Keypoints:
- MeTL plans a $275m graphite investment
- Commercial production could begin within 18 months
- Local battery processing remains the bigger prize
TANZANIAN industrialist Mohammed Dewji is preparing a $275m move into graphite mining, placing one of East Africa’s largest home-grown conglomerates inside the intensifying global contest for battery materials.
Dewji’s MeTL Group expects commercial production from its graphite project to begin within 18 months, according to a Bloomberg report. The longer-term ambition is to move beyond mining and produce higher-value battery-grade material for customers outside China.
The investment matters because it is being led by African capital rather than another foreign mining company. It will test whether Tanzania can use its mineral deposits to build local industrial capacity instead of remaining mainly a supplier of raw or lightly processed commodities.
Dewji sets 18-month production target
The project’s initial output is expected to have a purity level of about 94 percent.
That material is likely to be sent to Chinese refiners while MeTL develops the technology and expertise required to manufacture an upgraded battery-grade product.
Dewji said the company was already working with European partners to understand the technical specifications demanded by battery manufacturers.
Members of the MeTL team have also travelled to China to identify suitable processing technology.
‘I am already working very, very closely with some European partners to be able to understand what quality of a product they require,’ Bloomberg quoted Dewji as saying.
MeTL eventually hopes to sell upgraded graphite directly to customers in Europe, Japan and South Korea.
That would move the company into a far more demanding part of the supply chain. Battery manufacturers require graphite that has been purified and processed to precise standards before it can be used in lithium-ion battery anodes.
Processing is the bigger prize
Graphite receives less public attention than lithium and cobalt, but it remains an essential component of most lithium-ion batteries.
The IEA said demand for graphite, nickel, cobalt and rare earth elements each grew by about 6 to 8 percent in 2024, driven largely by electric vehicles, battery storage and renewable-energy infrastructure.
The global lithium-ion battery market exceeded $150bn in 2025, according to the agency, although falling battery prices and intense competition continued to put pressure on producers.
China remains dominant in graphite processing and the production of battery-grade anode material. The IEA expects the country to account for about 80 percent of battery-grade graphite supply in 2035.
MeTL’s decision to use Chinese refiners during the early stages therefore reflects the structure of the industry. Tanzania may possess significant graphite resources, but China still controls much of the technology, production capacity and commercial network needed to transform mined material into battery components.
The decisive question is whether MeTL can eventually establish more of that processing in Tanzania.
Tanzania’s graphite sector expands
Dewji is entering the industry as Tanzania’s graphite sector begins to attract more investment.
New projects have strengthened the country’s prospects as a producer of natural graphite. The Lindi Jumbo mine, for example, was designed with annual capacity of about 40,000 tonnes of graphite concentrate.
Tanzania, Mozambique and Madagascar are increasingly being viewed as alternative suppliers as battery manufacturers and governments seek to reduce their dependence on China.
The opportunity forms part of a broader struggle over Africa’s role in the global critical-minerals race.
The continent holds large deposits of graphite, lithium, cobalt, copper and manganese. Yet much of that mineral wealth continues to leave African ports without undergoing the advanced processing that generates the greatest industrial value.
Several African governments are responding with local-processing requirements, export restrictions and incentives for refineries.
Zimbabwe, for example, is seeking to expand battery-grade lithium production as part of its effort to retain more value from its mineral resources.
Dewji’s investment could offer Tanzania a private-sector route towards a similar objective.
African ownership changes the story
MeTL is one of East Africa’s largest privately owned conglomerates, with interests spanning agriculture, food production, textiles, logistics, financial services and consumer goods.
The group operates across 11 African countries and employs more than 40,000 people. Dewji wants to more than triple its annual revenue to $10bn by 2035.
Graphite is one part of that expansion. MeTL is also increasing its agricultural investments and moving into luxury tourism, including plans for an island resort near Zanzibar and a high-end lodge in the Serengeti.
Mining, however, carries greater strategic significance.
If successful, the graphite venture would place a major African-controlled company inside a supply chain largely dominated by Chinese processors and foreign-owned mining businesses.
Commercial success is still likely to depend on reliable electricity, efficient transport links, technical expertise and long-term agreements with buyers.
Graphite markets can also be volatile, particularly when abundant Chinese supply pushes down prices.
Environmental safeguards will be equally important. New mines, roads and processing facilities can create jobs and exports, but they can also place pressure on forests, water resources and surrounding communities.
Africa Briefing has previously examined how the critical-minerals rush could threaten African forests if investment expands without strong environmental oversight.
A test of Tanzania’s ambitions
Mining graphite would generate jobs and export revenue. Producing battery-grade material inside Tanzania would create greater industrial value and technical expertise.
It could also demonstrate that African companies do not have to remain spectators as global powers compete for the continent’s resources.
The project’s success will therefore be measured not only by how much graphite MeTL mines, but by how much processing Tanzania is ultimately able to retain.
