India (Commonwealth) _ According to India’s Minister of mines, India launched the first round of its crucial minerals auction on Wednesday. The sale is expected to be worth 450 billion rupees ($5.40 billion).
India is holding its first-ever auction of tracts containing vital and important minerals in an effort to safeguard its national security, accelerate the use of EVs and renewable energy.
The auctions, which will feature minerals like lithium, potash, vanadium, graphite, and rare earth elements, will take place in eight states, including Bihar, Chhattisgarh, Odisha, Tamil Nadu, and Jammu & Kashmir, according to Mines Minister Pralhad Joshi.
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During the event, Joshi expressed his desire to use this chance to extend an invitation to potential bidders worldwide to participate. A total of 100 blocks are scheduled to be auctioned off, with the first tranche, which ends on February 20, featuring an auction of 20 blocks.
125 initiatives have been undertaken by the government to investigate vital minerals in the nation, according to V. L. Kantha Rao, the mining secretary, who spoke at the inauguration ceremony. Thirty minerals, including nickel, titanium, vanadium, and tungsten, were identified by the Indian government in June of this year as essential to the country’s clean energy initiative. Lithium, an essential component of batteries for electric vehicles, was one of the 12 strategic minerals that the federal government had previously named.
Earlier this year, lithium deposits were found in the Jammu and Kashmir area, which is under federal administration. Joshi stated on Wednesday that these reserves will be put up for auction as part of the first tranche.
At the ceremony, he stated that in a month or two, India will also announce the acquisition of lithium blocks in Argentina and Australia. A government source independently told Reuters that Australia’s state-run miner Coal India and India’s biggest power generator, NTPC Ltd., are considering buying lithium assets there.
India, one of the leading emitters of greenhouse gases in the world, has been pursuing international agreements to get vital minerals in resource-rich nations like Australia, Argentina, and Chile. By 2070, India wants to have zero net emissions of greenhouse gases.
The Indian Ministry of Mines said that as part of a historic commitment to strengthen national security, advance the economy, and facilitate the country’s transition to sustainable energy, it is putting up for auction 20 blocks of strategic and vital minerals across the nation.
On Wednesday, the blocks containing rare earth elements, lithium, graphite, nickel, and molybdenum were up for sale. Oil Exports From Saudi Arabia Increased After Falling 28 Months in September
Technologies that rely on minerals like lithium, graphite, cobalt, titanium, and rare earth elements (REE) will be the backbone of the world economy in the future. According to the government, India has pledged to attain 50% of its installed capacity for electricity from non-fossil sources by 2030.
The need for these vital minerals will rise as a result of this ambitious energy transition strategy, which will also increase demand for solar and wind energy installations, battery storage systems, and electric vehicles.
According to Mines Minister Pralhad Joshi, the 20 blocks that contain important minerals are believed to be worth $5.4 billion (450 billion Indian rupees). The auction procedure is anticipated to end on February 20 of the following year.
Not all Asian nations, including India, are attempting to establish a clean energy supply chain that would minimize reliance on China and utilize home resources for higher-valued products.
For instance, Indonesia, the largest nickel miner in the world, is keen to draw in international businesses to support its efforts to grow the nickel processing sector and eventually manufacture batteries for EV makers. By the end of the decade, Indonesia, the country with the biggest economy in Southeast Asia, aims to produce 2.2 million electric automobiles and 13 million electric motorbikes.
