State-run Coal India Ltd is making strategic moves in the global lithium market by exploring blocks in Argentina in partnership with a US company, a source revealed on Tuesday. This initiative is part of India’s commitment to the US-led Minerals Security Partnership (MSP) to ensure a stable supply of minerals for its growing energy needs.
India and the United States recently announced joint investments in a lithium project in South America and a rare earths deposit in Africa to reduce dependency on China. This move comes as both countries aim to diversify their critical minerals supply chains and achieve their zero-carbon goals.
Coal India’s interest in the Kachi block in Argentina reflects its keen focus on securing a steady supply of lithium, a key component in battery manufacturing. Preliminary studies are underway, with the company collaborating with a US firm and other countries under the MSP.
In addition to Argentina, India is also exploring opportunities in Malawi for rare earths through state-owned IREL (India) Ltd. The government has identified several critical minerals projects for collaboration with the US, as part of their strategic partnership.
Moreover, India has proposed a critical minerals trade agreement with the US to ensure smoother trade relations and mutual benefits. While discussions are ongoing, both countries are working towards a bilateral Critical Minerals Memorandum of Understanding.
With these strategic partnerships and investments, India is laying the groundwork for a sustainable and diverse minerals supply chain while reducing reliance on Chinese imports. This proactive approach underscores India’s commitment to achieving energy security and meeting its ambitious environmental goals.
