A Beijing-based company has announced plans to set up a new entity to develop a major alumina refinery in Guinea, marking another step in China’s expanding influence across Africa’s mineral-rich economies.
The proposed project will see the construction of a 1.2 million-ton-per-year alumina plant, further deepening investment ties in Guinea, which holds some of the world’s largest bauxite reserves.
Under the agreement, the Guinean government will acquire a 5% stake in the project at little or no cost, with an option to increase its ownership to as much as 35% at market value in the future.
The development is being led by Chalco and will serve as its first alumina refinery outside China, building on more than ten years of operations at its Boffa bauxite mine in Guinea. However, the project is still subject to regulatory approvals and shareholder consent.
The move reflects a broader trend of Chinese companies, including China Hongqiao Group, expanding deeper into Africa as China seeks to secure stable long-term supplies of raw materials for its aluminium industry.
China currently produces more than half of the world’s aluminium, but domestic output constraints and environmental regulations have pushed firms to invest overseas, particularly in resource-rich regions like West Africa.
Guinea, in turn, has been increasing pressure on mining companies to add more value locally by processing raw bauxite into alumina within its borders rather than exporting it in its raw form.
Despite its vast resources — accounting for nearly 29% of global bauxite reserves — Africa still contributes less than 1% of global alumina refining capacity, highlighting a long-standing gap in industrial development across the continent.
However, the push for local processing has not been without friction. Last year, Guinea revoked a major bauxite licence held by a subsidiary of Emirates Global Aluminium, citing regulatory breaches — a decision the company strongly disputed.
Across the continent, countries such as Guinea, Ghana, Cameroon, and Nigeria are now actively pursuing large-scale refinery projects as part of broader efforts to industrialise their mining sectors and reduce dependence on raw material exports.
