Parliament wants speed on Songwe rare earth project

Malawi’s push to unlock greater value from its critical minerals sector is gathering momentum, with lawmakers calling for faster progress towards production at Songwe Hill Rare Earths Project in Phalombe District. Speaking on Saturday during a project tour, Parliamentary Committee on Natural Resources, Energy and Climate Change chairperson Tiaone Hendry emphasised the need to accelerate development of the project, warning that delays could slow efforts to harness the economic potential of rare earth minerals. He said the project, owned by Toronto Stock Exchange-listed Mkango Resources Limited, represents one of Malawi’s most promising mining investments and urged stakeholders to move swiftly toward production.

“Commencement of production is paramount,” she said, noting that the project could generate employment, foreign exchange earnings, royalties and tax revenues while also supporting community development. Mkango Resources Limited country director Burton Kachinjika told the delegation that three key areas require government support to ensure timely development. He said they need about 25 megawatts of reliable electricity and construction of a 95 kilometre high-voltage transmission line from Blantyre to the mine site, upgrading of the Migowi to Songwe access road and streamlined permitting processes before construction.

He said the project is among a limited number of rare earth projects globally that have advanced to a definitive feasibility study compliant with the internationally recognised standards. In July 2024, Mkango Resources Limited through its subsidiary Lancaster Exploration Limited, signed a mine development agreement with the Malawi Government, establishing the legal and fiscal framework for the project. The company is currently undertaking front-end engineering and design, a detailed engineering stage designed to reduce construction risks before full-scale development begins.

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The programme is expected to take about nine months, after which construction of mine infrastructure, a beneficiation plant and a hydrometallurgical processing facility could begin. Total investment in the project is estimated at around $400 million, with construction targeted for 2027. Department of Mines acting Principal Secretary Andrew Chisamba said the government was committed to supporting the project and noted that national power generation initiatives could help meet the mine’s energy requirements.

Rare earth minerals are increasingly important in global supply chains as they are used in technologies such as renewable energy systems, electric vehicles, advanced electronics and aerospace equipment. If developed successfully, the Songwe Hill project could position Malawi as an emerging player in the global supply of critical minerals.

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