seeking secure supplies of battery minerals.

According to the U.S. Geological Survey, Zimbabwe accounted for about 10% of global mined lithium production last year, underscoring its growing importance in the clean energy transition.

Major Chinese investors operating in Zimbabwe include Sinomine Resource Group, Chengxin Lithium Group, Sichuan Yahua Industrial Group, and Huayou, all of which have expanded processing capacity inside the country.

Several companies are building lithium sulphate plants to produce higher-value battery materials rather than exporting raw ore.

Focus shifts to value-added mineral processing

Zimbabwe has tightened export rules by restricting shipments of lithium concentrate, encouraging miners to process minerals domestically before export. The strategy mirrors similar policies adopted by resource-rich African nations, including Guinea, Ghana, and the Democratic Republic of Congo, which are seeking greater economic returns from critical minerals.

Mutapa Energy Resources, which operates under the Mutapa Investment Fund, is leading Zimbabwe’s state-backed push into battery minerals after being separated from Kuvimba Mining House to improve governance and operational efficiency.

The company controls the 3,800-hectare Sandawana mining concession, where independent geological studies have identified a 39.9-million-tonne bankable lithium resource in Block A alone.

Mutapa Energy has already mined about 2 million tonnes of ore and is constructing a processing facility capable of handling 3 million tonnes of lithium ore annually, positioning Zimbabwe to capture more value from the global electric vehicle and energy storage markets.