Mining & Trade News

The Ministry of Energy and Mining has drafted the Export (Prohibition of Raw and Unprocessed Minerals) Regulations, 2025, aimed at prohibiting the exportation of minerals that have not undergone beneficiation or value addition within Malawi, unless accompanied by a written permit issued by the Mines and Mineral Resources Regulatory Authority.

The release of the draft regulations follows the Executive Order made by State President Arthur Pater Mutharika banning exportation of raw minerals

Under the regulations, mineral samples are allowed to be exported by  a holder of a mineral right for laboratory analysis, metallurgical testing, geochemical or mineralogical studies, or other analytical work required for exploration, evaluation or feasibility assessment.

Reads the Draft Regulations: “The Minister may, by notice published in the Gazette, designate additional minerals, revise the minimum processing requirements or impose higher beneficiation or value-addition standards.”

“The prohibition applies to all minerals extracted within Malawi, including but not limited to uranium, rare earth elements, niobium, graphite, tantalum, bauxite, coal, limestone, gemstones, heavy mineral sands, vermiculite, phosphate, pyrite, rutile, gold, diamonds, copper, and associated ores.”

In support of the regulations, the regulations read that the Ministry responsible for Mining, in consultation with the Ministry of Finance, shall design incentives to promote the local industry by: establishment of local mineral processing and refining plants; importation of processing equipment; research and innovation in beneficiation technologies; and public-private partnerships in value addition.

Mining Expert and Geoscientist Consultant Ignatius Kamwanje in an interview welcomed the regulations but blamed the timing of the ban. Kamwanje said: “I also see that those that were drafting have left crucial aspects as well. The conditions that are there means our government has a huge task ahead to make things happen.”

“Right now in Malawi there are no experienced gem dealers in terms of value addition. The Government needs to help in human capital, training as well as attracting skilled investors and so forth.”

“As for other minerals, this again calls on government to boost industrialization for example, invest in processing facilities since raw materials shall be processed first to ensure that the industry should not lag behind because buyers need quality products.”

In a separate interview, National Coordinator for Natural Resources Justice Network (NRJN) Kennedy Rashid said the new regulations demonstrate several promising dimensions including: promotion of local beneficiation and industrialization; enhancing enforcement and accountability mechanisms; phased implementation recognizing local constraints; and alignment with continental initiatives.  

Rashid said: “The explicit requirements for minerals align with Malawi’s broader development goals and the African Mining Vision, which prioritizes local value retention and economic transformation.”

“The draft regulations provide for clear penalties, including fines, imprisonment, and forfeiture, which indicate a serious effort to deter illegal or premature export of unprocessed minerals.”

“By allowing phased compliance plans for exporters, the regulations balance ambition with practicality, acknowledging Malawi’s infrastructural, technical, and financial limitations, and this ensures that the regulatory framework is enforceable without stifling industry growth,” he said.

Rashid also said the new regulations resonate with the African Green Minerals Strategy by prioritizing the beneficiation of minerals critical for the energy transition and green technologies, such as lithium, cobalt, and graphite. He said this supports the AMV’s goal of inclusive resource governance, industrial development, and regional value chain integration.

However, Rashid said the new regulations are marred with some gaps especially in the ministerial discretion whereby he said the ability for the Minister to grant exemptions in the “national interest” is broad and undefined.

He said: “Transparency mechanisms such as mandatory publication of exemptions and Parliamentary oversight, are essential to mitigate this.”

“The new regulations also have been marred with the gap of limited community and ASM inclusion whereby they are not explicitly provided mechanisms to benefit from beneficiation or participate in value chains.”

“While beneficiation enhances economic value, it may increase environmental pressures and there is a need for mandatory Environmental and Social Impact Assessments, climate-smart processing requirements, and renewable energy integration in beneficiation processes.”

Meanwhile, the Government through the Ministry of Energy and Mining has opened doors for input on draft regulations from all stakeholders.

Though Malawi’s mining sector contributes a staggering one percent to Gross Domestic Product, the country continues to make exciting mineral discoveries.

These discoveries mostly by foreign listed firms include those of the much sought-after critical minerals by the World’s leading economic superpowers such as the United States of America and the European Union crucial for the new energy revolution.

