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India makes an aggressive push for mining lithium and cobalt abroad

Abhishek Kumar Singh by Abhishek Kumar Singh
5 January 2022
in Trending
lithium, cobalt, modi, India, minerals
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India’s Geography provides it with a unique position when it comes to the availability of minerals. On one hand, minerals like Mica, Bauxite, and plutonium are in abundance, while we lack minerals like Lithium and Cobalt. Now, the Modi government is pushing for mining lithium and cobalt from abroad.

India to mine minerals in foreign lands

India is set to acquire rights for mining strategic minerals in foreign countries. Strategic minerals are those minerals that are essential for socio-economic development as well as increasing the defence capabilities of the country. A total of 10 minerals have been categorised as strategic in India. 

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India will be taking up the mining of lithium and cobalt in various countries. These minerals will be mined from countries like Australia, Argentina, Bolivia, and Chile. This will ensure a steady supply of raw materials being used for various purposes in India.

Read more: Short on luck, India has no Lithium reserves for the electric vehicle age. But it has a plan

A Joint venture along with embassies’ assistance will be taking up the mining

To ease the process of extraction and resupplying it back to India, a joint venture (JV) company has been created by Mines Ministry. The company has been named Khanij Bidesh India (KABIL) Ltd. . National Aluminium Company (NALCO), Hindustan Copper (HCL), and Mineral Exploration Corporation (MECL) are three companies that are the main components of this Joint venture. 

NALCO holds 40 percent of the total share, while HCL and MECL hold 30 percent each in KABIL.

The main responsibility of KABIL is to make India a self-reliant nation when it comes to mineral resources. It will identify and acquire more such mining rights in future.

In an official statement, the ministry said, “Based on a commissioned study and selection criteria, select source countries have been shortlisted for exploring possibilities of mineral asset acquisition abroad. So far, engagement of KABIL is underway with source countries like Australia, Argentina, Bolivia, and Chile which are endowed with cited critical and strategic minerals,”

KABIL will be assisted by India’s embassies and missions. It will be sharing details like the size of mines and their capacity with officials. The officials will then be taking due diligence related to investment decisions.

Lithium and Cobalt- Key minerals for India’s future

Lithium and Cobalt are some of the most fundamental requirements for renewable energies and E-mobility sectors. India is pushing for green energy. Renewables are key components of this push. Lithium-ion batteries are a fundamental requirement for the green energy sector to flourish

Unfortunately, India does not have a manufacturing facility for Lithium-ion batteries; owing to the lack of Lithium. Due to this, manufacturers are forced to import cells and battery packs from countries like China.

Read more: Exide Industries is planning to bring lithium-ion battery revolution to India

Kesav Rao committee, Parliamentary Committee on Industries had emphasised, “Indian original equipment manufacturers (OEMs) need government support for making lithium cells for the long term. Securing lithium supply could help in making batteries at a globally competitive price, with the potential to reduce the price of EVs,”

The latest push by the Modi government is set to make our country AATMANIRBHAR in renewable energy. Moreover, it will also provide us with strategic sites to strengthen our geopolitical aspects. More such initiatives are in the offing and if successful, they will provide huge impetus to India’s superpower ambition.

Tags: CobaltLithiummineralsModi government
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