New Delhi: The Ministry of Mines will launch the auction of two offshore mineral blocks in the Andaman Sea region on October 1, marking a move to expand mineral exploration beyond India’s onshore resource base.
The blocks will be offered for the grant of Composite Licence under the legal framework governing offshore mineral resources. The Ministry said the auction is intended to encourage systematic exploration, attract investment and support the use of advanced technologies for offshore mineral exploration and development.
Two Andaman Sea Blocks to Be Offered Through Auction
The two mineral blocks will be auctioned under the Offshore Areas Mineral (Development and Regulation) Act, 2002 and the Offshore Areas Mineral (Auction) Rules, 2024, as amended.
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The Ministry of Mines gained the authority to auction offshore mineral blocks following amendments to the OAMDR Act in 2023. The auction mechanism provides for competitive allocation of offshore mineral resources.
Offshore Minerals Seen as Important for Future Supply Chains
The Ministry said offshore mineral resources could become relevant to India’s requirements for technologies associated with clean energy, electric mobility, advanced electronics and strategic industries.
Minerals including cobalt, nickel, manganese, copper and rare earth elements are important inputs for several such applications.
The government said developing domestic offshore resources could contribute to mineral resource security and reduce dependence on external sources, while supporting India’s broader efforts towards self-reliance.
Auction to Open Scope for Offshore Exploration
The Ministry said the auction is expected to encourage systematic exploration and private-sector participation in an emerging area of mineral development.
It also highlighted the potential role of advanced technologies in offshore exploration and said the initiative could help expand India’s mineral resource base for future industrial and strategic requirements.
The auction forms part of the government’s broader framework for developing offshore mineral resources through competitive allocation and regulated exploration.
Move Comes Amid Focus on Mineral Resource Security
The Ministry has linked offshore mineral exploration with India’s long-term requirements for resilient supply chains and emerging technologies. The Andaman Sea auction therefore represents an expansion of the country’s mineral-resource exploration framework into offshore areas.