The most exciting prospects include Kasiya Rutile-Graphite Project in Lilongwe where an Australian listed firm Sovereign Metals is conducting feasibility studies after discovering the world’s largest rutile deposit and the second largest flake graphite deposit, with mining expected in a few years’ time.

Exciting enough, the company has just discovered rare earth minerals as part of the resource envelope at Kasiya.  

The other major prospects include the Songwe Hill Rare Earths Project which UK Firm Mkango Resources is pursuing in Phalombe and the Kangankunde Rare Earths Project in Balaka.

Australian-listed Lindian Resources is preparing to start mining works at Kangankunde, which is one of the largest rare earth prospects in the world, within the year.

Besides, there is the Kayelekera Uranium Mine in Karonga. Another Australian-listed firm Lotus Resources has just resumed uranium mining at Kayelekera after its predecessor Paladin Africa suspended production in the aftermath of the Fukushima Nuclear Disaster in Japan, which resulted in the closure of several nuclear plants in Asia hence a global price slump of the yellow cake.

Another advanced project that is moving into mining stage is the Kanyika Niobium Project in Southern Mzimba District bordering Kasungu where the resource firm Globe Metals & Mining is mobilising to launch mine construction.

Globe Metals already finalised feasibility studies and just like Mkango and Lotus, signed a Mining Development Agreement (MDA) with Malawi Government.

Besides these projects, resource firms are pursuing several smaller ventures and potential large-scale mining projects at preliminary exploration level.

Benefits to Malawi Nation

The questions that click in the minds of many Malawians when there is talk about these projects are; how is Malawi benefitting or poised to benefit?

The Mines and Minerals Act (2023) has a number of clauses to ensure that Malawi benefits from mining projects. To begin with, the law includes a stipulation that the Malawi Government has the mandate to acquire shareholding in these projects as a minority shareholder. The Act gives the Minister responsible for Mining the authority to decide on the shareholding arrangement in coordination with the Minister of Finance.

Before the project reaches production stage, the Malawi Government negotiates and signs a Mining Development Agreement (MDA) with the resource firm which stipulates the shareholding percentage for the Malawi Government. Being a shareholder, the government is, therefore, entitled to get dividends from the mining company when the mine starts generating profits.

For example, in Kayelekera Uranium Mine which is in production stage, the Government has 15% shareholding while the MDAs for Kanyika and Songwe Hill give 10 percent free equity to Malawi Government.

Besides government shareholding, the other benefits for Malawi from a large scale mine as stipulated in the Laws and the signed MDAs include royalties charged at 5% of sales revenue from the mined product for industrial minerals such as these critical minerals.

The Government also rakes in revenue through the 30 percent corporate tax and other taxes including Pay as You Earn and withholding tax.

In addition, the large-scale mining company is mandated to sign a Community Development Agreement (CDA) which commits the company to commit at least 0.45 percent revenue from the mine to development projects in the locality recommended by the local community.

On top of all these benefits, the large-scale mining project creates numerous jobs and business opportunities for skilled and unskilled Malawians mostly members of the local community since the Act mandates a large-scale mining company to prioritise Malawians in its recruitment. This is also reflected in the signed MDAs.

Current challenges in mining sector

With the current administration in power for over 100 days now, a number of challenges have continued to dog the minerals sector dashing hopes that the sector will play a key role in the nation’s industrialisation drive underlined in the national vision, Malawi 2063.

It appears despite continued political rhetoric on overwhelming potential of mining to transform Malawi’s economy, the action from the government in reforming the sector is not enough with the “as usual scenario” syndrome vivid.

There was indeed excitement from the Malawi public when State President Arthur Peter Mutharika announced a ban on export of raw minerals in order to maximise gains for the nation through export of finished products.

But the results of the directive has clearly shown that though the ban was made with a good intention to ensure local value addition in order to stimulate economic growth and increase job creation for the locals, it has largely worked as a political gimmick. Arguably, the situation on the ground has shown that the timing was wrong as the ban was made without any prior stakeholder consultation.  

In addition, there are no guidelines for the implementation of the ban as the Government has just drafted the regulations for the implementation of the Executive Order this time after the ban had already negatively impacted local mining businesses.

