Lifezone Metals signs Musongati nickel deal, boosting regional refining ambitions

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Lifezone Metals (NYSE: LZM)  has signed a 14-month exclusivity agreement with Burundi to develop the country's Musongati nickel laterite deposit, with the option to extend. Nickel is a key battery metal used in electric vehicle supply chains and stainless-steel production. The deposit is located roughly 200 kilometres south-west of Kabanga, and is part of the larger East African Nickel Belt , which also includes Lifezone’s Kabanga Nickel Project . Musongati contains an estimated 150mn metric tonnes of ore, with an average nickel grade of 1.31%, copper at 0.21%, and cobalt at 0.09%. Lifezone is the parent company of Tembo Nickel Corporation, which is already developing the Kabanga nickel project in neighbouring Tanzania . The agreement was signed in Washington, D.C. , by Lifezone Metals CEO Chris Showalter and Burundi’s Minister of Mineral Resources, Energy, Industry, Trade and Tourism , Dr Hassan Kibeya, in the presence of US Deputy Assistant Secretary of State for Central Africa and Commercial Engagement, Sarah Troutman . 'As a NYSE-listed entity, Lifezone is ideally positioned to become the supplier of choice for the United States’ and partner nations of FORGE for nickel, a critical metal deemed vital to the U.S. economy and national security, and one which faces potential risks from disrupted supply chains,' Showalter commented. ' East Africa is home to one of the world’s richest mineral complexes, the East African Nickel Belt , and, thanks to significant infrastructure investment in recent years, the deposits within it are becoming economically exploitable and competitive on a global scale. 'Our flagship Kabanga project has already seen this occur, with significant energy and rail infrastructure now in place to unlock this tier-1 asset. We believe that today’s agreement between these key signatories can also unlock the latent potential of Musongati.' Representatives from KoBold Metals were also in attendance, signing a Memorandum of Understanding with Burundi regarding the digitisation of the country’s geological data. The company uses advanced artificial intelligence and data-driven technology to identify deposits of critical minerals. Now under construction, the Tanzania-Burundi-DR Congo Standard Gauge Railway will transport nickel from Tembo Nickel’s Kabanga and Kahama operations, as well as Musongati output, to the Port of Dar es Salaam, strengthening regional logistics. The Kahama Refinery in the Buzwagi Special Economic Zone in Tanzabia will use Lifezone Metals’ Hydromet Technology to produce battery-grade nickel with copper and cobalt byproducts, potentially making it a central hub for the East African Nickel Belt . The Tanzanian government holds a 16% non-dilutable stake in Tembo Nickel , ensuring direct equity participation in the facility. Kabanga alone is expected to generate 1,090 direct jobs, 91% for Tanzanians, alongside thousands of indirect roles. East Africa has increasingly attracted investment in nickel and other battery metals, critical for global electric vehicle supply chains, with infrastructure projects like the SGR enabling cross-border trade. © 2026 bne IntelliNews, source Magazine

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