Representative image for mining.
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Hyderabad: The Telangana government-owned Singareni Collieries Company Limited (SCCL) is set to explore critical mineral mining opportunities in the West African nation of Ghana. As part of its business expansion strategy, SCCL has recently decided to venture into the international critical minerals sector, participate in central government auctions, and undertake large-scale green energy projects.
On Saturday, the Republic of Ghana renowned globally for its rich reserves of diamonds, gold, bauxite, manganese, and lithium extended an invitation to SCCL to invest in its mining sector. A high-level Ghanaian delegation met with SCCL Chairman and Managing Director N Balram to discuss potential business collaborations.
With global demand for critical minerals rising, Singareni is preparing to enter this sector. The company has appointed an international agency to study critical mineral production opportunities worldwide. Based on the agency's recommendations, Singareni will launch international operations under the banner "Singareni Global."
The delegation also discussed coal mining prospects in Ghana and sought Singareni's cooperation in that area. Responding to the proposal, CMD Balram said that Singareni has already initiated efforts to expand internationally and explore critical mineral opportunities.
During the meeting, the Ghanaian delegation emphasized that their country offers significant investment opportunities in the mineral sector and welcomed Singareni's participation, given its extensive mining experience. They highlighted Ghana's position as a major producer and exporter of diamonds, gold, bauxite, manganese, and lithium, noting the country's interest in attracting investments to scale up production.
Balram assured the delegation that the company would evaluate mining prospects in Ghana and prioritize critical mineral extraction projects. The Ghanaian representatives informed him that a technical team from Ghana is scheduled to meet with India's central government next month. They requested a follow-up meeting with Singareni and invited the company to send a team to Ghana for further discussions.
Balram responded positively, confirming that a team of Singareni officials would be dispatched. This development marks a significant milestone, presenting Singareni with its first opportunity to enter the African continent.
Currently, SCCL operates 38 mines, but with coal reserves depleting, 10 mines are expected to shut down within the next five years, potentially rendering 8,000 employees surplus. To secure their employment, new mines are essential. While Singareni produces 72 million tonnes of coal annually, production could fall by more than half without new blocks.
To safeguard the livelihoods of 40,000 direct employees and 30,000 indirect contract workers and ensure the company's survival the Telangana government has authorized Singareni to participate in all future coal mine auctions conducted by the central government and pursue international collaborations.
Beyond coal production, Singareni is also venturing into thermal power, solar power, and green energy sectors. Under "Singareni Green Energy Limited," the company is advancing plans to establish solar and pumped storage plants, having already appointed consultants for these projects.