Lithium Mining Shree Cement plans to participate in the Centre's lithium mine auction: Report
New Delhi: Shree Cement plans to participate in the bidding process for lithium mining rights, Reuters reported.
On November 14, Mines Secretary V.L. Kantha Rao said that the Ministry of Mines is in the process of auctioning 20 blocks of critical minerals including lithium and graphite in the next two weeks.
Recently the government has identified a list of critical minerals including new-age minerals like Lithium, Cobalt, and Titanium, important for meeting the modern needs of cutting-edge technology sectors like electronics, telecom, transport and defence.
This is part of the government's initiative to ensure the production of crucial minerals via auctions that are anticipated to generate over $5 billion.
Reuters reported citing a source that the company plans to seek rights for lithium mining blocks in Jammu and Kashmir, where approximately 5.9 million tonnes of deposits were discovered in February.
Shree Cement, ranked as India's second-largest cement company by market capitalization, is also eyeing blocks in Chhattisgarh, located in the eastern part of the country.
The source told Reuters that this foray into mining would mark Shree Cement's initial venture in this sector.
The company has engaged with mining experts based in Australia to determine details such as the appropriate premium for its bid.
The company is also seeking expert guidance on the quality and grades of lithium reserves in Jammu and Kashmir.
Should Shree Cement successfully secure a lithium block in the region, it plans to collaborate with an Australian company for technical support in establishing a refinery, estimating a cost of approximately $600-700 million, the source told Reuters.
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