NLC India declared preferred bidder for critical mineral block in Telangana

NLC India Ltd. was declared the preferred bidder for the Parvathapur Vanadium, Titanium and Aluminous Laterite Block in Telangana on Friday, June 12.

The state-run miner received the preferred bidder status following the critical and strategic mineral block e-auction conducted by the Ministry of Mines on June 11.

The block is located in the Sangareddy district of Telangana and contains minerals that are considered strategically important for sectors such as energy storage, defence, aerospace and advanced manufacturing.

The development marks another step in NLC India's efforts to diversify beyond its traditional lignite mining and power generation businesses into the critical minerals segment, which has become a key focus area under the government's National Critical Mineral Mission.

The announcement comes days after the Government of India diluted its stake in NLC India through an Offer for Sale (OFS), where it exercised the full greenshoe option after the institutional portion was subscribed 5.22 times.

This increased the total offer size to 4.16 crore shares, or 3% of the company's equity capital, from the initially planned 2%. The OFS had a floor price of ₹303 per share, while bids in the non-retail category cleared at ₹323.10 per share.

As of the March 2026 quarter, the government held a 72.2% stake in the company. Following the OFS, the government's shareholding is expected to decline by up to three percentage points.

Earlier this week, the company signed an MoU with the CSIR-Central Electrochemical Research Institute

to collaborate on technologies for the extraction and recovery of rare earth elements and other critical minerals from mine overburden, tailings and other secondary resources.

Shares of NLC India were trading 2.13% up on Friday at ₹316.95. The stock has gained 24% so far this year.