A tepid start: India's critical mineral block auctions see weak response

In these auctions, the government grants two types of concessions: a mining lease allows the winning bidder to directly undertake mining operations

The Ministry of Mines last week annulled the auction process for five blocks under the ongoing tranche-5 of the critical mineral auction, citing poor investors’ response. 

Under the Mineral (Auction) Rules, 2015, the auction was cancelled as there were no bids for three blocks — the Katesar-Guneri Glauconite Block in Gujarat, the Kelenda Glauconite Block in Chhattisgarh, and the Holalkere-Doddaghatta Nickel and PGE Block in Karnataka. 

The sale of two other blocks — the Khobna and Agargaon Cluster Tungsten Block in Maharashtra and the Mincheri Rare Earth Element Block in Karnataka — was annulled as the criteria of minimum three