New Delhi is keen to study the mineral composition of deposits in Russia before considering deeper engagement
India has sought rare earth samples from a Siberian deposit owned by Russian company Rosneft, Reuters has reported.
New Delhi is pursuing a strategy to secure supplies and cut dependence on critical minerals from China, which is the world’s largest producer of rare earths.
India’s IREL, formerly known as Indian Rare Earths Limited – which spearheads the South Asian nation’s outreach to secure rare earth supplies – aims to study the mineral composition of the deposit in Tomtor, Siberia, before considering deeper engagement, the report said.
Rosneft acquired the deposit last year.
Rare earth magnets are key components in energy transformation, going into everything from electric vehicles to renewable energy production.
India sits on the world’s third-largest rare earth reserves of nearly 7.23 million metric tons, but does not produce rare earth magnets domestically. Its consumption is expected to double by 2030.
Last year, Reuters reported that IREL is in talks with Japanese and South Korean companies to manufacture rare earth magnets commercially.
Globally, nations are frantically pursuing rare earth minerals amid trade tensions between the US and China. Beijing has restricted rare earth exports in response to US tariffs, sparking supply disruptions for the automotive and other high-tech industries.
India is also exploring rare earth mining pacts with Russia, Australia, Argentina, Chile, and several African countries.
In February, India said it aims to start producing rare earth permanent magnets by the end of the year in partnership with the private sector. It allocated $802 million for a program to manufacture rare earth permanent magnets last November. New Delhi also joined the US-led Pax Silica alliance, which aims to secure a supply chain for artificial intelligence, chips, and critical minerals, the same month.
In May, JSC Giredmet, a unit of Rosatom’s scientific division, signed a memorandum of understanding with India’s Nexon Geochem for research and development of technologies for processing raw materials of rare earth magnets. Giredmet also signed a letter of intent with Technology Innovation in Exploration & Mining Foundation (TEXMiN) for research and development of technologies for producing permanent magnets.
India is also exploring options to buy coking coal assets and import more nickel from Russia.
