Burundi signs $1.4B power deal with US-backed company

The 25-year agreement, signed through Anzana's local subsidiary Weza Power, aims to connect more than 1.2 million households and businesses. It comes as Burundi, which holds deposits of nickel, gold and rare earths, has struggled to develop large-scale mining due to power shortages, poor roads and the lack of a direct rail link to export markets. Only one in five Burundians had access to electricity in 2024, according to the World Bank.

The deal follows a US-backed agreement in March that gave New York-listed mining company Lifezone Metals 14 months of exclusive access to assess Burundi's Musongati nickel deposit, a metal used in stainless steel and some electric vehicle batteries.

Washington is pursuing mineral partnerships across Africa to challenge China's dominance of global supply chains. Last month, US officials also pledged to help Kenya develop its own mineral processing industry.

Analysis

Why This Matters

The deal could sharply expand electricity access in one of the world's least-electrified countries, where only one in five people had power in 2024.
It deepens US economic engagement in Africa's mineral sector at a time of intensifying competition with China over critical supply chains.
Successful power delivery could unlock mining investment in Burundi's nickel, gold and rare earth deposits, reshaping a small but resource-rich economy.

Background

Burundi is a landlocked East African nation with significant mineral resources but persistent infrastructure gaps. Like many resource-rich African countries, it has struggled to attract large-scale mining investment because of unreliable power, poor transport links and limited export routes. The new electricity deal is paired with a separate US-backed arrangement to assess the Musongati nickel deposit, suggesting a coordinated strategy to build both power capacity and mining activity.

Key Perspectives

US government and Anzana Electric Group: The deal is framed as a way to strengthen American supply chains while supporting economic development in Burundi, part of a wider US push to counter China's influence in African minerals. Burundi: The government gains a long-term pathway to expanding electricity coverage, which is critical for domestic development and for making its mining sector viable. Skeptics: Large infrastructure projects in the region have historically faced implementation delays, financing gaps and questions about debt sustainability. The 25-year horizon also carries political and regulatory risk across changes in government.

What to Watch

Whether Weza Power begins connecting households and businesses on schedule, and how quickly electricity access rates move beyond current levels.
Whether Lifezone Metals exercises its exclusive access to the Musongati nickel deposit and advances toward a mining decision.
How China responds to Washington's growing mineral diplomacy across East Africa, including Kenya and Burundi.

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12 claims in this story checked against 1 source: 12 supported.

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SupportedBurundi signed a $1.4 billion electricity agreement with US-backed Anzana Electric Group.Semafor: “Burundi signed a $1.4 billion electricity deal with US-backed Anzana Electric Group”
SupportedWashington says the deal will strengthen American supply chains and support mining in Burundi.Semafor: “which Washington says will strengthen American supply chains and support mining in the East African country.”
SupportedThe agreement aims to connect more than a million households and support mineral mining.Semafor: “aims to connect more than 1.2 million households and businesses”
SupportedThe 25-year agreement was signed through Anzana's local subsidiary Weza Power.Semafor: “The 25-year agreement, signed through Anzana’s local subsidiary Weza Power”
SupportedThe agreement aims to connect more than 1.2 million households and businesses.Semafor: “aims to connect more than 1.2 million households and businesses.”
SupportedBurundi holds deposits of nickel, gold and rare earths.Semafor: “The country has deposits of nickel, gold, and rare earths.”
SupportedBurundi has struggled to develop large-scale mining due to power shortages, poor roads and the lack of a direct rail link.Semafor: “has struggled to develop large-scale mining due to power shortages, poor roads and the lack of a direct rail link to export markets.”
SupportedOnly one in five Burundians had access to electricity in 2024, according to the World Bank.Semafor: “Only one in five Burundians had access to electricity in 2024, according to the World Bank.”
SupportedA US-backed agreement in March gave New York-listed mining company Lifezone Metals 14 months of exclusive access to assess Burundi's Musongati nickel deposit.Semafor: “It follows a US-backed agreement in March giving New York-listed mining company Lifezone Metals 14 months of exclusive access to assess Burundi’s Musongati nickel deposit”
SupportedNickel is used in stainless steel and some electric vehicle batteries.Semafor: “a metal used in stainless steel and some electric vehicle batteries.”
SupportedWashington is pursuing mineral partnerships across Africa to challenge China's dominance of global supply chains.Semafor: “Washington is pursuing mineral partnerships across Africa to challenge China’s dominance of global supply chains.”
SupportedLast month, US officials pledged to help Kenya develop its own mineral processing industry.Semafor: “Last month, US officials also pledged to help Kenya to develop its own mineral processing industry .”