India-Argentina Lithium Partnership
Context
Recently, India and Argentina signed a Memorandum of Understanding (MoU) to strengthen their cooperation in lithium exploration and mining.
- This partnership aims to enhance India’s access to lithium, a critical mineral essential for electric vehicle (EV) batteries and renewable energy storage.
Relevance:
GS-01 (Minerals)
Key Highlights
- Lithium Triangle Partnership: Argentina, part of the ‘Lithium Triangle,’ holds vast lithium reserves, making it a key partner for India.
- Indian Investment in Lithium Mining: Discussions covered investment opportunities for Indian companies like Khanij Bidesh India Ltd. (KABIL) & Greenko in Argentina’s mining projects.
- Long-term Supply Agreements: Both nations explored potential long-term supply deals and joint ventures to ensure a steady lithium supply for India.
- Regulatory and Policy Discussions: Senior officials discussed policy frameworks, regulatory aspects, and sustainable mining practices for a mutually beneficial partnership.
- Strategic Impact: The collaboration will accelerate India’s lithium exploration projects, strengthen resource security, and create new business opportunities in Latin America’s mining sector.
National Critical Mineral Mission (NCMM):
- The mission aims to enhance India’s self-reliance in critical mineral resources.
- Currently, India imports over 40% of six critical minerals from China.
- The mission comes under the Ministry of Mines.
- Key Features of the National Critical Mineral Mission (NCMM)
- End-to-End Value Chain Focus: Encompasses all stages, including exploration, mining, processing, beneficiation, and recycling of critical minerals.
- Financial Support: Provides incentives for sustainable mineral recovery and exploration initiatives.
- Strategic Reserves: Establishes a national stockpile of critical minerals to ensure long-term supply security.
- Global Collaboration: Promotes investments by PSUs and private companies in overseas mining projects to secure essential resources.
- Legislative Framework: Backed by amendments to the Mines and Minerals (Development and Regulation) Act, 1957, made in 2023, to streamline exploration and mining operations.
