Botswana grants first manganese mining licence to Giyani

Close up of Manganese rock being moved on a conveyor belt

TORONTO-listed manganese developer Giyani Metals said on Wednesday it had been awarded a 15-year mining licence by the Botswanan government, a development that sets up the southern African country for first production of the battery-grade metal.

Giyani’s Kgwakwe Hill (K.Hill) project will process manganese oxide material on-site to produce high-purity manganese sulphate, making it one of the few battery-grade manganese projects outside China, said Reuters. The Asian country controls 90% of global high-purity manganese supply.

“The next step is production of battery-grade manganese from our demonstration plant, which is under construction in Johannesburg, South Africa,” the Canadian company said in a statement. Once the company proves the quality of its metal it will be able to sign all-important offtake agreements.

The K. Hill mine will have an initial annual output of 80,000 tons of high purity manganese sulphate monohydrate annually over a 57-year life, according to a 2023 preliminary economic assessment.

Manganese is a key component in batteries and its demand is expected to be driven by growth in electric vehicles, among other clean energy applications, said the newswire.

Botswana, the world’s biggest diamond producer by value, is heavily reliant on the gems, which contribute 30% of national revenues and 70% of foreign exchange earnings. The country is looking to diversify within the mining sector with minerals such as copper, nickel, coal and iron ore.

Apart from diamond mines, the country has two operating coal mines and three copper mines, said Reuters.

With global appetite for green minerals on the rise due to the energy transition, the demand for battery metals such as manganese is expected to reduce the country’s reliance on diamonds, it said.