Mkango to Process Rare Earth Minerals in Malawi - Malawi News | Breaking News, Politics, Business & Sports | Nyasa Times
Mkango Rare Earths Limited has pledged to process its rare earth minerals in Malawi before export, aligning its operations with the government’s policy of promoting local value addition in the mining. . .
Mkango Rare Earths Limited has pledged to process its rare earth minerals in Malawi before export, aligning its operations with the government’s policy of promoting local value addition in the mining sector. Minister of Mining Thoko Tembo visits Mkango Rare Earths project at Songwe Hill in PhalombeMinister of Mining Thoko Tembo made the remarks after touring the Mkango Rare Earths project at Songwe Hill in Phalombe District on Sunday, where he assessed progress towards the project’s mining licence. He commended the company for meeting the requirements for licensing and reaffirmed government’s commitment to working with investors to position Malawi as a globally competitive mining destination. “We are working closely with Mkango on licensing. Following the moratorium, we are ensuring the right regulations and legislation are in place to enable clear and transparent operations for both government and Mkango,” said Tembo. Mkango Founding Director and President Alexander Lemon said the Songwe Hill project is on course to become one of Malawi’s most significant mining investments, with value addition taking place entirely within the country. “Value addition will be done right here in Malawi. Songwe will produce a high-value Mixed Rare Earth Carbonate (MREC) at the mine site before it is exported to international markets, making it a major source of foreign exchange for the country,” said Lemon. He added that the project will also produce about 75,000 tonnes of gypsum annually as a by-product, a development expected to support Malawi’s construction industry by reducing the cost of building materials. Once operational, the mine is projected to create around 500 permanent jobs, while the construction phase is expected to employ approximately 1,200 people. The development supports President Peter Mutharika’s policy of ending the export of raw minerals and ensuring Malawi benefits from local mineral processing. In Executive Order No. 2 of 2025, Mutharika prohibited the export of unprocessed minerals, arguing that Malawi’s mineral resources should drive industrialisation, job creation and economic growth through value addition. “I will not allow exportation of raw materials from our mines. Raw materials have to be processed here. Those involved in illegal mining or abuse, your days are numbered,” Mutharika declared during the swearing-in of Cabinet ministers at Sanjika Palace. The President has also expressed confidence that properly managed mining projects, including Kasiya in Lilongwe and Kangankunde in Balaka, could generate about US$500 million annually for the country. In his 2026/27 State of the Nation Address, Mutharika announced plans to establish a sovereign wealth fund, suspended the issuance of new mining licences and maintained a ban on raw mineral exports pending a review of the country’s mining laws. Mkango says its Songwe Hill project complies fully with the Executive Order because it will export a processed Mixed Rare Earth Carbonate, rather than raw ore, meaning the project falls within the government’s value-addition framework. Follow and Subscribe Nyasa TV :