Appian targets $2bn for African mining investments despite policy concerns
Mining-focused private equity firm Appian Capital Advisory plans to invest approximately $2bn in Africa over the next 12 to 24 months, although growing regulatory uncertainty is prompting the firm to direct more capital towards Latin America, according to a report by Reuters.
Mining-focused private equity firm Appian Capital Advisory is planning to invest around $2 billion in Africa over the next 12 to 24 months. However, concerns over growing regulatory uncertainty are causing the firm to shift more capital towards Latin America, according to Reuters. The London-based investor expects to deploy between $5 billion and $7 billion globally during the period, with Africa accounting for roughly one-third of planned investments.
Appian currently holds three active investments on the continent, following exits in Burkina Faso and Tanzania due to political instability. Appian CEO Michael Scherb revealed to Reuters that changes in mining regulations, higher royalties, and increased state participation are reducing investor confidence in several African markets. The firm identifies Morocco, Namibia, and Botswana as favorable investment destinations, and is also exploring opportunities in Ghana, Ivory Coast, Mauritania, and Senegal.
Appian ventures into gold, copper, zinc, rare earths, and other critical minerals, with Scherb expressing optimism about copper demand driven by electrification, artificial intelligence, data centers, and power-grid expansion. He believes that greater regulatory predictability and streamlined permitting could assist African countries in capturing a larger share of global mining investment.
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