Udaipur, May 29, 2025 — In a historic development for India’s mining sector, Hindustan Zinc Limited (BSE: 500188 & NSE: HINDZINC), a Vedanta Group company and the world’s largest integrated zinc producer, has emerged as the preferred bidder for the country’s first Potash & Halite block in Rajasthan and a Rare Earth Elements (REEs) block in Uttar Pradesh, under the fifth tranche of the Centre’s critical and strategic minerals e-auction.
This strategic acquisition not only boosts Hindustan Zinc’s critical minerals portfolio to three blocks—including a tungsten block in Andhra Pradesh—but also positions the company as a pioneering force in India’s journey toward mineral self-reliance and energy transition.
First-Ever Potash Block: A Step Toward Fertilizer Self-Sufficiency
The Potash & Halite block, located in Hanumangarh district of Rajasthan, spans 1,841.22 hectares and is currently classified under G3-level exploration. Potash is an essential component of NPK fertilizers, which are central to India’s agrarian economy. Presently, India imports 100% of its potash requirements from countries such as Canada, Belarus, and Jordan.
Commenting on this milestone, Union Minister of Coal & Mines, G. Kishan Reddy, stated on X:
“For the First Time in India! Paving the Way for Potash Mining… India takes a bold leap towards self-reliance in fertiliser minerals… unlocking the potential of potash mining will reduce import dependence and strengthen the backbone of our agriculture—our farmers!”
This successful bid marks a transformative moment for India’s fertilizer sector, significantly enhancing domestic mineral security while promising affordable inputs for farmers and reduced foreign dependence.
Rare Earth Elements Block: Unlocking Strategic Metals
The Rare Earth Elements block, located in Sonbhadra district of Uttar Pradesh, covers 210.01 hectares and is also at the G3 exploration stage. Rare Earth Elements are vital for high-tech electronics, clean energy technologies, and defense applications — making them one of the world’s most strategically important resource categories.
The addition of REEs to Hindustan Zinc’s portfolio solidifies the company’s emergence as a multi-mineral powerhouse ready to support India’s technological and industrial evolution.
Industry Leadership and Sustainable Growth
Arun Misra, CEO of Hindustan Zinc, expressed pride in this strategic expansion:
“Securing the first-ever potash block of India and Rare Earth Elements block is a testament to our prowess in strategic mineral exploration. We are aggressively foraying into the critical minerals segment and stand resolute in our commitment to support the nation’s mineral security goals for rapid economic growth.”
He further emphasized that these blocks will catalyze direct and indirect employment, infrastructure development, and new investments across states, while reinforcing the company’s long-term value creation for stakeholders.
Driving the Energy Transition and Global Supply Chains
Both blocks represent significant exploration potential, and Hindustan Zinc is well-positioned to unlock value using its in-house mining expertise. These developments align with the company’s vision of powering the global energy transition, where critical minerals like potash, REEs, and tungsten are increasingly vital.
As a globally recognized leader, Hindustan Zinc already supplies to over 40 countries, holds a 77% market share of primary zinc in India, and ranks among the top 5 silver producers worldwide. It was recently recognized as the world’s most sustainable metals and mining company for the second year running by the S&P Global Corporate Sustainability Assessment 2024.
Bhupendra Singh Chundawat is a seasoned technology journalist with over 22 years of experience in the media industry. He specializes in covering the global technology landscape, with a deep focus on manufacturing trends and the geopolitical impact on tech companies. Currently serving as the Editor at Udaipur Kiran, his insights are shaped by decades of hands-on reporting and editorial leadership in the fast-evolving world of technology.
