In a bold move to diversify its operations and integrate further into the value chain, Coal India Limited (CIL) is targeting the acquisition of lithium, cobalt, and nickel assets abroad.
The company has recently amended its Memorandum of Association (MoA) to include non-ferrous and critical minerals, indicating its commitment to expanding its presence in new sectors. In the past, the miner’s attempt to acquire coal assets aboard did not fructify.
In its pursuit of overseas assets, CIL is currently identifying suitable opportunities for mergers and acquisitions, the management informed its shareholders in its latest annual report.
The strategic move reflects the company’s vision to secure a steady supply of these critical minerals toward the Atmanirbhar mission of India.
In 2022, the ministry of mines also created a joint venture company, Khanij Bidesh India Ltd (Kabil), with participating interest from Nalco, Hindustan Copper Ltd and Mineral Exploration Corporation Ltd (MECL).
Kabil is mandated to identify and acquire overseas mineral assets of critical and strategic nature such as lithium, cobalt, etc.
In the past, NMDC and Coal India were considered for participation in the special purpose vehicle (SPV). Coal India stated that it has proposed a capital expenditure of Rs 16,600 crore in 2023-24. PTI