India Engages Africa and Latin America for Key Mineral Acquisition

03 Jul 2024 CW Team

Veena Kumari Dermal, joint secretary of the Ministry of Mines, announced that India is engaged in discussions with countries in Africa and Latin America regarding the acquisition of critical mineral blocks through government channels. She highlighted the importance of these minerals, such as lithium, which are integral to various burgeoning clean energy technologies like wind turbines, electricity networks, and electric vehicles.

Dermal stated at the India Energy Storage Week (IESW) 2024, organized by the India Energy Storage Alliance (IESA), that they are actively negotiating with resource-rich nations in both Africa and Latin America to secure these blocks either through government-to-government agreements or on a priority basis.

She emphasized the Mines Ministry's increasing focus on exploring critical minerals within India itself. Regarding domestic efforts, Dermal mentioned the successful auction of a lithium block in Chhattisgarh by the government.

According to her, the Chhattisgarh government is now taking steps to initiate exploration and production activities at the lithium block at the earliest opportunity. Last month, Maiki South Mining secured India's first lithium block in Chhattisgarh through a sale process.

In other developments, Dermal noted that the government had recently cancelled the auction of 14 critical mineral blocks initially offered in the second round. In June, the government had initiated the fourth round of auction for 21 blocks of critical and strategic minerals. Despite receiving significant interest with 56 physical and online bids for 18 blocks during the first tranche of the auction, 13 blocks were subsequently cancelled due to insufficient response.

Seven of these cancelled blocks have been re-listed for auction in the upcoming third round.

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