Abu Dhabi’s International Resources Holding (IRH) is considering acquiring an indirect stake in Alphamin Resources, a Toronto- and Johannesburg-listed tin mining company, according to Bloomberg News. This potential investment would mark another significant addition to IRH’s expanding portfolio in the mining sector.
Alphamin’s majority shareholder, Denham Capital, which holds a 57% stake in the company, is reportedly exploring the possibility of transferring its holdings into a new investment vehicle that could include IRH as a partner.
Alphamin operates the Bisie tin mine in the Democratic Republic of Congo (DRC), which is currently undergoing an expansion to produce approximately 20,000 tons of tin annually, representing about 6% to 7% of global tin output.
A recent visit by an IRH delegation to the Bisie mine highlights the seriousness of its interest. However, sources indicate that no agreement has been finalized, and discussions may not necessarily result in a deal.
Valued at C$1.5 billion ($1 billion), Alphamin has emerged as a key player in the tin market, distributing $115.5 million in dividends over 2022 and 2023. Tin’s increasing demand, driven by its critical role in electronics soldering and renewable energy technologies, has positioned Alphamin at the forefront of the industry.
Tin prices have risen by 14% this year, reaching around $29,000 per ton, with global annual demand expected to exceed 450,000 tons by 2035, according to Bloomberg News.
IRH, a subsidiary of International Holding Company (IHC) led by UAE National Security Adviser Sheikh Tahnoon bin Zayed Al Nahyan, has been expanding its presence in Africa. It recently partnered with South Africa’s Public Investment Corporation for joint ventures and previously outbid Sibanye-Stillwater to acquire Zambia’s Mopani Copper Mines.
Denham Capital, which has been Alphamin’s largest shareholder for over a decade, is open to forming new partnerships to sustain its investment in Bisie. “We’ve received considerable interest from multiple parties, but no definitive arrangements have been made,” said Rob Still, a partner at Denham Capital.
This potential move by IRH reflects the increasing global focus on critical minerals like tin, vital for advancing clean energy and technological innovations.
