Strategically Important Mineral Resources Will Be Auctioned in India
The first such auction will take place on November 29 on a special online platform.
The Government of India is organizing an auction of rare earth resources and minerals that are of strategic importance to the country’s economy. According to the Indian Ministry of Coal Industry, the first such auction will be held on November 29 on a special online platform.
“Critical minerals are essential to our nation’s economic development and national security. Lack of availability of these minerals or the concentration of their mining or processing in a few countries can leave supply chains vulnerable. The future global economy will rely on technologies that depend on such minerals , such as lithium, graphite, cobalt, titanium and rare earth resources,” the department indicated.
As the ministry recalled, India has committed to achieving 50% of its total electricity capacity from non-fossil sources by 2030. “This ambitious energy transition plan is designed to stimulate demand for electric vehicles, wind and solar energy projects, and battery storage systems, thereby increasing demand for these critical minerals,” the department noted, emphasizing that demand for critical and strategic minerals is already high and typically satisfied through imports.
Over the summer, India passed a law that gives the central government the power to grant rare mineral concessions and prioritize auctions based on the country’s needs. 20 blocks of strategically important minerals located in different regions of the country were put up for the first auction.
At the end of June, the Indian government for the first time published a list of mineral resources strategically important for the national economy. The list includes, among others, cobalt, copper, graphite, lithium, nickel, platinum group elements, phosphorus, potassium, rare earth metals, tin, titanium, tungsten. The list includes minerals that play a significant role in industries such as electronic technology, telecommunications, transport, and the defense sector. The list will serve as a guide in determining economic policy, strategic planning and investment in the mining industry.