Besides the ban, the other action by the new administration over the first 100 days is the appointment of the new Board of the Mining and Minerals Regulatory Authority (MMRA) and new Director General replacing those appointed by the previous administration.

Muthurika seemed to have scored highly in efforts to win investor confidence when he included former Minister responsible for Mining and current Coordinator of Chamber of Mines and Energy Grain Malunga in the board, which is responsible for overall governance of the minerals sector in Malawi, as Vice Chairperson.

But this action also seems to have diluted the role of the Authority in policing the private mining companies with Malunga also a Director for Lotus, running Kayelekera. Basically, how can a mine owner police the mine he owns? How can a Coordinator of the Chamber of Mines and Energy that represents the plight of the mining companies police the same companies? Such questions bring to light the Mines and Minerals Act 2023 which emphasizes on independence of MMRA.

The MMRA was created in the new Act, which was formulated by the previous Malawi Congress Party (MCP) leadership with little or no stakeholder consultations. They said the reason for amending the Mines and Minerals Act 2019, which was in force that time, was to remove hurdles in the process of granting mineral licences in so doing making it easy for mining investors.

Before MMRA took over this task, the Mineral Resources Committee which was headed by an official from the Ministry responsible for Mining and included officials from other Departments such as Environmental Affairs, Finance and the Police was responsible for granting of licences in accordance with the 2019 Act.

However, it appears other than meeting the objective for its formation which was to create sanity in the minerals sector, the formation of the MMRA has just created  loopholes for political manipulation of the sector with any political administration   appointing its royalists to head the Authority.

What Malawi needs to do    

The “doing things as usual attitude” will not help the sector to grow. Malawi Government needs to react to current global mineral market trends and implement measures to ensure that the nation adequately captures the benefits of the sector.

With the world’s superpowers jostling for critical minerals that Malawi is endowed with, it is important for Malawi to formulate a Critical Minerals Policy now that will help the country adequately benefit from these mineral resources.

The global scramble for these minerals including those important for the green energy revolution must not just be left with the foreign listed firms. With other governments including economic superpowers such as the United States and Australia partnering private companies to pursue mining projects for critical minerals, Malawi Government also needs to invest in this direction.

State-owned Malawi Mining Investment Company (MAMICO) needs to be given sufficient funds to pursue mineral prospecting ventures for the critical minerals and also partner private companies involved in prospecting projects.

In order to create sanity in the sector, it is also important to revert to the previous Mines and Minerals Act 2019.. The current 2023 Act, developed  without adequate stakeholder consultation, has created chaos in the sector, which is an impediment to growth and by giving much powers to the Minister carries similar traits to the abolished 1981 Act which gave absolute powers to the Life President.  

The MMRA, which was created by the new Act, seems to be handling the duties which were under the jurisdiction of the Department of Mines and Geological Survey Department (GSD) which is creating chaos in the sector.

In the 2023 Act, there is also this issue of giving a line Minister powers to decide on whether Malawi Government should acquire a percentage of free equity or not and the amount in a specific large scale mine. This is a glaring loophole for corruption created by politicians to make quick gains from mining projects.  It is dangerous for the country and stakeholders including some mining companies raised concern over it. We must remove this and revert to a law that specifies a percentage of free equity for government in a large scale mine as is the case with the abolished 2019 Act which gives the right to government to acquire at least 10 percent free equity in a large scale mine. Such a provision in the 2019 Act was investor friendly as it assured security of investment with the investor knowing beforehand the amount of equity to be offered to government.

On the ban, it is important for Government to expedite the process of developing regulations and gazette them as soon as possible to do away with the madness the ban has created so that the sector, including Artisanal and Small-Scale miners who are heavily impacted, continues to move ahead.

Mining can indeed significantly contribute to economic growth if drastic reforms are implemented.

Minister of Energy and Mining Honourable Dr. Jean Mathanga, MP attended the African Mining Indaba 2026 in Cape Town, South Africa. She led Malawi’s delegation at the Indaba which took place from February 9-12 2026.

The African Mining Indaba is one of Africa’s leading platforms for mining investment dialogue, bringing together governments, investors, financiers and mining companies from across the continent and beyond.

Malawi’s participation provided a strategic opportunity to position the country as an emerging destination for responsible and sustainable mining investment.

