The global data center market is expected to triple by 2034.
South Africa’s data center market is expected to see $1.5 billion in new investment in 2026, creating demand for critical minerals and construction materials.
The DRC is implementing a special economic zone program aimed at attracting investment by capitalizing on the growing demand for iron ore from data center applications.
The rapid build-out of AI-powered data centers is reshaping global demand for critical minerals, with copper emerging as a key beneficiary. According to the International Energy Agency, AI data centers alone could account for 2% of global copper demand by 2030, with more than 4.3 million tonnes expected to be used in data centers and associated power infrastructure by 2035. For African mineral producers, this opens the door to increased investment, deeper integration into global supply chains and stronger long-term demand for exports. But is the continent ready to meet this demand?
Data centers boost demand for minerals in Africa
By 2030, AI centers could account for 2% to 3% of global demand for copper, cobalt, and nickel. And this demand doesn’t just come from overseas. Data centers in Africa are also impacting the region’s mineral demand, with up to 56 new facilities set to launch across Africa by 2027. In South Africa, around $1.5 billion of new investment is expected to flow into the sector by 2026, increasing demand for copper, lithium, rare earths and construction materials. An example is that xneelo began construction on a new facility in Johannesburg in early February. The facility is scheduled for completion in October 2026 and will take South Africa’s portfolio of more than 56 data centers, the largest on the African continent.
Africa’s mining sector is already responding
Africa’s mining sector has already begun to respond to global demand trends. South Africa, for example, has outlined plans to raise R2 trillion over the next five years to develop its significant mineral sector, which includes R40 billion worth of untapped iron ore for steel production. Zambia plans to increase copper production to 3 million tonnes per year by 2031 to meet growing demand for copper, including demand from AI data center applications.
In the Democratic Republic of Congo, Africa’s largest copper producer, demand for data centers complements the government’s $28 billion multi-year special economic zone program aimed at increasing domestic steel production. Louis Watum Kabamba, Democratic Republic of the Congo’s Minister of Mines, spoke in Cape Town in mid-February and highlighted how data centers are impacting the country’s mining prospects. “We built nearly 120 data centers around the world last year, and we are looking at how we can benefit from the increased demand for steel, copper, etc.,” he said.
Energy storage and power expansion
The growth of data centers is also directly impacting energy storage and power markets around the world. Data center power demand is expected to increase by 175% by 2030, highlighting the need for power generation resources and associated materials such as lithium, cobalt, and graphite. Countries across Africa are well positioned to take advantage of this trend. Zimbabwe for lithium, the Democratic Republic of the Congo for cobalt, and Tanzania and Madagascar for graphite and rare earths. With a projected 40% global shortage of lithium by 2035 due to increased demand for energy storage applications, these countries are well-positioned to attract investment, ramp up production and increase exports.
What’s next?
Data center growth presents significant economic opportunities, but Africa needs to ensure its mining sector is ready for it. This means accelerating permitting and project development timelines, strengthening power and logistics infrastructure, and expanding smelting, refining and battery precursor facilities to preserve greater value onshore. As global data center expansion reshapes commodity markets, Africa’s ability to attract capital into mining and downstream processing will determine whether the continent remains a supplier of raw materials or emerges as a strategic hub in the digital economy’s critical mineral value chain.
