- Overview: In a bid to end monopolistic supply chain vulnerabilities, India and Australia signed a sweeping ‘Critical Minerals Partnership’, securing long-term Indian access to Australian lithium, cobalt, and rare earth element (REE) mines.
- Key Points:
- Countering China: The pact is a strategic move to bypass China, which currently processes over 70% of the world’s rare earth and lithium resources.
- EV Revolution Catalyst: Ensures a steady supply of battery-grade lithium for India’s booming Electric Vehicle (EV) and energy storage manufacturing sectors.
- Investment Outflow: Indian PSUs like KABIL (Khanij Bidesh India Ltd) will co-invest and acquire equity stakes in Australian greenfield mining projects.
- Geopolitical Synergy: Aligns with the broader objectives of the Supply Chain Resilience Initiative (SCRI) launched by India, Japan, and Australia.
Source Link: Ministry of Mines – KABIL Initiatives
- Q4. The ‘Lithium Triangle’, known for hosting the world’s largest reserves of lithium, comprises which of the following countries?
- A) Australia, Indonesia, and Chile
- B) Argentina, Bolivia, and Chile
- C) China, DRC (Congo), and Australia
- D) Argentina, Brazil, and Peru
