Hindustan Zinc exploring opportunities in rare earths, critical minerals

HZL Chairperson Priya Agarwal Hebbar said the company is pursuing rare earths, lithium, and other critical minerals, while seeking AI- and drone-led global collaborations

Hindustan Zinc Ltd (HZL) is exploring opportunities in rare earths and other critical minerals, while seeking global partners for AI- and drone-based exploration, Chairperson Priya Agarwal Hebbar told shareholders at the company’s 59th Annual General Meeting on Monday.

 

“We are evolving from being India's greatest and largest zinc and silver producing company to becoming a multi-metal future-enabling enterprise. We are actively pursuing copper, lithium, nickel, cobalt, potash and rare earth elements, along with neodymium from monazite, antimony, graphite and germanium,” Hebbar said. 

 

"In a significant step toward strengthening India's mineral security, the government conducted its fifth tranche auction, which for the first time included blocks of potash, tungsten and rare earth elements. HZL emerged as a successful bidder for these key critical mineral plots," Hebbar added.

 

 

She further said that HZL is likely the first private company in India to secure a rare earth monzonite block, a land-based, non-radioactive deposit, distinct from the bit-sand monazite currently mined by Indian Rare Earths Ltd. India is rich in monazite, a key source of neodymium for rare earth magnets.

HZL exploring global partnerships

Addressing the shareholders, she added that the company has floated international tenders to leverage advanced expertise in artificial intelligence (AI) and drone-led exploration. "As we expand into these critical minerals, we are betting big on global partnerships. We have already floated international tenders for AI and drone-led exploration, tapping advanced expertise from partners in Australia, South Africa, Chile and even China. These minerals are strategic imperatives for India's position in the global value chain," she said. 

 

Rare earths are important for the modern world, powering everything from smartphones and electric vehicles to wind turbines, advanced electronics, and defence systems. Despite their name, these minerals are fairly abundant beneath the Earth’s crust. The real challenge lies in economically viable deposits and the energy-intensive processes required for refining them.

 

Currently, China dominates the rare earths supply chain, not just in production but also in processing. It controls around 60-70 per cent of the global supply chain. The Vedanta group firm's move underscores India's heavy reliance on Chinese resources and the strategic risks that come with it, a concern that Prime Minister Narendra Modi highlighted in his Independence Day address this year.