Beyond iron ore: NMDC looks to 4 continents for critical mineral blocks

NEW DELHI: State-owned mining giant National Mineral Development Corporation Limited (NMDC) is scouting mining assets across four continents, including blocks containing critical minerals, as it seeks to diversify its portfolio and meet the future raw material requirements of industries such as automotive, renewable energy, electronics and steel, according to industry sources.NMDC, which meets around one-fourth of India's iron ore demand, aims to generate at least 20 per cent of its revenue from minerals other than iron ore, its key product. PTI reported.The company is exploring lithium, copper, cobalt and rare earth blocks in Chile, Australia, Africa, Brazil and parts of Asia, the sources said. It is also looking at limestone, dolomite, coking coal and tungsten blocks in the UAE, Oman, Bhutan and Australia.The proposed expansion would help NMDC cater to India's growing industrial sectors, including steel, automobiles, electronics, renewable energy, aerospace and defence, railways and metro projects, the sources said.When asked for a comment, NMDC said, "Right now, we are a 99.9 per cent iron ore company. We aim to help the growing industries in the country with the maximum of their mineral needs". PTI reported.In an earlier interview with PTI, NMDC chairman Amitava Mukherjee had confirmed that the company was working on strategies to diversify into other minerals. He said NMDC aimed to become India's largest mineral mining company and generate at least 20 per cent of its revenue from minerals other than iron ore.Focus on reducing import dependenceNMDC's diversification plans align with government efforts to secure long-term raw material supplies and reduce import dependence across key sectors.Raw materials account for around 65-70 per cent of steelmaking costs, according to the ministry of steel's draft Steel Policy Vision 2047. The draft policy outlines measures to reduce import dependence through domestic mining, expansion of coal washeries, acquisition of mining assets, long-term supply arrangements and the use of artificial intelligence to optimise coal blends.The policy also states that India's efforts to increase manufacturing's share of the economy, supported by initiatives such as Make in India, the Production Linked Incentive (PLI) Scheme, semiconductor manufacturing, defence indigenisation and industrial corridors, are expected to drive steel consumption.Sectors expected to contribute to this demand include automobiles, engineering goods, capital goods, machinery, shipbuilding, renewable energy equipment and defence production.You use AI every day. Now get your AI Quotient. Take the AIQ test.