Lithium reserves across four blocks in Argentina’s Catamarca region, where India has recently secured mining rights, indicate “strong chances of commercial viability,” according to early findings. KABIL, the State-run entity with mining rights there, has reported “positive” results from non-invasive exploration.
With a detailed report expected by March-end, the stage is set for commercial exploration to potentially begin as early as 2027—marking a pivotal step in securing critical lithium supplies for India.
Initial reports available with Indian officials, suggest deposits could be located around 100 meters below the surface and mostly in brine form; something common across LatAm nations & in the South America region.
Detailed invasive exploration will follow six months post submission of first report.
In fact, the initial findings align closely with discoveries made by other companies from Canada and China operating in the same region.
Lithium brine is a saline groundwater deposit that contains dissolved lithium. It’s a major source of lithium carbonate. The extraction process involves the brine being pumped to the surface; evaporation of the brine in ponds over months; and chemical processing to produce lithium carbonate.
“Initial reports from Argentina are positive. Which means there is probability for commercial viability of the lithium extracted from these blocks,” an official said, adding: “Detailed reports should be ready in a month or so.”
India’s Mines Ministry, through KABIL – a JV of three other CPSEs, acquired five lithium blocks in the Latin American nation in January 2024. Non-invasive exploration is currently being carried out in four of these five blocks located on the Argentina – Chile border.
Argentina is one of the countries that form the Lithium Triangle; with the other two being Chile and Bolivia.
Also known as white gold, lithium is a key mineral forming the cornerstone to India’s switch to green energy. It finds usage in a variety of energy storage solutions that include EVs, lithium ion batteries, mobile phones, among others.
“So the area is rich lithium deposit-wise, but we will see how to proceed as more information comes across,” the official said.
India is primarily dependent on lithium imports, including lithium ion, with the combined bill running well above ₹70,000 crore.
Apart from KABIL, a private company Greenko is also carrying out other mineral exploration – copper & gold – in the region; and India’s Mines Ministry is trying to push for greater participation of Indian companies in mining projects of Argentina.
Way forward
As per Mines Ministry officials, invasive exploration of blocks will begin soon, while pilot projects are to be carried out post that.
Pilot projects include determining how the extraction will be made. It also will consider situations as to whether the mineral will be sent to India in brine form or put up or invest in processing units.
Post that, commercial mining activity is expected to start.
“So by 2027 we are expecting to start commercial mining. And before that take a call on the possible investment. As of now, KABIL can manage exploration activities from its own resources with no additional fund raising,” the official said.
