India signs lithium exploration deal in Argentina

New Delhi: State-owned firm Khanij Bidesh India Ltd (KABIL) signed a Rs 200 crore worth lithium exploration pact for five blocks in Argentina, the Ministry of Mines said on Monday.

"This is the first-ever lithium exploration and mining project by a Government Company of India. KABIL will start the exploration and development of 5 lithium brine blocks viz 1. Cortadera-I, 2. Cortadera-VII, 3.

Cortadera-VIII, 4. Cateo-2022-01810132 and 5. Cortadera-VI covers an area of about 15,703 Hectare, located in the Catamarca province of Argentina. KABIL is also preparing to set up a branch office at Catamarca, Argentina. The project cost is about Rs 200 crores," a statement from the Ministry of Mines said.

"The project will help India strengthen lithium supplies while developing lithium mining and downstream sectors of both the countries," Union Minister for Mines Pralhad Joshi said in a post on X.

With this Agreement, KABIL has obtained exploration and exclusivity rights for 5 blocks to evaluate, prospect and explore and subsequent to existence/discovery of lithium mineral exploitation rights for commercial production. This will not only boost its quest for sourcing lithium for India but will also help in bringing in technical & operational experience for Brine-type lithium exploration, exploitation and extraction, the statement said.

Argentina is part of the “Lithium Triangle” along with Chile and Bolivia with more than half of the world's total lithium resources and having the distinction of having 2nd largest lithium resources, 3rd largest lithium reserves and 4th largest production in the world.

This strategic move not only strengthens the bilateral ties between India and Argentina but also contributes to the sustainable development of the mining sector, ensuring a resilient and diversified supply chain for critical and strategic minerals essential for various industries, the statement added.