The question is in limelight since 2010 whether the private or non-government can enter into the business of Atomic Mineral or the Rare Earth Minerals(REE) or not? The Ministry of Mines in 2010 decided to allocate 62 Offshore Blocks to 16 private parties for Atomic Minerals and REE. Similar to Coal block Allocation, the large scale irregularities prevailed here also and the entire allocation process got stuck as coal blocks. It was found in an enquiry that many of the prospective applicant Companies had same set of Directors and Chiefs in their Board at the same time. Also the date of registration of the few Companies is post notification inviting Tender. The matter became so doubtful that even an enquiry of CBI was ordered. As a result, Indian Bureau of Mines (IBM) cancelled the allocation of 2010 on 30th of June 2016. Aggrieved by this decision, some of the applicants approached Delhi High Court. Delhi High Court on 25th of April, 2019 has directed the Government to execute the Prospecting License (PL) for the Atomic Minerals and REE which have been allocated to them. The Central Government has recently challenged the decision of Delhi High Court in the Supreme Court (SC) on the ground that the process of selection by the Screening Committee lacked the transparency and due diligence. The case is very similar to those of the Coal Block Allocation Scam.
What is Atomic Mineral and REE?
Atomic minerals are the most important among non-fossil energy resources. They are found in the slate rocks of the pre-Cambrian (Archean Schist) and Dharwar periods in India. Uranium and Thorium are major minerals for the production of atomic energy. Uranium and Thorium are major minerals for the production of atomic energy. Uranium is mined directly whereas for thorium is obtained mainly from monazite and limonite. Thorium is also obtained from beryllium, zircon, antimony and graphite. ( Courtsey : Jagran Josh)
Where do these occur in India?
In India, the major occurrences of Atomic Mineral are found at following places: Uranium: The largest deposit of Uranium is reported from East Singhbhum district of Jharkhand. Hazaribagh of Jharkhand and Gaya of Bihar comes next. It is also found in sedimentary rocks of Saharanpur District of Uttar Pradesh. Beach and alluvial Monazite have been found in Kerala. Uranium is also associated with copper and zinc deposits in Udaipur (Rajasthan). Thorium, Beryllium, Zircon are found in Rajasthan, Jharkhand, Bihar, Tamilnadu.
Total Reserve of the Atomic Minerals in India
Uranium: 3,00,034 tonne uranium oxide (U3O8) Beach Sand Minerals [BSM]: 1,173.07 million tonne Thorium (as monazite): 12.47 million tonne (1.12 million tonne ThO2) Itanium (as ilmenite, leucoxene and rutile): 682.30 million tonne Zirconium (as zircon): 35.75 million tonne Garnet: 187.46 million tonne Sillimanite: 255.09 million tonne Monazite, containing ~ 55 - 60% total Rare Earth Elements (REE): ~ 2,000 tonne of ~2% xenotime (yttrium + REE mineral) - bearing heavy mineral concentrate.
What does the Mine Acts say about the Atomic Minerals and the REE?
The First Schedule of Mines and Minerals( Development & Regulation Act, 1957( MMDR) has listed the Atomic Minerals in Part B of Specified Minerals and the Government of India (GoI) has framed the Rules of the Prospecting, Exploration and Mining of Atomic Minerals through Gazette on 11th of July 2016 which is known as Atomic Minerals Concession Rules, 2016. Since the Atomic Minerals are Strategic Minerals, the Rules governing its concession are different from the Mineral Concession Rules of GoI meant for other minerals. Atomic Minerals Directorate for Exploration and Research is the Nodal Agency under Department of Atomic Energy (DAE) for various activities related to Atomic Minerals and REE.
Use of Atomic Minerals and REE
The huge reserves of monazite, ilmenite and rutile are untapped in beach sands of Kerala and Tamil Nadu and are not used for atomic energy production. Monazite is the main REE mineral found in India. These REE are used in modern technological devices such as smartphones, solar panels, wind mills and hybrid car components. As part of its strategy to counter China’s monopoly in rare earth element production, in a first, India also plans to auction one such rare earth deposit in Rajasthan. It is estimated that fossil fuels account for 71% of the electricity output and the government wants to bring it down to less than 60% by 2030 which is also a statutory obligation of Government to abide by the Global Climate Change Action Plan. At Present, India has a total capacity of 5.7 gigawatts (GW) nuclear power generation, which is not more than 2% of the total power capacity. The Department of Atomic Energy’s target is to have 63GW of nuclear power capacity by 2032. The Proposal to establish six nuclear reactors in order to double the present figure has been tabled before the Joint Meetings of Nuclear Power Corporation of India Ltd and US-based Westinghouse Electric Corporation.
Why the Atomic Mineral Concession Rules were needed?
According to the data tabled before the Parliament, the country processed 1,252 tonnes of natural uranium from imported as well as domestic sources in 2014-15. An indigenous 700 megawatts (MW) pressurized heavy water reactor requires about 125 tonnes of uranium a year. As mentioned above and to combat the Climate Change Challenges, it was felt that out of the country’s 1,400 sq. km of atomic mineral-rich area, about 1,000 sq. km along the coast are rich in minerals below specified thresholds. These areas should be offered for prospecting and production through competitive bids. As a result, Atomic Mineral Concession Rules, 2016 has come into existence. After the enactment of the Act, the allocation of the atomic Mineral block has been restricted to Government Company or Government controlled company, but the Act is apparently silent on the Prospecting part of the deposit. But the Mining Entrepreneurs have no reason to invest in the Prospecting and Exploration business unless they get the Mining of mineral also. With respect tobeach sand minerals, the mining operations are being carried out by both PSUs and private entrepreneurs. In respect of other Atomic Minerals like beryl, columbite, tantalite, lepidolite etc., no specific mining operations are being carried out except their recovery as by-products incidental to prospecting operations. However the outcome of the Appeal at SC is awaited which shall decide the further Exploration and Mining of Atomic Minerals and REE.