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South Eastern Coalfields Ltd (SECL) Explores Rare Earth Elements in Mine Dumps

South Eastern Coalfields Ltd (SECL), a subsidiary of Coal India Ltd, has initiated a project to extract rare earth elements (REEs) from seven identified mine dumps. This move aligns with the government's efforts to unlock value from coal mine waste and reduce India's reliance on imports.

Background

The discovery of REEs in overburden dumps across major coalfields has the potential to significantly reduce India's dependence on imports. Rare earth elements are critical for various high-tech industries, including electronics, renewable energy, and defense. The Indian government has prioritized the development of a sustainable domestic supply chain for these essential minerals.

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Project Details

The project involves the scientific assessment of the identified mine dumps using advanced geophysical and geochemical techniques. SECL Chairman and Managing Director (CMD) Harish Duhan stated that the tendering process has already begun, with plans to pinpoint viable sites within the next year. Detailed studies will be conducted to determine the presence and economic viability of REEs in these locations, focusing on overburden materials typically discarded during coal mining.

Timeline and Objectives

The project aims to finalize the most promising sites within a year, paving the way for pilot extraction projects and possible commercial operations. The identification process targets dumps in SECL's operational areas in Chhattisgarh and Madhya Pradesh. The initiative is in line with India's aggressive push to achieve self-reliance in critical minerals essential for EVs, renewables, defense, and electronics, driven by global supply risks from China.

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Key Figures

  • Seven mine dumps identified for potential extraction of rare earth elements
  • Overburden dumps across major coalfields found to contain REEs
  • One year timeline for scientific assessment and identification of viable sites
  • SECL Chairman and Managing Director (CMD) Harish Duhan overseeing the project

Investor Takeaway

Investors should monitor Coal India's efforts to unlock value from coal mine waste, potentially reducing import dependence.

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