India's Ministry of Mines to auction Andaman Sea mineral blocks

India's Ministry of Mines is set to launch an auction for offshore mineral blocks in the Andaman Sea region on October 1. The initiative aims to unlock the country's offshore mineral potential and bolster long-term resource security.

The auction involves two offshore mineral blocks offered for the grant of Composite Licences. These resources, which include cobalt, nickel, manganese, copper, and rare earth elements, are considered vital for technological advancement, clean energy transitions, electric mobility, and advanced electronics.

Conducted under the Offshore Areas Mineral (Development and Regulation) Act, 2002, and the Offshore Areas Mineral (Auction) Rules, 2024, the process follows 2023 amendments that empowered the Ministry to conduct auctions for transparent and competitive allocation. The government expects the move to encourage systematic exploration, attract private sector investment, and promote technological innovation in the sector.