India and Australia are in advanced talks to secure critical minerals like lithium, cobalt, and vanadium, among others, senior officials of India’s Mines Ministry said.

According to multiple officials aware of the discussions, India is looking at securing “confirmed off-take agreements” or “investments in processing” or both, as it looks to meet green energy requirements and reduce carbon footprint.

Apart from NMDC, which recently commissioned a gold mine in Australia and is expected to start pre-PFS (pre-feasibility  studies) there soon; KABIL (Khanij Bidesh India Ltd) – a JV of NALCO, Hindustan Copper and MECL – is also carrying out “due diligence” for two lithium and three cobalt mines in Australia.

India is also seeking access to additional mines, and PSUs like Coal India and NTPC, among others, have been asked to be look for more mines in the region. India’s Mines Ministry is reportedly facilitating the process, too.

Unless commercial production has begun across mines, the exploration to mineral determination and subsequent commercial production could be as long as three years.

“There are government-to-government level discussions happening, and some state-run companies are in talks too. Many of these are closed door discussions. We are supporting the PSUs and some of them are securing the mines themselves through subsidiaries set up there,” Denise Eaton, Trade and Investment Commissioner, Australian Trade and Investment Commission, told businessline.

“We are keen to partner with India, which has the manufacturing capabilities and is looking to play a role in the upstream segments, while Australian companies play a role in the downstream sector,” she added.

According to Eaton, India is among the top 5 priority markets (for partnerships) and Australia would want Indian companies to play a role in “across the entire ecosystem” which includes mining activities, processing, among others.

While the Australian government would not make any investments or get into the commercial aspects, it would “facilitate India companies” with access to resources, partnerships, investments, among others.

Securing Lithium

Incidentally, lithium continues to be the most sought-after mineral, apart from cobalt and vanadium, with the latter being used in space tech and defence, among others.

On the other hand, lithium, the white alkali material, is a key requirement in energy storage solutions and is used across batteries in electric vehicles and mobile phones, among others.

Studies suggest that in 2030, the global demand for the mineral is expected to surpass 2.4 million tonnes, doubling the demand forecast for 2025.

“Lithium continues to be the most sought after one. Most mines that we now have do have secure buyers, but there are ongoing discussions with Indian companies,” she said.

Areas of mineral exploration cover, Western and Northern Australia, apart from the Queensland region.

International Alliance

Incidentally, India is looking at multilateral and bilateral partnerships with several countries to secure its share of critical minerals.

India’s Mines Minister, Pralhad Joshi, in a written reply to the Rajya Sabha, had also confirmed that KABIL was engaging with several state-owned organisations in other countries, including Argentina and Australia, to acquire critical minerals. These engagements were mostly being made through the Ministry of External Affairs and the Indian embassies in these countries.

India is also a part of the Mineral Security Partnership, which it joined in June. The MSP comprises 13 countries and the European Union (EU) looking to catalyse public and private investment in critical mineral supply chains. The alliance’s other members are Australia, Canada, Finland, France, Germany, Italy, Japan, Norway, the Republic of Korea, Sweden, the United Kingdom, the US, and the EU.

“The ministry is also actively involved in the Mineral Security Partnership (MSP) and other multilateral/ bilateral partnerships with various countries to secure the critical mineral(s),” Joshi said in response.

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