Daijiworld Media Network - New Delhi

New Delhi, Sep 30: The Ministry of Mines will launch the auction of offshore mineral blocks from October 1, marking a major step towards exploring India’s offshore mineral potential and strengthening the country’s mineral security, the ministry said on Wednesday.

The initiative comes at a time when global demand for critical minerals is rising rapidly amid the expansion of clean energy technologies, electric mobility and advanced manufacturing.

Offshore mineral resources contain key minerals such as cobalt, nickel, manganese, copper and rare earth elements, which are crucial for renewable energy systems, electric vehicles, advanced electronics and strategic industries.

The government said development of domestic offshore resources will support India’s efforts towards self-reliance, resource security and sustainable economic growth.

The auction is being conducted under the Offshore Areas Mineral (Development and Regulation) Act, 2002 and the Offshore Areas Mineral (Auction) Rules, 2024.

Following amendments to the OAMDR Act in 2023, the Centre was empowered to allocate offshore mineral blocks through a transparent and competitive auction process.

In the first phase, two offshore mineral blocks in the Andaman Sea region will be offered for the grant of Composite Licences.

The ministry said the initiative is expected to promote systematic exploration, attract investments and encourage the use of advanced technologies for offshore mineral exploration and development.

Officials said the move reflects the government's focus on expanding India's mineral resource base through scientific exploration and responsible development of offshore resources.

The auction is also expected to increase private-sector participation and promote technological innovation in a sector with significant long-term potential.

The ministry said tapping offshore mineral resources could help meet India's future industrial and strategic requirements while strengthening supply chains for critical minerals required by emerging technologies.