- Appian plans about $2 billion of investment in Africa over 12 to 24 months.
- CEO says policy uncertainty is steering capital toward Latin America.
- Firm rates Morocco, Namibia and Botswana as top-tier jurisdictions.
- Appian is in talks with the EBRD on critical minerals funds.
MINING private equity firm Appian Capital Advisory plans to invest about $2 billion in Africa over the next 12 to 24 months, but its chief executive says policy uncertainty is steering more capital toward Latin America.
London-based Appian expects to deploy $5 billion to $7 billion globally in that period, CEO Michael Scherb said in an interview this week. Africa would account for roughly a third of the total.
“The geology doesn’t change, but government policy does,” Scherb said.
He said African governments have tightened control over their mining sectors in recent years by revising mining codes, raising royalties and demanding greater local participation as they seek a larger share of mineral revenue.
Latin America has generally kept more stable fiscal and permitting regimes, he said, despite resource nationalism in major producers such as Chile, Peru and Mexico.
Appian has three active investments in Africa and has exited three others, including projects in Burkina Faso and Tanzania amid political instability. It has four active investments in Latin America, mainly in Brazil.
Scherb said Appian sees Morocco, Namibia and Botswana as top-tier mining jurisdictions. The firm is evaluating opportunities in Ghana, Ivory Coast, Mauritania and Senegal.
African countries could capture a significantly larger share of global mining investment by streamlining permitting and making policy more predictable, he said.
Appian invests in gold, copper, zinc, rare earths and other critical minerals. It launched a partnership last year with the World Bank’s International Finance Corporation, which is targeting up to $1 billion for mining and related investments in emerging markets, focused on Africa and Latin America.
In a separate interview, Appian executive Paulo Castellari said the firm is in talks with the European Bank for Reconstruction and Development and others on funds to invest in critical minerals projects. He said Appian would also look at investing in processing assets.
The EBRD confirmed discussions were ongoing. “We do not comment on potential transactions before they are concluded,” a spokesperson said.
