Building upon the success of the first tranche, the Government of India, led by the Ministry of Coal and Mines, has launched the second round of its e-auction for critical and strategic mineral blocks. This strategic initiative aligns with the nation’s commitment to sustainable development and the vision of Aatmanirbhar Bharat (Self-reliant India) championed by Prime Minister Narendra Modi.
This second tranche offers a wider selection of mineral blocks compared to the first, encompassing 18 blocks spread across eight states. This diverse range includes essential minerals such as tungsten, vanadium, graphite, rare earth elements, glauconite, phosphorite, nickel, platinum group of minerals, cobalt, and potash. Notably, this marks a significant milestone, as India opens its doors to potash mining for the first time, potentially reducing its dependence on external sources for this crucial fertilizer component.
The auction encompasses mineral blocks located across Andhra Pradesh, Arunachal Pradesh, Chhattisgarh, Karnataka, Madhya Pradesh, Maharashtra, Rajasthan, and Tamil Nadu, offering opportunities for companies to participate based on their geographical preferences and areas of expertise. To ensure a fair and transparent process, the auction will be conducted online through a two-stage ascending forward auction. The winning bidder will be determined by the highest percentage of the value of extracted minerals they offer, promoting competition and maximizing returns for the nation.
Beyond the immediate benefits of securing critical mineral resources, the auction also catalyzes broader industry development. The event coincided with the presentation of letters of financial grants to startups in the mining and minerals sector. This initiative demonstrates the government’s commitment to fostering innovation and entrepreneurship within this crucial industry. Additionally, the release of the Annual Capacity Building Plan for the Geological Survey of India (GSI) underscores the government’s focus on enhancing the capabilities of this vital institution in supporting responsible and sustainable mineral exploration and development practices.
The launch of the second tranche of critical mineral block auctions signifies India’s continued efforts towards securing its critical mineral resources, essential for powering various clean energy technologies, electronics, and defence applications. By diversifying its mineral supply chains and fostering domestic exploration and mining capabilities, India is taking a significant step towards achieving self-reliance in this critical sector, ultimately contributing to a more secure and sustainable future.
