Highlights

• Mawei Mining Company's parent entity underwent two ownership transfers between 2023-2025, placing control under Chinese state-linked firms Shandong Zhaojin and Hainan International Resources without notifying Malawi's mining authorities as legally required.
• Despite holding a 350-million-tonne heavy mineral sands concession containing strategic rare-earth-bearing monazite near Lake Malawi, the site remains dormant with no operational mine or production since the promised 2020 timelines.
• The case illustrates how weak mining registries and under-resourced African regulators create governance arbitrage opportunities for patient state-backed capital, turning stalled concessions into long-term strategic leverage rather than immediate supply-chain dominance.

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An investigative report by Finance Uncovered (opens in a new tab) and Malawi’s Platform for Investigative Journalism details how Mawei Mining Company Ltd., holder of a vast heavy-sands concession near Lake Malawi, quietly shifted into full Chinese state control—without Malawi’s mining authorities being notified.

The facts are striking: ownership of Mawei’s parent entity changed twice between 2023 and 2025, moving control to two Chinese state-linked firms, while Malawi’s legally required approval process appears to have been bypassed. The Ministry of Mining has since acknowledged it was unaware and has opened a probe.

What the Rocks Tell Us (and What They Don’t)

The deposit itself is real. Surveys cite ~350 million tonnes of ore-bearing zircon, ilmenite, magnetite, titanium minerals, and monazite—a rare-earth-bearing mineral. In supply-chain terms, this matters less for near-term magnet output and more for long-dated optionality: heavy mineral sands can be strategic feedstock if developed, separated, and financed over decades. That development, however, never materialized. Promised timelines (operations by 2020) slipped; community benefits failed to arrive; the site appears dormant.

Corporate Shell Games, African Rules

Here, the reporting is strongest. Malawi law requires ministerial approval for changes in beneficial ownership. Public Chinese filings show transfers that consolidated Mawei under Shandong Zhaojin Ruining Mining Industries Co. (opens in a new tab) (municipal-state controlled) alongside Hainan International Resources (opens in a new tab) (provincial SOE). The claim that “nothing changed” because the immediate owner remained the same strains credulity against standard African mining statutes designed to protect national assets. If confirmed, penalties—or even license risk—are plausible.

Where the Narrative Overreaches

Some framing leans toward inevitability: “China took over Malawi’s minerals.” The evidence supports ownership consolidation, not production dominance. With no operating mine, no separation plant, and no export stream, this is control without throughput. Its influence, not output. The geostrategic leap from stalled concession to supply-chain capture should be treated cautiously.

Why This Still Matters for REEs

The notable signal isn’t tonnage shipped; it’s governance arbitrage. Weak registries, offshore holding structures, and under-resourced regulators create asymmetries that favor patient, state-backed capital. Over time, optionality compounds. For investors, Malawi illustrates a familiar pattern across Africa: geology plus opacity equals leverage—eventually.

The Media

Finance Uncovered is a non-profit network for investigative journalists, co-founded and co-directed by Nick Mathiason, funded by foundations like The Reva and David Logan Foundation, and operates as a company limited by guarantee with charitable objectives, not owned by a single entity but by its mission and network. It provides journalists with training and resources to investigate financial crime, tax evasion, and corruption worldwide.