India Eyes Russian Siberian Deposit to Secure Critical Rare Earth Supplies
India is aggressively diversifying its critical mineral supply chains to reduce heavy reliance on China. In a significant strategic move, state-owned miner IREL is reportedly in talks with Russian oil major Rosneft to source rare earth samples from the massive Tomtor deposit in Siberia.
Strategic Move to Diversify from China
As global tensions rise and supply chains become increasingly volatile, India is intensifying its efforts to secure the raw materials essential for high-tech industries. The discussions between IREL, which operates under the Department of Atomic Energy, and Rosneft are being routed through formal government channels.
The proposed plan involves obtaining mineral samples from the Tomtor deposit in Yakutia, which will be processed in Russia before being shipped to India for detailed analysis. This initial phase is crucial; India intends to conduct a comprehensive study of the mineral composition of the Tomtor site before committing to any long-term or large-scale commercial engagements.
The Importance of the Tomtor Deposit
The Tomtor deposit is regarded as one of the world’s largest undeveloped rare earth deposits. Rare earth elements are the backbone of modern technological advancement, serving as indispensable inputs for electric vehicle (EV) motors, advanced defence systems, and various clean energy technologies.
While India holds the world’s third-largest rare earth reserves—estimated at approximately 7.23 million metric tons—the nation currently lacks the large-scale refining capacity required for high-purity separation. Securing access to high-quality deposits like Tomtor is vital for bridging this technological and industrial gap.
Building a Domestic Magnet Manufacturing Ecosystem
India’s pursuit of rare earth elements is part of a larger industrial roadmap. To bolster the domestic ecosystem, the Indian government has approved a ₹73 billion ($770.77 million) programme specifically aimed at boosting domestic rare earth magnet production.
Despite these investments, the country is still in the early stages of scaling up. The current target for domestic magnet production is set for the 2029–30 period. To reach this goal, IREL is pursuing a multi-pronged global strategy:
- Parallel Discussions: IREL is currently in talks with firms in Japan and South Korea.
- Global Exploration: The state miner is evaluating mining prospects in Argentina, Australia, and Malawi.
- Regional Sourcing: India has previously explored sourcing samples from Myanmar to secure its supply lines.
By exploring the Siberian frontier, India is signaling its intent to play a more dominant role in the global critical minerals market and secure its energy and defence sovereignty.
Key Takeaways
- Strategic Sourcing: India’s IREL is negotiating with Russia’s Rosneft to study samples from the massive Tomtor rare earth deposit in Siberia.
- Reducing Dependency: The move is part of a broader effort to diversify supply chains and mitigate the risks of over-reliance on China for critical minerals.
- Industrial Goal: This exploration supports India's ₹73 billion mission to establish domestic rare earth magnet production by 2029–30.