Critical Minerals in Coal Waste

The discovery of significant concentrations of Rare Earth Elements (REEs) in coal ash and overburden materials from thermal power plants and coalfields, linked to initiatives under the National Critical Mineral Mission (NCMM), approved in January 2025.

Rare Earth Elements (REEs) in Coal Waste:

• Fly ash from Neyveli (NLC India Ltd.) contains up to 2100 mg/kg of REEs, including 300 mg/kg of Yttrium, indicating potential for economic extraction.
• Fly ash and clay from Singareni Thermal Power Plant show REE concentrations of ~400 ppm.

Overburden and Fly Ash:

• Overburden, lignite, and fly ash are being reassessed as secondary sources of critical minerals, reducing dependency on imports and primary ore mining.
• Gondwana coalfields (e.g., Singrauli) show enrichment of REEs up to 250–400 ppm.

National Critical Mineral Mission (NCMM), 2025

Context & Launch

• Launched by: Ministry of Mines, Government of India
• Date: 29 January 2025
• Duration: 2024–25 to 2030–31
• Aim: To ensure long-term supply security of critical and strategic minerals necessary for India's clean energy, digital, and defence sectors.

Objectives

• Reduce import dependency of critical minerals.
• Enhance domestic exploration, extraction, processing, and recycling.
• Secure foreign mineral assets via PSUs/private firms.
• Develop a sustainable and resilient mineral supply chain.
• Promote circular economy through recycling and urban mining.

Critical Mineral List

• Based on 2022 expert committee report — 30 minerals identified as critical.
• 24 critical minerals placed in Part D, Schedule I of MMDR Act, 1957.
• Auction rights for these minerals rest exclusively with the Union Government.

Key Minerals & Strategic Uses

• Energy Storage / EVs: Lithium, Cobalt, Nickel, Graphite
• Renewable Energy: Neodymium, Dysprosium (for wind turbines)
• Semiconductors & Solar: Silicon, Gallium, Germanium, Tellurium
• Aerospace/Defence: Titanium, Tungsten, Beryllium, Rare Earth Elements (REEs)

Mission Targets by 2030–31

Institutional Framework

• Geological Survey of India (GSI): Leading domestic exploration under MEMC Rules, 2015 and UNFC guidelines.
• Centre of Excellence on Critical Minerals (CECM):
• To update mineral list periodically.
• Coordinate inter-ministerial strategy.
• KABIL (Khanij Bidesh India Ltd): Facilitates overseas mineral asset acquisition in Latin America, Africa, etc.

Legal & Policy Alignment

• Aligned with:
  • MMDR Amendment Act, 2021
  • National Mineral Policy, 2019
  • Battery Waste Management Rules, 2022
  • PLI Schemes (Advanced Cell Chemistry, Electronics, etc.)

Significance for India

• Supports energy transition, net-zero target by 2070.
• Reduces supply chain vulnerabilities amid global geopolitical uncertainties.
• Enhances Atmanirbhar Bharat in critical technologies (EVs, solar, defence).
• Encourages green innovation and domestic manufacturing