Union Coal and Mines Minister G Kishan Reddy launched India’s first auction of Exploration Licences (ELs) for 13 critical mineral blocks in Goa’s Dona Paula, alongside Chief Minister Pramod Sawant. This initiative aims to unlock untapped deep-seated mineral resources.
The ELs cover minerals such as rare earth elements (REE), zinc, copper, diamonds, and platinum group elements (PGE). The event also included a roadshow on the 5th Tranche of Critical Mineral Blocks and the AI Hackathon 2025, which focuses on using artificial intelligence for mineral exploration.
Addressing the gathering, Minister Reddy highlighted the mining sector’s rapid growth over the past decade, emphasizing that the new auction system would usher in a more transparent and efficient exploration era. “We are laying the foundation for a new era in mineral exploration,” he stated.
He noted that the reform provides exclusive exploration rights to private companies, allowing them to explore up to 1,000 square meters per license. The new framework aims to enhance transparency, drive innovation, and ensure that only the most promising areas undergo detailed exploration.
Reddy acknowledged that India’s previous mining regulations were restrictive, lacking a structured mechanism for private participation. “Recognizing this, the Government of India introduced an amendment to the MMDR Act in 2023. This is a reform that will open doors for systematic exploration of minerals,” he said.
CM Pramod Sawant expressed gratitude for Goa hosting the event, highlighting the mining sector’s crucial role in the economy. He emphasized the need to accelerate mineral exploration, particularly for critical minerals essential to the electronics and green energy industries. “As we stand at the cusp of a new era of mineral exploration, this initiative reflects the government’s firm commitment to self-reliance in critical minerals,” Sawant stated.
Mines Secretary V L Kantha Rao described the event as a significant milestone, noting that some minerals currently 100% imported would now be explored domestically. The new auction model allows private companies to conduct exploration, with a provision for them to earn revenue for 50 years if valuable minerals are discovered. Additionally, the government will share 50% of the risk if exploration efforts do not yield results.
This reform is expected to drive India’s journey towards self-sufficiency in critical minerals, reducing dependency on imports and boosting industrial growth.
