India set to open first lithium mines in Chhattisgarh

India will open its first lithium mines in the Katghora region of Korba district, Chhattisgarh, following the Geological Survey of India's (GSI) confirmation of substantial lithium deposits, ToI reportd.

This decision was announced during the sixth governing body meeting of the National Mineral Exploration Trust in New Delhi. The GSI identified lithium concentrations between 10 and 2,000 parts per million (PPM) across roughly 250 hectares, with the potential for even higher content.

The meeting was chaired by Union Minister G Kishan Reddy, with discussions focusing on the extraction and utilization of mine ..

“With the commencement of the lithium mine in the state, Chhattisgarh will become one of the leading states in the country to contribute much more to the vision of developed India by 2047,” said Jaiswal.

The Ministry of Mines has issued a Notice Inviting Tender (NIT) on the MSTC portal for the allocation of 20 critical and strategic mineral blocks. These blocks are located in several states, including Bihar, Gujarat, Jharkhand, Odisha, Tamil Nadu, Uttar Pradesh, Jammu and Kashmir, and Chhattisgarh, and will be allocated through e-auction.

Among these 20 blocks, the lithium and Rare Earth Element (REE) block in the Katghora area was included. Preliminary surveys by GSI revealed lithium content ranging from 10 PPM to 2,000 PPM in an area of approximately 250 hectares. This block also contains rare earth elements.

Critical and strategic minerals are necessary for renewable energy, defense, agriculture, pharmaceuticals, high-tech electronics, telecommunications, and transportation. Currently, India relies on imports for these minerals.

Lithium, one of the 23 proposals for exploration projects, is considered a critical mineral for manufacturing lithium-ion batteries used in electric vehicles. The demand for these batteries has grown significantly.

Chhattisgarh has seen a significant increase in mineral revenue, generating around Rs 13,000 crore in 2023-24, nearly 30 times more than the revenue at the time of state formation.