During the Indaba, the Minister engaged with potential investors, mining companies and development partners to showcase Malawi’s mineral potential, ongoing sector reforms and available investment opportunities across the mining value chain, including exploration, project development, financing and value addition.

The Honourable Minister participated in the Ministerial Symposium which brought together African Ministers, global investors and industry leaders to deliberate on key issues shaping the future of Africa’s mining sector, including critical minerals, investment promotion, sustainable mining practices and policy reforms.

Honourable Mathanga highlighted Malawi’s growing role in the global critical minerals supply chain during a high-level investment panel discussion hosted by the United States Embassy at the Indaba.

She noted that Malawi’s deposits of graphite, rare earth elements, rutile and uranium position the country to support the global energy transition and diversified supply chains.

The Minister cited major projects including Kasiya, Kangankunde, Songwe Hill, Kanyika and the reopening of Kayelekera Uranium Mine as key investment opportunities expected to boost jobs, exports and industrial growth.

She further highlighted reforms under the 2023 Mines and Minerals Act, including the establishment of an independent regulator, promotion of value addition, transparency and community participation.

Dr. Mathanga also pointed to Government investments in energy and transport infrastructure, with the Nacala Development Corridor serving as a key export route.

She added that support from international partners, including development finance institutions and the United States Government, is helping de-risk mining investments through technical assistance, infrastructure development and strong Envionmental and Scial Governance (ESG) standards, positioning Malawi as an emerging hub for critical minerals.

The Ministry views the Indaba as a key platform to strengthen Malawi’s visibility on the continental and global mining investment stage, while advancing Government’s agenda of attracting responsible investment to drive economic growth and economic diversification.

Malawi’s participation at the African Mining Indaba 2026 underscores Government’s commitment to promoting sustainable development, strengthening partnerships and unlocking long term investment in the mining sector. -Ministry of Energy and Mining

Gold has been identified in various parts of Malawi, including but not limited to Mangochi, Kasungu, Nsanje, Lilongwe, Balaka, Ntcheu, and Zomba. These occurrences are largely alluvial or near-surface deposits, making them accessible with basic tools and minimal capital investment. As a result, gold extraction in many of these areas is dominated by artisanal and small-scale miners (ASMs).

Artisanal mining has grown rapidly in recent years, driven by rural poverty, unemployment, declining agricultural productivity, and limited livelihood alternatives. For many people involved, gold mining represents a survival strategy rather than a business venture. It provides immediate cash income in areas where formal employment opportunities are scarce.

At present, ASMs play a critical role in gold production in Malawi. In fact, they are responsible for the majority of gold extracted in the country today. However, most operate without licenses, using basic tools such as shovels, picks, and simple washing methods. Processing is often inefficient, leading to low recovery rates and unnecessary gold losses across many mining hotspots.

Furthermore, at a time when Malawi continues to struggle with foreign currency shortages, gold holds strategic importance beyond its export value. Many countries use gold to bolster national reserves, strengthen investor confidence, and stabilize their currencies. While Malawi is far from building significant gold reserves at present, formalizing gold production and trade is a critical first step toward this long-term objective. Artisanal and small-scale miners will continue to operate, and if their activities are not formalized, their contribution will remain invisible to the nation, and their livelihoods will remain unsafe.

The Honourable Minister of Energy and Mining, Dr. Jean Mathanga, MP, has expressed appreciation over the work of Shayona Cement Corporation in promoting local value addition in line with government’s industrialization agenda reflected in the national vision, Malawi 2063.

The Minister, who was speaking on her tour of Shayona’s cement production factory in Kasungu, said that government’s interest is to ensure that value addition is done within Malawi, reducing reliance on imported products.

She stressed that increased local cement production will create jobs, support economic growth, and position Malawi as a potential exporter once capacity is scaled up.

Shayona’s Human Resources and Administration Manager Austin Mvula urged the government to address the challenges affecting the plant’s operations including power shortages, poor condition of roads and market hiccups as a result of the influx of cement imports.

“We are forced to use diesel generators due to the regular power outages, which is a very expensive alternative,” he said.  

