Tanzania's MeTL Group Invests $250 Million to Build Graphite Processing Plant

en.Wedoany.com Reported - Tanzania's MeTL Group plans to commission a graphite processing plant in the country next year, with an annual capacity of 50,000 tons and a long-term investment target of $250 million, aiming to produce battery-grade graphite with a purity of 99.5%.

MeTL CEO Mohammed Dewji stated that this initiative reflects the company's medium- to long-term strategy to strengthen Tanzania's downstream mineral processing capabilities while expanding export volumes to the global market.

The first phase of the plant will produce graphite products with a purity of approximately 95%. Achieving the battery-grade specification of 99.5% purity requires additional purification, spheronization, and carbon coating processes, which are currently almost entirely concentrated in China.

Driven by the commissioning of new mines in the Lindi and Manyara regions, Tanzania's graphite output reached 75,000 tons in 2025, nearly triple the 25,000 tons produced in 2024. The country holds 18 million tons of graphite reserves, ranking fifth globally. Africa, with reserves in Tanzania, Mozambique, and Madagascar, accounts for 21% of the world's graphite reserves, yet almost all raw materials are currently shipped to China for processing before re-entering the global supply chain.

The MeTL project aims to directly address this issue by establishing local processing capabilities in Tanzania. Driven by demand for lithium-ion batteries in electric vehicles and energy storage, global graphite demand is growing steadily. It is projected to grow at a compound annual growth rate of 6.9% through 2032, reaching a market size of $13.35 billion.