The global transition to green energy is fundamentally reshaping the mining and metals sector. As economies strive to reduce carbon emissions and embrace renewable energy, demand for critical minerals such as lithium, cobalt and rare earth elements has skyrocketed. These minerals are essential for batteries, solar panels and other clean energy technologies, making them pivotal in the fight against climate change.

Gauteng, South Africa’s economic powerhouse, is uniquely positioned to become a leader in the battery metals supply chain. With its well-established mining sector, advanced infrastructure and commitment to innovation, Gauteng can leverage its strengths to attract investment and drive the beneficiation of these critical minerals.

Global Surge in Demand

According to The Rare Metals War author Guillaume Pitron, more mineral ores will be mined in the next 30 years than in the last 70 000 years combined. This surge is driven by the exponential demand for minerals needed to support the global energy transition. The International Energy Agency’s  Critical Minerals Market Review highlights that from 2017 to 2022, the energy sector was the primary driver behind a tripling in lithium demand, a 70% increase in cobalt demand, and a 40% rise in nickel demand.

The Mining Indaba 2025, themed "Futureproofing African Mining, Today," reinforced these statistics, emphasising Africa’s role in supplying these critical minerals. Experts at the conference stressed the urgent need for African nations to move beyond extraction and focus on beneficiation and value-addition to maximise economic benefits. For Gauteng, this presents an opportunity to become a strategic hub for processing and exporting these vital materials, ensuring that raw minerals are refined locally before being sold on international markets.

Gauteng’s Competitive Advantage

Gauteng is already home to some of South Africa’s most advanced mining operations, and its infrastructure—including transportation networks, research institutions and financial hubs—makes it an attractive destination for investment in the battery metals sector.

The province is strategically positioned to:

• Develop processing and beneficiation capabilities – By refining lithium, cobalt and rare earth minerals locally, Gauteng can create new industries and jobs.
• Attract Foreign Direct Investment – With a stable regulatory environment and government incentives, Gauteng can position itself as a prime location for mining investors.
• Drive innovation in green mining technologies – Research and development in sustainable mining practices can set Gauteng apart as a leader in environmentally responsible resource extraction.

Success Stories from Gauteng

Several initiatives and companies in Gauteng have already demonstrated success in battery metals beneficiation:

• Bushveld Minerals, headquartered in Gauteng, has expanded its vanadium mining operations, making it a key player in battery storage solutions for renewable energy.
• The Council for Scientific and Industrial Research has launched projects focused on developing locally produced lithium-ion battery technologies, reducing dependency on foreign supply chains.
• Mintek, South Africa’s national mineral research organisation, has led several programmes aimed at refining critical minerals and improving the efficiency of mineral beneficiation in the province.

Financing the Future of Mining

The mining industry is shifting from traditional funding models to innovative financing solutions to support the scale of exploration and operations required for the energy transition.

• Mining companies are increasingly turning to:
• Private equity and venture capital
• Joint ventures and strategic partnerships
• Project financing and bonds
• Royalties, streaming and prepayments

Royalties and streaming agreements, in particular, are gaining traction in South Africa, allowing mining companies to secure upfront capital while deferring tax payments, making them an attractive option for financing new projects.

Sustainability and the Just Energy Transition

As Gauteng strengthens its role in the battery metals supply chain, sustainability must remain a core focus. The mining sector is responsible for 4% to 7% of global greenhouse gas emissions, making it imperative for companies to adopt cleaner energy sources and reduce their environmental footprint. One of the most promising solutions is microgrid technology, which integrates renewable energy sources such as solar, wind and battery storage to provide a stable power supply for mining operations.

The Rise of Microgrid Technology

• Higher resilience – Ensures a reliable power supply, reducing operational downtime
• Supports electrification of mining equipment – Transitioning from diesel to electric machinery can significantly lower emissions.
• Optimised energy use – Smart microgrid solutions enhance energy efficiency and lower costs.

Several African countries, including Kenya, Tanzania, Zambia and South Africa, are rapidly adopting microgrids to enhance energy resilience in mining operations. Gauteng’s push for renewable energy adoption in the mining sector could serve as a model for sustainable mining practices across the continent.

The Road Ahead

As the world accelerates its shift toward clean energy, Gauteng has a unique opportunity to become a key player in the global battery metals industry. By leveraging its mining expertise, infrastructure and government support, the province can attract investment, drive beneficiation and create a sustainable mining ecosystem that aligns with global energy transition goals.

InvestSA Gauteng stands ready to facilitate partnerships and investments that will unlock the full potential of the province’s mineral wealth. By fostering innovation, embracing sustainable practices and ensuring inclusive economic growth, Gauteng can play a transformative role in shaping the future of mining for the green energy revolution.

Insights supplied by InvestSA Gauteng One-Stop-Shop, an initiative within the Gauteng Growth and Development Agency (GGDA); the implementation arm of the Gauteng Department of Economic Development, tasked with leading, facilitating and managing sustainable job creation and inclusive economic growth in the Gauteng City region.