Mathnga acknowledged the challenges including intermittent power supply (SAPP) stating that government is exploring regional solutions such as connecting to the Southern Africa Power Pool (SAPP) through Mozambique - Malawi Power Interconnector..

She also commended Shayona for its ongoing expansion works at the factory and called on all local cement manufacturers to invest in similar projects to avoid shortages of the commodity on the local market, stressing that Malawi must move beyond being merely a source of raw materials to an exporter of end-products.

Malawi has three local manufacturers of cement namely Shayona, Cement Products which has a clinker plant in Mangochi and Portland Cement with a clinker plant in Balaka.

Shayona mainly distributes its cement in the central and northern regions of Malawi, with leading brands including Akshar. Thanthwe and buildplast.

The company sources limestone for clinker production from its mines close to the factory. -Ministry of Energy and Mining

A Call for Pragmatic Reform in the Gemstone and Gold Subsectors

Introduction

The recent bans on the exportation of raw gemstones and other minerals — most notably the 12 February 2025 directive — have reignited debate across Malawi’s mining sector. While the government’s stated goal is to promote value addition and maximize domestic beneficiation, the practical realities show unprepared systems, limited capacity, and unintended harm to the Artisanal and Small-Scale Mining (ASM) subsector.

Emotion Over Evidence:

The Gemstone Dilemma

When the export of raw gemstones was prohibited, the aim was to push for local processing and job creation. However, the implementation was reactive, with limited sector consultation and little recognition of the technical, financial, and structural readiness required. The September/October 2025 extension of this ban to all unprocessed minerals deepened the crisis, especially within a gemstone value chain that is fragile but full of potential. A few small processors and entrepreneurs - myself included - have demonstrated that value addition does pay off, through better prices, job creation, skill development, and increased credibility in international markets. However, challenges persist, including:

•  Lack of cutting, polishing, and grading   equipment.
• Shortage of skilled gem cutters and   valuers.
• Absence of gemstone certification and   regulatory standards. Unstructured markets with limited local   demand. Irregular production that impedes   consistent supply.

The True Art and Science of Gem Valuation

It is important to understand that gemstone processing and valuation go beyond mere cutting or polishing. The value of a gemstone reflects a combination of qualitative factors, including rarity, origin, market and fashion trends, craftsmanship, historical significance, and certification through credible laboratories.

“In today’s global gem trade, trust is the new market currency.”

Unfortunately, Malawi currently has very little of that trust due to inconsistent systems and the absence of internationally recognized certification mechanisms.

Tikuyenera kudekha komanso kuyika ndondomeko zoti zitipititse patsogolo komanso kupindulira dziko — surely not khambakamwa ayi!

We must be patient, structured, and deliberate if we truly want to position Malawi as a credible player in the global gemstone arena.

A Needed Reality Check: Credibility and Global Perception

Let us be honest with ourselves — at times, we have become a laughing stock in the global gemstone community. Having been privileged to work with world leaders in the ethical gemstone trade and as part of the Ethical Gem Show and Chicago Jewellery Transformative Family through my work with Virtu Gem (USA), I have seen firsthand how credibility, transparency, and responsible partnerships define market success.

The ongoing Columbia Gem House (CGH) case — involving Malawi’s purported $309 billion claim — illustrates serious misunderstanding of global gemstone market realities. Consider that Gemfields, the world’s leading ruby producer, has generated around $1 billion in revenues over 13 years — roughly 70% of global premium ruby output. The total global ruby and emerald market is estimated at just $1–2.5 billion per year, making Malawi’s claim economically implausible.

This lawsuit risks damaging our global reputation before we have even established a significant presence. My sincere advice to government is simple: engage, not antagonize. Build bridges with global players like CGH — they bring expertise, ethics, and access to high-value markets, particularly the U.S., the world’s largest gemstone destination. Sustainable value addition is impossible if we isolate ourselves from such critical relationships.

A Smarter Approach: Capacity Before Control

Rather than an outright export ban, Malawi needs a tiered policy approach. Institutions like the Export Development Fund (EDF) could lead gemstone processing initiatives and training programmes while ASMs continue limited exports under transparent frameworks. That way, we promote structured growth rather than pushing small miners into survival mode. Ultimately, the growth of this subsector hinges on building trust, technical expertise, and internationally recognized systems — not blanket prohibitions.  

