Botswana’s base metal exports reached an impressive P7.63 billion between January and September 2024, surpassing the P6.96 billion recorded for the entire year of 2023. This remarkable growth is attributed to increased local copper and nickel production as well as escalating global demand for these metals, driven by their pivotal role in the global energy transition.
Record-Breaking Growth in 2024
Data from the Bank of Botswana highlights a steady rise in copper and nickel exports throughout 2024, with a peak of over P1 billion recorded in May. On average, exports totaled P847.4 million per month in the first nine months of 2024, significantly higher than the P535.9 million monthly average recorded during the same period in 2023.
The growth is fueled by Botswana’s expanding mining operations, including Khoemacau Copper Mine, Sandfire Resources’ Motheo Copper Mine, and Kopano Copper.
Key Mining Contributors
- Khoemacau Copper Mine
Since producing its first concentrate in June 2021, Khoemacau has become a key player in Botswana’s mining sector. The mine is finalizing plans for a $700 million expansion to double its output to 130,000 tonnes annually by 2026. In addition, the mine has acquired Discovery Metal’s processing facility at Boseto and plans further capacity upgrades. - Sandfire Resources’ Motheo Copper Mine
Commissioned in 2023, this mine initially produced 20,000 tonnes annually but expanded to 40,000 tonnes in 2024. It has been instrumental in boosting Botswana’s copper exports. - Kopano Copper (formerly Mowana Mine)
Under new ownership by Max Power Limited, the rebranded Kopano Copper Mine has maintained steady production volumes, further contributing to the country’s export performance.
Broader Economic Impact
The surge in base metal exports is helping offset a broader slump in Botswana’s mining revenues, particularly in the diamond sector, which has faced declining performance since the third quarter of 2023. With diamonds struggling to recover, the strong receipts from copper and nickel are providing much-needed support to the economy.
Future Outlook
Botswana’s base metal sector shows promise for sustained growth as global demand for copper and nickel continues to rise. These metals are vital for renewable energy infrastructure, electric vehicles, and other technologies central to the energy transition.
As Khoemacau and other mining projects expand their operations, Botswana is poised to solidify its position as a key player in the global base metal market, bolstering economic diversification and reducing reliance on diamonds.
This upward trajectory underscores the potential for Botswana’s mining industry to adapt and thrive amidst shifting global demands.
