India Reopens Bidding for Critical Lithium Block in Rajasthan
Jaipur: In a strategic move to reduce dependence on Chinese imports, the Union government has reopened bidding for a critical mineral block in Rajasthan. The Ministry of Mines has invited tenders for mineral concessions through e-auction, with the 'RAMB Degana Tungsten, Lithium and Associated Mineral Block' in Nagaur district among the key offerings.
Boosting Domestic Lithium Production
Officials emphasized the auction's significance, noting that Rajasthan has emerged as a promising zone for lithium and associated minerals. "Lithium, a key component in lithium-ion batteries, is a primary raw material for electric vehicles, which India largely depends on imports for," an official stated. "Exploring domestic lithium will not only boost EV manufacturing but also reduce dependence on imports, which may eventually lower production costs."
Surveys by the Geological Survey of India (GSI) have estimated reserves of nearly 14 million tonnes of lithium and associated minerals across various parts of Rajasthan. Beyond lithium, these surveys also assessed tungsten, bismuth, tin, and cobalt as part of a comprehensive effort to evaluate the state's mineral resources.
Second Attempt at Degana Block Auction
The Degana block is being offered for auction again after an earlier round failed to attract a successful bidder. This block contains tungsten, lithium, and associated minerals like rubidium, niobium, and tin. G2-level exploration, the second stage of mineral exploration, has already been completed by GSI for these resources in Degana.
"Initial geological reports for the Degana Central Block were submitted for review in June 2023," a senior official explained. "Exploration in Degana NW and Degana SE blocks was also completed in June 2023, while final geological reports were submitted in December 2023."
Auction Details and Additional Blocks
According to the latest tender notice, the auction is being conducted under the Mines and Minerals (Development and Regulation) Act, 1957, and the Mineral (Auction) Rules, 2015. The sale of tender documents will continue from March 30 to May 15, with bids due by May 20.
In addition to the Degana block, the Karna REE Block in Balotra district has been included in the auction list. This block contains several rare earth elements and is offered under the composite licence category, further expanding India's domestic mineral exploration efforts.
This initiative aligns with India's broader strategy to secure critical minerals essential for the growing electric vehicle industry and reduce reliance on foreign imports, particularly from China.
