Centre Unveils Second Tranche Of Critical Mineral EL Auctions

18 Feb 2026 CW Team

The auctions are being conducted under the Exploration Licence regime introduced through the Mines and Minerals (Development and Regulation) Amendment Act, 2023 and have been operationalised via the Mineral (Auction) Amendment Rules, 2023. The framework permits private sector participation in early-stage mineral exploration through competitive bidding. Officials stated the regime is designed to attract investment and technical expertise to map and assess deep-seated deposits.

The government is seeking to scale up domestic mineral exploration to reduce import dependence and to unlock untapped resources that may support strategic industries. The tranche focuses on critical minerals deemed important for transition technologies and advanced manufacturing and is intended to catalyse supply chains within the country. The inclusion of deep-seated prospects reflects an emphasis on exploring resources that require specialised approaches and longer lead times.

The 11 blocks on offer in Tranche II cover a range of critical and deep-seated minerals aligned with demand for clean energy technologies electronics and industrial applications. Authorities indicated that the competitive auction route under the EL regime provides a structured pathway for discovery while ensuring regulatory oversight. The government will monitor the auction process and the subsequent exploration activity to assess its contribution to domestic resource security. Stakeholders will be expected to adhere to environmental and land use norms as part of exploration approvals and timelines and performance reporting linked to milestones will form part of the licensing conditions to ensure transparency and timely progress.

On 12 February 2026 the central government launched the second tranche of auctions for Exploration Licence (EL) blocks, offering 11 blocks of critical and deep-seated minerals across eight states. The launch in New Delhi was presided over by the Union Minister for Coal and Mines G Kishan Reddy who outlined the objectives behind the initiative. The announcement follows an earlier round intended to widen domestic access to mineral resources. The auctions are being conducted under the Exploration Licence regime introduced through the Mines and Minerals (Development and Regulation) Amendment Act, 2023 and have been operationalised via the Mineral (Auction) Amendment Rules, 2023. The framework permits private sector participation in early-stage mineral exploration through competitive bidding. Officials stated the regime is designed to attract investment and technical expertise to map and assess deep-seated deposits. The government is seeking to scale up domestic mineral exploration to reduce import dependence and to unlock untapped resources that may support strategic industries. The tranche focuses on critical minerals deemed important for transition technologies and advanced manufacturing and is intended to catalyse supply chains within the country. The inclusion of deep-seated prospects reflects an emphasis on exploring resources that require specialised approaches and longer lead times. The 11 blocks on offer in Tranche II cover a range of critical and deep-seated minerals aligned with demand for clean energy technologies electronics and industrial applications. Authorities indicated that the competitive auction route under the EL regime provides a structured pathway for discovery while ensuring regulatory oversight. The government will monitor the auction process and the subsequent exploration activity to assess its contribution to domestic resource security. Stakeholders will be expected to adhere to environmental and land use norms as part of exploration approvals and timelines and performance reporting linked to milestones will form part of the licensing conditions to ensure transparency and timely progress.

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