Nalco, Hind Copper gain 5% on lithium mining venture with Argentinian major

Shares of National Aluminium Co Ltd and Hindustan Copper Ltd gained nearly 5 percent each after Khanij Bidesh India Ltd (Kabil), a joint venture among the two with Mineral Exploration Company Ltd, inked a deal with Argentina's Camyen SE for lithium exploration and mining.

The Nalco stock was up 4.4 percent to Rs 143, while that of Hind Copper jumped 4.9 percent to Rs 268. In 2023, Nalco advanced 64 percent, while Hind Copper gained 150 percent.

Under the agreement, Khanij Bidesh India Ltd (Kabil) has the exclusive rights for evaluating, prospecting, and exploring lithium in Argentina. Upon discovery, it gained exploitation rights for commercial production in five lithium brine blocks in Argentina's Catamarca province. These blocks, including Cortadera-I, Cortadera-VII, Cortadera-VIII, Cateo-2022-01810132, and Cortadera-VI, span 15,703 hectares and entail a cost of Rs 200 crore, as per an exchange filing by Nalco.

Argentina, a key player in the 'Lithium Triangle' with Chile and Bolivia, holds over half of global lithium resources. The three nations rank second, third, and fourth globally in terms of the mineral reserves and production.