Zimbabwe is set to complete Africa’s first lithium sulphate plant, led by Prospect Lithium Zimbabwe (PLZ), the nation’s top lithium producer, with funding from Chinese high-tech company Zhejiang Huayou Cobalt Co. The plant, located at Huayou’s Bikita Mine, has now entered the equipment commissioning phase, marking a key milestone in the $500 million investment.
The project is delivering substantial socio-economic benefits in addition to industrial output. Beyond supporting Zimbabwe’s broader industrialization efforts, it is boosting local infrastructure, environmental management, healthcare, education, and community development.
“This project goes beyond a production facility; it is a driver of economic transformation,” said a company spokesperson. “It highlights how industrial investment can generate jobs, empower communities, and connect Zimbabwe to global supply chains.”
In October 2025, Zhejiang Huayou Cobalt announced that the plant would begin producing lithium sulphate in the first quarter of 2026. The facility is expected to produce more than 60,000 metric tons annually.
“We aim to start production early next year,” Prospect Lithium Zimbabwe General Manager Henry Zhu said, adding that the final output will depend on the plant’s configuration as it is newly established.
Lithium, often dubbed “white gold,” is a vital component in the production of rechargeable batteries for electric vehicles (EVs) and renewable energy storage systems.
The launch of a lithium sulphate plant marks a significant upstream shift for Zimbabwe, moving from exporting raw ore to producing a refined, high-demand product. This enables the country to capture greater value from its mineral resources.
This strategic investment is expected to strengthen Zimbabwe’s role in the global transition to clean energy technologies and could spur further industrialization in its resource-driven economy.
Zimbabwe continues to solidify its position as Africa’s leading lithium producer, driving rapid growth across the continent’s key mineral sector. The country led the continent in lithium production in 2024, and by 2030, output is projected to reach 160,000 tonnes of lithium carbonate equivalent, outpacing other regional producers.
In the first half of 2025, Zimbabwe exported 586,197 metric tonnes of lithium spodumene concentrate, up 30% from 451,824 metric tonnes during the same period in 2024. This growth occurred despite a steep global price drop, with lithium prices falling from over US$80,000 per ton in 2022 to US$8,450 per ton by June 2025—a 90% decline.
Chinese companies have invested around US$1.4 billion in Zimbabwe’s lithium sector since 2021. Key players include Huayou Cobalt, Sinomine Resource Group, Chengxin Lithium, Yahua Group, and Tsingshan Holdings.