NLC India is targeting a critical mineral extraction capacity of 1 MTPA by FY30

State-owned NLC India said it is in the process of participating in upcoming auctions of key mineral resources and aims to achieve an annual mining capacity of one million tonnes of such materials by 2029-30.

NLC India’s core business is hard coal and lignite mining and electricity generation.

Owning critical mineral resources is becoming increasingly important as demand for these resources grows for a wide range of activities, from semiconductor production to renewable energy projects, including the production of solar panels, wind turbines and advanced batteries for storage and transportation.

“Due to recent developments in the renewable energy sector and the strategic importance of critical minerals required for renewable energy (RE) production, we are in the process of participating in upcoming auctions and anticipate achieving a critical mineral extraction capacity of 1.0 MTPA by 2029-2030 – the company said in its latest report.

The company has previously said that once it acquires expertise in extracting key minerals domestically, it will also explore opportunities abroad.

According to NLC India, the public sector undertaking has been in mining operations since 1967 and therefore wants to leverage its core competencies in the critical minerals sector.

The Union Budget 2024-25 also proposes to launch a Critical Minerals Mission for domestic production, recycling of such minerals and acquisition of critical mineral assets abroad.

The goal of the Critical Minerals mission is to secure the country’s critical mineral supply chain by ensuring their availability from domestic and foreign sources.

It aims to strengthen the value chain by improving technological, regulatory and financial ecosystems to support innovation, skills development and global competitiveness in mineral exploration, extraction, enrichment, processing and recycling.

NLC India Ltd plans to expand its renewable energy capacity from 1,431 MW to 10,110 MW by 2030. In addition, the company is prioritizing policy and regulatory changes that increase market liquidity and competitive pricing, further driving the transition to a sustainable energy mix.