Several African countries, including Nigeria, are increasing efforts to use their large bauxite reserves for industrial development. Governments and investors are shifting from exporting raw minerals to processing them within the country.

In Nigeria, the government is planning to set up a large alumina refinery with a capacity of 1 million tonnes annually. The proposed facility has secured USD 1.3 billion in financing from the Africa Finance Corporation and the Solid Minerals Development Fund. 

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Over a projected 20-year lifespan, the refinery is expected to produce 19 million tonnes of alumina and contribute an estimated USD 1.2 billion annually to its gross domestic product. Henry Alake, Minister of Solid Minerals Development, said, “We don't want corridors exporting internationally; we want factories across borders to create jobs and generate value locally.”

Although Africa holds around 30 per cent of global bauxite resources, it produces less than 1 per cent of alumina. With alumina demand expected to reach about USD 67 billion by 2032, Nigeria, Guinea and Ghana are expanding refining capacity to boost value addition and cut raw exports.

Also read: Nigeria signs $1.3 billion alumina refinery deal with AFC to boost mining sector

This strategic shift is expected to feature at African Mining Week 2026, from October  14 to 16 in Cape Town. The event plans to bring together policymakers, investors, and industry representatives to discuss mineral processing and refining.

Also, the initiative aligns with the government’s ambition to raise mining’s contribution to GDP from about one per cent to 10 per cent, while leveraging domestic gas resources under its Decade of Gas programme. 

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In Guinea, the government plans to develop six alumina refineries by 2030, with a total capacity of seven million tonnes per year. The country has partnered with international companies such as Chinalco, Alteo and Alcoa. Construction is already underway on the first facility in the Boké region, a USD 1.2 billion project with an annual capacity of 1.2 million tonnes, being developed by Winning Consortium Alumina Guinea.

Similarly, Ghana aims to develop four to 6 million tonnes of annual alumina refining capacity through international partnerships to increase value addition in its mining sector.