As part of the Indian government's plans to actively scout for critical mineral assets overseas state-owned Coal India is planning to start the mining of critical minerals, including lithium, nickel, cobalt, molybdenum, graphite, phosphorus and potash, the company's director of Business Development Debasish Nanda said on September 5.
While speaking at the BloombergNEF Summit. Nanda said that Coal India is looking at Australia for mining of lithium and nickel and is also searching parts of Africa.
In May 2024, the central government had asked Coal India, NMDC, and ONGC Videsh to actively scout for critical mineral assets overseas. Such minerals include lithium, cobalt, copper, graphite, gallium, and others used in technology-intensive sectors
Lithium is a crucial mineral for the country's energy security plans, and it is seen as a game-changer in achieving net-zero goals in the future.
In addition to its use in electric vehicles, lithium is utilised in medical technology, the electronics industry, mobile phones, solar panels, wind turbines, and other renewable technologies. Last year, India's Minister of Coal and Mines, Pralhad Joshi, initiated the auction of 20 critical minerals valued at Rs 45,000 crore. Among the minerals up for auction, two blocks are dedicated to lithium mining. One block is located in Jammu & Kashmir, while the other is in Chhattisgarh.
Argentina's lithium reserves are estimated at 19 mn tn, accounting for 20% of the world's overall lithium reserves of 98 mn tn. Bolivia holds the largest reserves, estimated at 23 mln tn, and Chile's estimated reserves of 9.3 mn tn are the third-largest. China accounts for 41 percent of Argentina's total lithium exports and Japan accounts for another 31 percent. South Korea accounts for 13 percent and the US 9 percent.
Nanda also said that Coal India completed the acquisition of a graphite route in Madhya Pradesh through an auction held by the Ministry of Mines. He added that the steps taken by Coal India highlight how Coal India is planning to diversify from its core operations.
He also said that 5 Giga Watt of solar energy is needed by Coal India to achieve its target of net-zero carbon emission by 2030. Nanda added that the target will be achieved earlier by 2028-29.
Nanda also said that as part of Coal India's plan to added solar power capacity the company has identified four states--Maharashtra, Rajasthan, Gujarat, and Karnataka where it will look to add solar capacity.
"We are signing joint venture agreements with state governments so that we put solar panels, or we get the solar panels and give it to them," Nanda said.
Critical minerals such as copper, lithium, nickel and cobalt are important components in rapidly growing clean energy technologies –- from wind turbines and electricity networks to electric vehicles.
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