Tanzania Launches First Nickel and Copper Refinery in Dodoma, Signaling Shift to Value-Added Mining

Tanzania has taken a major step toward transforming its mining sector with the launch of the country’s first nickel and copper refining and processing plant, a project valued at over USD 15 million (approx. TSh 30 billion).

The facility, located in Zamahero Village, Bahi District, is being developed by Zhongzhou Mining Co. Ltd and will require more than 280,000 tonnes of raw materials annually. Once operational, it is expected to generate 300 direct jobs and additional employment through its supply chain.

From Raw Exports to Value Addition

Minerals Minister Anthony Mavunde, who laid the foundation stone, said the project aligns with President Samia Suluhu Hassan’s directive that Tanzania must no longer export raw minerals but instead focus on refining and producing higher-value products.

“This marks a turning point for Tanzania. We are moving from exporting raw materials to producing refined mineral inputs for global industries, particularly the technology market,” Mavunde said.

Nickel and copper are critical minerals for electric vehicle batteries, renewable energy systems, and electronic manufacturing. By refining locally, Tanzania stands to capture more value in global supply chains rather than relying on exports of unprocessed ore.

Economic Impact

The project’s contribution will be both local and national:

• Revenue Growth: The Bahi District Council will collect levies, while central government revenues will increase through taxes and royalties.
• Community Development: The company has pledged to support surrounding communities with schools, health services, and other social infrastructure.
• Technology Transfer: The plant will introduce modern refining technologies, creating opportunities for skills development in Tanzania’s workforce.

Mining Commissioner AbdulRahman Mwanga described the investment as a milestone, noting it will be the first facility to refine nickel domestically. “Local value addition means more jobs, higher national income, and stronger economic linkages,” he said.

Industry Momentum

The Dodoma project comes at a time when Tanzania is accelerating its push for domestic mineral processing:

• The country already has eight gold refineries producing 99.99% pure gold.
• Five additional nickel and copper processing plants are under construction in the Dodoma Region alone.

This rapid expansion reflects Tanzania’s bid to position itself as a value-added hub in Africa’s mining sector.

Supply and Sustainability

For the refinery to operate at full capacity, a steady raw material supply is critical. Chairperson of the Tanzania Base Metals Association (TBMA), Thobias Kente, urged the government to expand geological surveys in nickel- and copper-rich zones such as Haneti, Mpwapwa, and southern Tanzania. He also called on small-scale miners to increase output to feed the facility, which is slated to begin operations between October and November this year.

“This factory answers a long-standing demand. Miners are prepared to raise production and ensure a consistent supply,” Kente said.

Zhongzhou Mining Director, Lee Zhong Liang, affirmed the company’s commitment to working closely with both the government and local communities to ensure the refinery’s sustainability.

Outlook

With global demand for battery minerals surging, Tanzania’s move into refining signals a broader economic shift. Instead of exporting unprocessed ore, the country is positioning itself to participate in the fast-growing global energy and technology markets.

The nickel and copper plant in Dodoma is more than a single investment; it is a symbol of Tanzania’s intent to capture more value from its natural resources, boost fiscal revenues, and anchor industrial growth around its mining sector.