Ngwala, Songwe —In a significant boost to Tanzania’s mining sector, Mamba Minerals Ltd has unveiled plans to build a state-of-the-art refinery for rare earth minerals in Ngwala Village, Songwe Region.
The facility is expected to process minerals locally, shifting away from the export of raw materials and marking a new chapter in Tanzania’s value addition strategy.
The announcement was made during the official launch of a compensation exercise for villagers affected by the project. The event was presided over by the Minister for Minerals, Anthony Mavunde, and attended by local government officials and community members.
Speaking at the event, Mamba Minerals Ltd CEO Mr. Ismail Diwani said the compensation package totals TSh 5.3 billion, benefiting 192 villagers, of whom 116 have already received their payments.
“This compensation marks a key milestone as we move toward full project implementation. Construction of the refinery will commence in December 2025, alongside a 12-megawatt power generation plant to support operations,” said Diwani.
Minister Mavunde commended Mamba Minerals Ltd for investing in value addition by refining rare earth minerals within Tanzania, aligning with President Dr. Samia Suluhu Hassan’s directive to promote local beneficiation.
“This project is not just about mining it’s about transformation. In addition to generating jobs, royalties, and local council levies, it is expected to contribute over TSh 12 trillion to government revenues throughout the mine’s lifespan,” the minister said.
He emphasized the government’s commitment to ensuring that the local community benefits meaningfully from the project through strong local content policies.
“With an estimated reserve of 18.5 million tonnes, this project ranks among the largest rare earth deposits globally. It positions Tanzania as a key player in supplying critical raw materials used in medical equipment, electronics, and wind energy technologies,” Mavunde added.
Songwe District Commissioner, Solomon Itunda, said the refinery will significantly boost the regional economy and elevate Songwe’s role as a key contributor to the national GDP through the mining sector.
“This is a transformative investment that will unlock Songwe’s potential and accelerate regional development,” said Itunda.
Residents of Ngwala welcomed the project with gratitude, praising President Samia for cultivating a conducive environment for investors and prioritizing local development.
