Coal India, Chhattisgarh Mineral Development Corp sign MoU to explore critical minerals

Coal India Limited (CIL) has signed a non-binding Memorandum of Understanding (MoU) with the Chhattisgarh Mineral Development Corporation Ltd. (CMDC) to jointly explore and develop critical minerals and other resources of mutual interest, the state-run miner said in an exchange filing on Monday.

CMDC is a public sector undertaking of the Chhattisgarh government. The agreement marks a strategic step by CIL—the world’s largest coal producer—as it accelerates efforts to diversify beyond coal and align with India’s growing focus on securing critical mineral supply chains.

"Coal India Limited (CIL) and Chhattisgarh Mineral Development Corporation Ltd. (CMDC)… have executed a Non-Binding Memorandum of Understanding (MoU) for collaboration in the exploration and exploitation of critical minerals and other minerals of mutual interest," the company said in its filing.

Part of CIL’s diversification drive

The MoU follows a series of moves by Coal India to expand into non-coal mineral exploration, including its recent collaborations with IREL (India) Limited for critical mineral development and bids for graphite blocks in Chhattisgarh and Madhya Pradesh.

Critical minerals—such as lithium, cobalt, nickel, graphite and rare earth elements—are essential for manufacturing batteries, electric vehicles, and renewable energy equipment, sectors that are expected to see rapid growth as India pursues its net-zero goals.

The partnership comes as New Delhi intensifies efforts to reduce its dependence on imported critical minerals, particularly from China. The government has listed 30 minerals as "critical" and is encouraging public and private sector participation in exploration, processing, and recycling.