The Gold Story: Policy Contradictions and Missed Lessons

Parallel to gemstones, the gold business in Malawi has experienced rapid growth. Reports indicate over 90 gold hotspots, with estimated daily output of around 10 kilograms. Through the EDF, the Reserve Bank of Malawi (RBM) has positioned itself at the center of domestic gold trading since 2021, reportedly acquiring about 500 kilograms in total.

However, these official figures raise concerns. Either production estimates are inflated, or significant quantities of gold are being traded illegally, as RBM’s buying prices cannot match parallel market rates.

Adding to the confusion, gold has been removed from the Reserved Mineral Licence (RML) framework - effectively stopping licensed dealers from trading in gold to “protect” RBM from competition - while the same bank buys from unlicensed miners. This contradiction undermines formalization, transparency, and investor confidence.

No genuine investor - local or foreign - will commit to gold mining when they cannot export or access foreign currency. Our policies, though well-intentioned, may be chasing capital out of Malawi instead of attracting it.

Towards a Formalized Gold Economy

Malawi can learn from models such as Tanzania, whose smart regulation and government-private cooperation have turned gold into one of its major forex earners. Malawi should:

1.  Reinstate gold under dealer licences  (RMLs) for structured private sector   participation.
2. Enforce a partial retention scheme,  requiring that 20% of gold be sold to RBM before export — balancing national interest and market freedom.
3. Establish licensed gold markets in all  major hotspots in collaboration with  Federation of Artisanal and Small-scale  Mining in Malawi (FASMIM), Mining and Minerals Regulatory Authority (MMRA), Reserve Bank of Malawi  (RBM), Malawi Revenue Authorit  (MRA), and local councils.
4. Implement a robust certification and  traceability system for legal sourcing. 
5. Adopt digital oversight tools rather  than over-policing artisanal players.

If managed effectively, gold could easily contribute 40–50% of Malawi’s foreign exchange earnings, making it one of the country’s strongest economic levers.

“We need systems, not suppression — structure, not reaction. The potential is clear if only we let capacity lead policy.”

Building the Foundation: Systems that Work

Both the gemstone and gold subsectors require deliberate, systemic reform. Moving forward, Malawi should:

• Establish training and processing   centers for gemstone cutting, polishing,   and gold refining.
• Promote Public–Private Partnerships  (PPPs) to build value-addition facilities  and markets.
• Create a Gemstones & Precious Metals   Certification Authority aligned with   international industry standards.
• Transition policies gradually, engaging   stakeholders throughout the process.
• Encourage research, innovation, and   global partnerships to strengthen   confidence and credibility.

Conclusion

Malawi’s mineral wealth can transform lives and drive structural industrialization — but only through credible systems, realistic policies, and collaborative leadership. Emotion-driven bans may appear patriotic, but they risk killing opportunity and trust. We must invest in skills, certification, and partnerships, grounding policy in practicality rather than passion. That is how Malawi can move from being a reactive observer to a respected participant in the global gemstone and gold trade.

Strategic Rare Earths Recovered at Kasiya

ASX-listed Sovereign Metals has announced a significant and strategic rare earth value addition to its Kasiya Rutile Graphite Project in Lilongwe, Malawi.

Sovereign’s MD and CEO Frank Eagar says in a statement the Company has successfully recovered a monazite product containing high-value heavy rare earth elements (REE) from the tailings stream generated during rutile processing at its upgraded Lilongwe laboratory facilities.

The concentrate was recovered from material that would otherwise be discarded; the non-conductor tailings stream from electrostatic separation of a heavy mineral gravity concentrate of Kasiya ore.

Eager explains that producing a monazite concentrate would therefore require no additional complex processing.

He states that chemical analysis of magnetic concentrates from processed resource drilling samples performed by Scientific Services South Africa confirmed the favourable rare earth oxide distributions produced from the monazite concentrate.

Preliminary analysis has confirmed the monazite concentrate contains exceptional heavy rare earth content averaging 2.9% (and up to 3.9%) combined DyTb and averaging 11.9% (and up to 17.3%) yttrium, and light rare earth content of 21.8% neodymium-praseodymium (NdPr).

