India, with its rich and diverse mineral reserves, has embarked on a path of harnessing its potential for economic growth and strategic development. In a move that underscores the government’s commitment to maximizing the value of its mineral wealth, the Ministry of Mines, through the Designated Officer, has initiated the process of granting mineral concessions for critical and strategic minerals.
Under the authority vested by Section 11(D) of the Mines and Minerals (Development and Regulation) Act, 1957, the Central Government has identified seven mineral blocks for Composite Licence through electronic auction. This significant development is in accordance with the Mineral (Auction) Rules, 2015, as amended, and aims to facilitate transparent and competitive bidding for the exploration and extraction of these valuable minerals.
Electronic Auction Process
The invitation for bids marks a pivotal moment in India’s mining sector, offering both domestic and international investors the opportunity to participate in the exploration and extraction of critical minerals. The auction process will be conducted digitally, with financial bids accepted exclusively in digital format, while both digital and physical formats are required for technical bids.
Eligible bidders are invited to participate in the electronic auction, with detailed Tender Documents and guidelines available for download from the website of MSTC Limited, the designated e-auction platform provider. Interested parties must register on the platform to obtain login credentials necessary for participation in the bidding process.
Key Dates and Details
The commencement of the sale of Tender Documents is scheduled for March 20, 2024, with the last date for purchasing the documents set for May 09, 2024. The deadline for bid submission is May 14, 2024, providing interested parties with ample time to prepare and submit their proposals.
The Tender Document fee is Rs. 3,00,000 (Rs. Three Lakhs Only), plus applicable GST, payable under the Reverse Charge Mechanism. Notably, bidders who previously purchased the Tender Document during Tranche I are exempt from paying the fee for the respective mineral blocks, underscoring the government’s commitment to facilitating participation and reducing barriers to entry.
List of Mineral Blocks
The seven mineral blocks identified for auction encompass a range of critical and strategic minerals, including Glauconite, Nickel, Chromium, Potash, Graphite, Lithium, Titanium, and Bauxite. These minerals hold immense economic significance and are vital for various industrial applications, from agriculture to aerospace.
The blocks span across multiple states, including Bihar, Jharkhand, Tamil Nadu, Uttar Pradesh, and the Union Territory of Jammu and Kashmir, showcasing India’s mineral diversity and potential for development across regions.
- Chutia-Nauhatta Glauconite Block – Bihar
- Pipradih-Bhurwa Glauconite Block – Bihar
- Genjana Nickel, Chromium, and PGE Block – Bihar
- Muskaniya-Gareriatola-Barwari Potash Block – Jharkhand
- Kurunjakulam Graphite Block – Tamil Nadu
- Kurchha Glauconite Block – Uttar Pradesh
- Salal-Haimna Lithium, Titanium, and Bauxite Block – Union Territory of Jammu and Kashmir
Conclusion
The invitation of bids for the grant of mineral concession represents a significant opportunity for investors to contribute to India’s economic growth while harnessing the potential of critical and strategic minerals. By fostering transparency, competition, and sustainable mining practices, the government aims to unlock the full potential of India’s mineral wealth, driving innovation, employment generation, and regional development. As India marches forward on its path of mineral exploration and extraction, the auction process serves as a testament to the nation’s commitment to responsible resource management and inclusive development.