The Centre signed an agreement to acquire five lithium brine blocks in Argentina for exploration and development. The agreement was struck between Khanij Bidesh India Ltd (KABIL) and Catamarca Minera Y Energética Sociedad Del Estado (CAMYEN), a state-owned mining and energy corporation in the Argentine region of Catamarca.
The arrangement would aid India’s drive for sourcing lithium but will also help in bringing in technical and operational knowledge for brine-type lithium exploration, exploitation and extraction.
Argentina contains 20 per cent of the world’s 98 million tonnes of lithium deposits, second only to Bolivia, according to the Lithium Statistics and Information 2023 study from the United States Geological Survey (USGS).
Along with Chile and Bolivia, the country forms part of the “Lithium Triangle,” which holds more than half of the world’s total lithium resources. Argentina has the world’s second-largest lithium deposits, the third-largest lithium reserves, and the fourth-largest production.
India is also in negotiations with Argentina because their salt-lake lithium extraction technology is less expensive than hard-rock mining. This makes it commercially appealing and considerably contributes to manufacturing.
The agreement aims to promote sustainable mining development by guaranteeing a resilient and diverse supply chain for key and strategic minerals used in a variety of industries.
The exploration and development deal for five lithium blocks will help India achieve net-zero emissions by 2070 and establish itself as a manufacturing hub for electric vehicles.
India’s attempts in Argentina to win lithium blocks will accelerate its ambition for self-sufficiency in addressing sustainable energy demands. On November 29, India held its first key
minerals auction to secure the supply chain. Two lithium blocks in Jammu and Kashmir and Chhattisgarh have been put up for auction.