This composition sets Kasiya apart from all major global rare earth producers. The five largest operations – which together account for over 70% of global production – are dominated by light rare earth elements. Strategically critical heavy rare earths urgently required by US, Japan and EU advanced technology, defence, and industrial supply chains are present only in trace amounts, or absent entirely, in these deposits.

Eagar comments: “This is an exceptional development that has the potential to fundamentally enhance Kasiya’s strategic significance. With simple processing, our upgraded laboratory has recovered a valuable monazite concentrate product from the rutile tailings stream, with heavy rare earth content that the world’s major producers simply cannot match.”

“These are precisely the elements that matter most to nations seeking to protect and grow their critical mineral supply chains. Dysprosium and terbium enable permanent magnets to function in advanced technologies, including robotics, fighter jets, guided missiles, and naval propulsion systems. Yttrium protects jet engines and hypersonic vehicles from extreme temperatures. China imposed export controls on all three in April 2025, and Western supply chains are now acutely exposed.”

“What makes this value addition particularly significant is that this product was recovered from our rutile processing tailings stream. We are not currently contemplating a complex, standalone rare earth operation. We have recovered critically strategic rare earths from what would otherwise be discarded – a by-product of the processing route we will use for rutile and graphite production.”

“Kasiya’s rutile will feed aerospace-grade titanium production. Our graphite is essential for battery anodes and traditional industrial applications. And now Kasiya has the potential to also deliver critical heavy rare earths. We have an exciting workstream ahead of us as the potential of the heavy rare earth minerals is delineated. The recent visit by the US State Department to our Malawi operations, combined with our Collaboration Agreement with the World Bank International Finance Corporation (IFC), reflects the strategic importance that governments and institutions are beginning to attach to Kasiya.”

Preliminary analysis versus major global producers  

Global rare earth production is concentrated in five major operations: three in China (Bayan Obo, Weishan, Maoniuping), one in Australia operated by Lynas Rare Earths Ltd (Mt Weld), and one in the United States operated by MP Materials Corp (Mountain Pass). Together, these mines supply over 70% of the world’s rare earth production.

All five are dominated by light rare earths – principally lanthanum and cerium, which are abundant and low-value, and the magnet rare earths Neodymium and Praseodymium (NdPr). The strategically critical heavy rare earths – dysprosium, terbium, and yttrium – that underpin high performance advanced technology, defence, industrial and renewable energy applications are present in much smaller amounts. Kasiya’s heavy rare earth content is approximately 7x higher for both DyTb and yttrium than found in the five largest rare earth producing mines. Mountain Pass – America’s only rare earth mine – contains no measurable DyTb or yttrium.

China’s April 2025 export controls on dysprosium, terbium, and yttrium have created acute supply shortages for Western manufacturers. On January 6. 2026, China announced strengthened export controls on dual-use items to Japan, effective immediately. Despite 15 years of diversification efforts, Japan remains approximately 60% dependent on Chinese rare earth imports. For heavy rare earths, Japan’s dependence on China approaches 100%. Meanwhile, the US is 100% reliant on imports for its yttrium requirements.

Preliminary analysis of Kasiya’s monazite REE content demonstrates one of the highest combined heavy rare earth profiles while maintaining NdPr levels comparable to many REE development projects that have received government backing.

The US State Department visited Sovereign’s operations in Malawi in late 2025 as part of a broader engagement with strategically significant critical minerals projects in Africa.

Rare Earths by-product from existing process

Total rare earth oxide was analysed for in magnetic heavy mineral concentrates produced from aircore drilling samples during laboratory analysis for rutile. The magnetic concentrates were composited by depth interval (0-6m and 6-20m) to assess variation in mineralogy with depth associated with weathering units.

Separately, monazite concentrates were produced from bulk samples processed through the standard Kasiya flowsheet. Gravity concentrates were subjected to electrostatic separation, with the non-conductor stream then subjected to further gravity separation, followed by magnetic separation to produce a magnetic monazite concentrate. Duplicate analyses confirmed excellent repeatability. Chemical analysis to determine the distribution of rare earth oxides was conducted by the Scientific Services South Africa laboratory.

