Staff Reporter
NAMIBIA’S growing role as a key player in the global critical minerals sector has received a major boost after Japan committed up to 47.668 million Canadian dollars (approximately N$562.95 million) towards the development of the Lofdal heavy rare earth project in the Kunene Region — a landmark venture that represents Japan’s first rare earth mining development project in Africa.
The investment, aimed at advancing feasibility studies ahead of a final decision on commercial mining, is expected to strengthen Namibia’s position in the global supply chain for critical minerals while supporting Japan’s long-term access to strategic rare earth resources.
The investment was announced by the Japan Organization for Metals and Energy Security (JOGMEC) and Toyota Tsusho Corporation, which have established a special purpose company, TJ Namibia Rare Earths Corporation (TJ), to advance the project. JOGMEC made its initial investment on 23 July 2026.
LOFDAL VISIT: Japanese Ambassador to Namibia Shinichi Asazuma, accompanied by a delegation from Japan’s Ministry of Economy, Trade and Industry (METI) and the Japan Organization for Metals and Energy Security (JOGMEC), inspects the Lofdal Heavy Rare Earths Project in the Kunene Region during a visit on 12 February 2026. Photo: Embassy of Japan in Namibia
The Lofdal project, located in the Kunene Region, is regarded as one of the world’s significant heavy rare earth deposits, containing minerals such as dysprosium and terbium, which are essential for the production of permanent magnets used in electric vehicle motors and other advanced technologies.
The project was launched in 2020 through a partnership between JOGMEC and Canadian company Namibia Critical Metals Inc. In March 2026, Toyota Tsusho joined the project as a joint development partner following a competitive bidding process for part of JOGMEC’s interest.
Through TJ Namibia Rare Earths Corporation, JOGMEC and Toyota Tsusho are currently undertaking a Definitive Feasibility Study (DFS), with a final investment decision on commercial production targeted during Japan’s 2026 financial year.
Toyota Tsusho said the partnership aims to advance feasibility studies and prepare the project for future commercial development while strengthening Japan’s critical mineral supply chains.
JOGMEC said it will continue supporting Japanese companies involved in overseas resource development to secure a stable supply of strategic minerals, including rare earth elements, for Japan.
