India is prepared to invite bids for the auction of the newly discovered lithium reserves in Reasi district of Jammu & Kashmir starting June 2023. The process will be open to foreign companies with Indian subsidiaries, apart from Indian companies including PSUs.
Image Credit: Shutterstock
India is poised to invite bids for the auction of newly discovered 5.9 million tonnes inferred resources (G3) of Lithium reserves in Reasi district of Jammu & Kashmir by June quarter. This move will give India access to the strategic mineral that helps power a range of products including laptops, mobile phones and medical devices.
The discovery of significant lithium by Geological Survey of India (GSI) has led India to become world’s seventh-largest holder of lithium reserves. However, most of the resources are in rock formation and companies acquiring the blocks may need to put up processing plants. The process will be open to foreign companies with Indian subsidiaries.
An official stated, “The discoveries are not early-stage finds, and the government plans to call for bids to start the process”. This is a G3 level find, which means we are sure of significant reserves and would start the process to mine this critical non-ferrous metal soon”.
The official further added that the auctions would be open to all, like any other government auction, with one key condition: “The government would mandate that lithium found is refined only in India and not sent abroad for processing”. More field studies are planned in Himachal Pradesh and Uttarakhand, given the similarities in topography.
Stay ahead in the dynamic world of trade and commerce with India Business & Trade's weekly newsletter.