Next steps

Sovereign will now undertake further work to characterise the monazite mineralisation at Kasiya, including:

• Detailed mineralogical characterisation of monazite occurrence and distribution within the Kasiya orebody;
•  Assessment of heavy rare earth concentrate recovery rates through the proposed Kasiya processing flowsheet; and
• Evaluation of potential scale of rare earth production as a by-product and associated economics.

The Malawi Government has initiated a feasibility study for minerals revenue management and development of Sovereign Wealth Fund (SWF).

The study is supported by the UK-funded Malawi Value Chains (MVC) Project, implemented by Adam Smith International, in partnership with the Office of the President and Cabinet – in particular the Open Government Partnership (OGP) Technical Working Group on Natural Resources, the Ministry of Finance and Economic Affairs, and the Ministry of Energy and Mining.

A confidential draft of the Study prepared for stakeholder consultation reads that the feasibility study will provide evidence-based recommendations on the best options for effective management of revenues from mining for the country.

The study also aims to examine the most suitable revenue management systems, including various SWF models, based on evidence of the potential future revenue from the mining sector and economic, political and social context.

It says pecifically, the study will assess the potential scale and timing of revenue from Malawi’s mining sector, and variables that may influence this. The study will also identify and evaluate revenue management models suited to Malawi’s context, including SWFs.

It will also analyse the potential economic and social costs and benefits of different models; evaluate applicable potential risks and mitigating strategies, drawing from comparable case studies; identify and assess technical, institutional and legal framework barriers and provide recommendations and; develop an actionable implementation plan for the most salient revenue management systems or relevant SWFs tailored to Malawi’s existing policy, legal and regulatory framework Malawi is positioning itself for a minerals-driven economic transformation, with several mineral prospecting projects anticipated to reach final investment decisions in the next 2-5 years.

The report indicates that based on optimistic revenue projections for six of Malawi’s seven operating or prospective industrial mines (Kayelekera, Kasiya, Malingunde, Kanyika, Songwe Hill and Kangankunde), the Government could collect roughly US$19 million in 2026 and US$622 million in 2036 in nominal terms (US$450 million in real terms).

This translates that Malawi Government could earn not less than US$300 million per year at peak production. Under optimistic assumptions, these six projects would represent approximately 17 percent of general government fiscal revenues in 2036 (at current rates), less than is currently needed to fill the budget deficit or service the public debt.

As part of its OGP National Action Plan (2023–2025), the Government of Malawi commits to developing a Sovereign Wealth Fund. Before embarking on this journey, the OGP Taskforce thought it wise to first conduct a feasibility study on the establishment of such a SWF.

The report says as major mining projects advance and new investors show interest, Malawi has a window of opportunity to get its policies right. The insights and consensus built during the consultations will inform a sustainable, inclusive approach to resource management that can serve the nation for generations to come.

Scores of people including journalists paid their last respect to veteran journalist Francis Tayanja Phiri as he was laid to rest on Tuesday, January 27, at Stella Maris Cemetery in Blantyre. Tayanja, a renowned journalist specialized in feature writing died on Sunday, January 25, at Queen Elizabeth Central Hospital in Blantyre after battling with high blood pressure and diabetes.

He worked with a number of media houses including Blantyre Newspapers, Nation Publications and recently Mining Review Publications as our Southern Region Correspondent.  

Weekend Nation Editor Steve Nhlane, who had worked with him at Malawi News Agency, Times group as well as Nation Publications Limited described the deceased as resourceful besides being humble.

Nhlane, who also worked with Tayanja at the defunct Star newspaper, appealed to the current generation of journalists to emulate his life style and professionalism.

"I started working with Tayanja in the early 1980s and I worked with him at Times group and Nation. One thing that made him special is his passion to read books which reflected in his work," he said.

Mining Review Publications Publishing Editor Marcel Chimwala said he was at a loss for words on the sudden demise of Tayanjeh saying the media fraternity has lost a creative force. Media Institute of Southern Africa (MISA) Malawi Chairperson Golden Matonga said Tayanjah will be remembered for mentoring many up-and-coming journalist in many years of dedication to journalism.

“He was one of the finest newspaper feature writers in Malawi. MISA Malawi and the entire media fraternity in Malawi will dearly miss him,” he said.

Born in 1967, Tayanja hailed from Salima District and is survived by three children.