India Confirms 8.52 Million Tonnes of Rare Earth Reserves, Expands Global Mining Diplomacy

Highlights

• India possesses 8.52 million tonnes of rare earth element reserves spread across multiple states.
• Government-backed KABIL is actively pursuing international mineral exploration partnerships.
• Despite large reserves, India's current rare earth exports are minimal at just 18 tonnes over the past decade.

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In a significant update to the global rare earth landscape, India’s Minister of State Dr. Jitendra Singh (opens in a new tab) announced in Parliament that the country holds an estimated 8.52 million tonnes of rare earth element (REE) reserves, making it one of the world’s largest untapped sources.

According to Singh, 7.23 million tonnes of REE oxides are contained within 13.15 million tonnes of monazite sands—a thorium-rich mineral—across beach and inland placer deposits in Andhra Pradesh, Odisha, Tamil Nadu, Kerala, West Bengal, Jharkhand, Gujarat, and Maharashtra. An additional 1.29 million tonnes are found in hard rock deposits in Rajasthan and Gujarat.

The Atomic Minerals Directorate and Geological Survey of Indi (opens in a new tab)a have completed 34 exploration projects, identifying over 482 million tonnes of REE-bearing ore. However, India’s rare-earth exports remain modest—just 18 tonnes over the past decade—and no imports have been recorded, underscoring the country’s current underutilization of its vast reserves.

Strategic Push: International Partnerships and KABIL

To address this, India is placing a strong emphasis on bilateral and multilateral mineral diplomacy. The Ministry of Mines has signed cooperation deals with Australia, Argentina, Zambia, Peru, Zimbabwe, Mozambique, and others, and is actively engaging platforms like the Minerals Security Partnership (MSP), IPEF, and iCET.

A key vehicle for this outreach is Khanij Bidesh India Ltd (KABIL), (opens in a new tab) a government-backed joint venture. KABIL has signed an exploration agreement with Argentina’s CAMYEN for five lithium blocks and is in active talks with Australia’s Critical Minerals Office.

Critical Questions for Investors

• How up-to-date is the documented geology and mineralogy? 
• Will India open its REE sector to private and foreign direct investment, or maintain state control?
• Are processing and separation capabilities in place to move beyond raw extraction—especially for high-demand elements like NdPr andDy?
• Can KABIL secure long-term offtake agreements or will projects stall without downstream infrastructure?
• Will India’s large thorium content in monazite sands complicate REE commercialization due to nuclear regulations?

REEx Take: India is making a credible play to become a rare earth superpower—but execution will depend on policy liberalization, environmental clearance speed, and market transparency. For investors, India is a high-volume, high-potential but high-friction opportunity in the global rare earth value chain.  The latter can pose real problems for investors.

Source: NDTV / Indo-Asian News Service | Reporting from Parliament, New Delhi