The Mines Ministry is taking steps to formalise the country’s first-ever tailings policy. Over the next 90 days, regulatory bodies like Indian Bureau of Mines (IBM) and Coal Controller’s Office (CCO) “will be asked to take up testing of tailings, determine the available critical minerals and also check if the quantities are enough to be used commercially, G Kishan Reddy, Union Mines Minister, told businessline.
Tailings, which are by-products created during the mineral extraction process, consist of finely-ground rock, water and chemicals used in processing. These materials may exist in various forms, such as liquid, solid or slurry. According to Reddy, testing will not only focus on tailings but also extend to mineral wastes from other sectors, including petroleum. The aim is to determine whether these materials contain critical minerals that can be commercially extracted.
He said that mineral wastes, including from the petroleum sector, will be subject to testing and there will be extraction of deposits to check for available critical minerals. Policy details that are being worked out will include testing of overburden, waste dumping, tailings and rejects, and other mineral wastes.
In addition to the tailings policy, India recently mandated that the existence of critical minerals be declared even for minor mineral leases.
Minerals such as barytes, feldspar, mica and quartz, which were previously classified as minor minerals for industrial uses (such as construction or ceramics), are now required to be examined for their potential as critical minerals. This shift aims to ensure that valuable critical minerals associated with these resources are properly extracted and reported.
“These initiatives are part of the broader steps the Ministry is taking toward implementing the Tailings Policy, which was first announced in the Budget,” Reddy said.
The costs for testing these materials will be covered by Budget provisions, and alternative funding sources such as NMET funds may also be utilised, if needed.
More mineral block auctions
On the auction front, the ministry has successfully auctioned 105 mineral blocks across various categories. Currently, 70 additional auctions are underway, including 25 critical mineral blocks, 13 offshore mineral blocks and 42 major mineral blocks managed by state governments.
According to Reddy, plans for auction of limestone blocks in Jammu and Kashmir in March are being explored; while feasibility studies for lithium blocks in the region are expected to be completed by April or May.
The ministry will also launch exploration licences for offshore mining in March, focusing on areas with higher mineral deposits and lower marine biodiversity, which are better suited for mining activity.