India has initiated discussions with the island-nation of Sri Lanka for probable investment, acquisition or commercial offtake of graphite. The discussions are part of the broader push for securing critical mineral supplies.
Graphite is one of the key EV battery-making components and is identified as one of the 24 critical minerals.
“Some discussions are under-way. Modalities are being worked on,” a senior official with knowledge of the matter.
Sri Lanka holds significant reserves of vein graphite, a highly pure form of the mineral.
Demand
Graphite demand in recent years has been predominantly driven by its use as the anode active material in batteries for EVs and stationary energy storage systems. By weight, graphite is typically the largest component in lithium-ion batteries, with up to 70 kilograms of graphite used in an average electric vehicle (EV).