MASROOR AHMAD
SRINAGAR: As e-vehicles have focused on the need for lithium used in making batteries, India has sought to secure assets overseas as well as domestically, Jammu and Kashmir’s Lithium block is likely to be given to government agency for further exploration after J&K did not receive any bids in a second attempt to auction mining rights for lithium reserves found last year.
The government in February 2023 found its first lithium deposits in Jammu and Kashmir with estimated reserves of 5.9 million metric tons.
After it failed to get a required minimum of three bids in its first auctions in November, the block was again put up for auction in March with a May 14 deadline for bids.
The source, who declined to be identified, said the block was likely to be given to a government agency for further exploration after no bids were made.
As electric vehicles have focused on the need for lithium, used in making batteries, India has sought to secure assets overseas as well as domestically.
The central government in June last year listed 30 minerals, including lithium, nickel, titanium, vanadium and tungsten as critical to its quest for cleaner energy.
The Geological Survey of India (GSI) found lithium reserves in J&K for the first time last year. It found lithium inferred resources (G3) of 5.9 million tonnes in Salal-Haimana area of Reasi district in the union territory.
In current times, lithium is a crucial element as it is one of the key components required for manufacturing of EV batteries. It is all the more crucial considering the government’s push for EVs.Lithium-ion batteries are used in wind turbines, solar panels, and electric vehicles.
As per a World Bank study the demand for critical metals such as lithium is expected to rise by nearly 500 per cent by 2050.