GOI grants composite licence for critical minerals exploration in CG

Raipur: A composite licence for nickel, chromium, and platinum group of elements (PGE) block exploration in Chhattisgarh's Mahasamund district was granted by the Indian govt following a competitive auction. The two-year agreement, effective April 1, 2025, covers a 30 sq km area in Bhalukona-Jamnidih and is seen as a significant step for India's critical minerals sector. Geological surveys indicate promising potential, drawing comparisons to major global nickel belts. While exploration is in the early stages, the aim is to establish a sustainable operation, potentially utilising green processing techniques. The project emphasises community benefits and environmental responsibility, aligning with national self-reliance goals in strategic minerals.

Upon completion of the statutory and regulatory procedures, the Chhattisgarh govt granted and executed the Composite Licence deed over the Bhalukona-Jamnidih under Basna development block, covering an area of 30 sq km. The deed was executed on April 1, 2025, and the registration process was completed on April 2, 2025.

Mining and processing are expected to create more than 500 direct local employment opportunities and a similar amount in indirect employment. It will contribute significantly to the exchequer through royalty and taxes. Further local development will happen. The product will be used mainly in India as this country will need a lot of these metals for the green energy transition, according to sources.

"During March 2023, Deccan Gold Mines Limited (DGML), through a competitive auction held by the govt of India, secured the Nickel, Chromium, and associated PGE (Platinum Group Elements) concession in Chhattisgarh," stated the mining department.

The geology of the project area is highly prospective for Ni, Cr, PGE, and possibly Cu deposits. Analysis of the mapping and sampling by GSI shows the area has similar geology and geochemistry to some of the famous nickel belts around the world, including the Merensky Reef in South Africa and the Ahmavara Mine in Finland – both significant producers of nickel and PGEs.

While it is still too early to speculate on the size of any deposit at Bhalukona, the company's vision is to discover deposits that would support a modest operation producing upwards of 10,000 tonnes of nickel per annum. The actual means of production is yet to be determined. "We are particularly interested in recent advancements in processing technology and are hopeful that any deposit discovered will be amenable to "green" processing techniques such as bioleaching, and that the concentrate could be refined and used in India," a company official said.

The company asserted that mineral resource projects should provide direct benefits to local communities and all of society. During the exploration stage, immediate benefits to local communities may be limited to small-scale labour hire and local logistics supply, but this initial engagement sets the foundation for a longer-term social licence to operate if a mineable mineral deposit exists on the licence area.

Over the next few years, the company, using quality scientific exploration methods for the project, looks forward to demonstrating to its shareholders, govts, and the communities of Bhalukona and Jamnidih how the development of mineral projects can bring benefits to all stakeholders.

"Our technical team, with its several years of experience and expertise, is fully committed to developing the project using state-of-the-art technology and world-class exploration techniques. Moreover, the company is committed to operating in a socially and environmentally friendly manner and contributing to the economic development of the state of Chhattisgarh," according to Dr Hanuma Prasad Modali, MD, DGML, which remains the first and only strategic and critical mineral resource company listed on the BSE. "We are keen to work in the state of Chhattisgarh and contribute to its progress and development going forward," said Naushad Ahmed, Vice President Business Development.

The execution of the Bhalukona nickel licence in Chhattisgarh is an exciting and significant step in the mission to make Atmanirbhar Bharat a reality and secure the supply of strategic and critical minerals for India and the company's 40,000 Indian shareholders, he said. It is a seamless licence from prospecting to mining. Once commercially viable resources are discovered, the company will get ML.

Raipur: A composite licence for nickel, chromium, and platinum group of elements (PGE) block exploration in Chhattisgarh's Mahasamund district was granted by the Indian govt following a competitive auction. The two-year agreement, effective April 1, 2025, covers a 30 sq km area in Bhalukona-Jamnidih and is seen as a significant step for India's critical minerals sector. Geological surveys indicate promising potential, drawing comparisons to major global nickel belts. While exploration is in the early stages, the aim is to establish a sustainable operation, potentially utilising green processing techniques. The project emphasises community benefits and environmental responsibility, aligning with national self-reliance goals in strategic minerals.

Upon completion of the statutory and regulatory procedures, the Chhattisgarh govt granted and executed the Composite Licence deed over the Bhalukona-Jamnidih under Basna development block, covering an area of 30 sq km. The deed was executed on April 1, 2025, and the registration process was completed on April 2, 2025.

Mining and processing are expected to create more than 500 direct local employment opportunities and a similar amount in indirect employment. It will contribute significantly to the exchequer through royalty and taxes. Further local development will happen. The product will be used mainly in India as this country will need a lot of these metals for the green energy transition, according to sources.

"During March 2023, Deccan Gold Mines Limited (DGML), through a competitive auction held by the govt of India, secured the Nickel, Chromium, and associated PGE (Platinum Group Elements) concession in Chhattisgarh," stated the mining department.

The geology of the project area is highly prospective for Ni, Cr, PGE, and possibly Cu deposits. Analysis of the mapping and sampling by GSI shows the area has similar geology and geochemistry to some of the famous nickel belts around the world, including the Merensky Reef in South Africa and the Ahmavara Mine in Finland – both significant producers of nickel and PGEs.

While it is still too early to speculate on the size of any deposit at Bhalukona, the company's vision is to discover deposits that would support a modest operation producing upwards of 10,000 tonnes of nickel per annum. The actual means of production is yet to be determined. "We are particularly interested in recent advancements in processing technology and are hopeful that any deposit discovered will be amenable to "green" processing techniques such as bioleaching, and that the concentrate could be refined and used in India," a company official said.

The company asserted that mineral resource projects should provide direct benefits to local communities and all of society. During the exploration stage, immediate benefits to local communities may be limited to small-scale labour hire and local logistics supply, but this initial engagement sets the foundation for a longer-term social licence to operate if a mineable mineral deposit exists on the licence area.

Over the next few years, the company, using quality scientific exploration methods for the project, looks forward to demonstrating to its shareholders, govts, and the communities of Bhalukona and Jamnidih how the development of mineral projects can bring benefits to all stakeholders.

"Our technical team, with its several years of experience and expertise, is fully committed to developing the project using state-of-the-art technology and world-class exploration techniques. Moreover, the company is committed to operating in a socially and environmentally friendly manner and contributing to the economic development of the state of Chhattisgarh," according to Dr Hanuma Prasad Modali, MD, DGML, which remains the first and only strategic and critical mineral resource company listed on the BSE. "We are keen to work in the state of Chhattisgarh and contribute to its progress and development going forward," said Naushad Ahmed, Vice President Business Development.

The execution of the Bhalukona nickel licence in Chhattisgarh is an exciting and significant step in the mission to make Atmanirbhar Bharat a reality and secure the supply of strategic and critical minerals for India and the company's 40,000 Indian shareholders, he said. It is a seamless licence from prospecting to mining. Once commercially viable resources are discovered, the company will get ML.