Four Indian state firms are in talks with Chilean miner SQM to acquire a 20 per cent stake in its two lithium projects in Australia for $600 million, four sources said, in New Delhi’s biggest effort to secure supplies of the key EV battery metal.
Government-backed Khanij Bidesh India Ltd (KABIL) has partnered with Coal India, Oil India, and ONGC Videsh to seek the 20 per cent stake in SQM’s Mount Holland and Andover lithium projects in Western Australia, the sources said. The sources did not wish to be named as the deliberations were not public.
SQM is the world’s second-largest lithium producer. India, the world’s fastest-growing major economy, has intensified efforts to secure a steady supply of lithium, anticipating a surge in demand for the EV battery metal, which is critical to reducing carbon emissions from the world’s third-largest emitter. “This is so far India’s biggest attempt to secure lithium supplies overseas,” one of the sources said. “The due diligence is on, and the companies have expressed their interest with an initial offer.”
