- The US is racing to catch up with China for supplies of metals (cobalt, lithium) used in electric car batteries, laptops and smartphones.
- A state-backed Saudi venture would buy stakes in mining assets worth $15 billion in African countries such as the Democratic Republic of Congo, Guinea and Namibia.
The United States and Saudi Arabia are discussing plans to secure metals needed for their energy transitions in Africa. The Wall Street Journal reported this, citing people who know about the meetings. A state-backed Saudi venture would buy stakes in mining assets worth $15 billion in African countries such as the Democratic Republic of Congo, Guinea and Namibia. The report added that these stakes would permit US companies to have rights to buy some of the production.
The US is racing to catch up with China for supplies of cobalt, lithium and other metals used in electric car batteries, laptops and smartphones. In a similar arrangement in July, Saudi Arabian Mining Co (Ma’aden) 1211.SE and the Saudi Public Investment Fund (PIF) acquired 10 per cent of Brazilian Vale’s base metal unit, while US investment firm Engine No. 1 acquired 3 per cent.
The newspaper said the PIF approached Congo in June about investing in cobalt, copper and tantalum in the country through its $3 billion joint venture with Ma’aden called Manara Minerals. Manara is also focusing on iron ore, nickel and lithium.
The Journal added that the White House seeks the financial backing of other sovereign-wealth funds in the region, but talks with Saudi Arabia have progressed the farthest. The Saudi government and The White House did not immediately respond to a request for comment by the Journal.