Hindustan Zinc to Explore Rare Earths, Seeks Global Partners for AI and Drone-Powered Exploration

Hindustan Zinc Ltd (HZL), part of the Vedanta Group, outlined plans to expand into rare earths and other strategic minerals. At its 59th Annual General Meeting, Chairperson Priya Agarwal Hebbar said the company is moving beyond zinc and silver into copper, lithium, nickel, cobalt, potash, and rare earths. Work is also underway on minerals such as neodymium, antimony, graphite, and germanium.

Rare Earth Block Acquisition

The company recently secured a rare earth monazite block through government auctions. This is a land-based, non-radioactive deposit, unlike the bit-sand monazite mined by Indian Rare Earths Ltd. India’s monazite reserves are considered an important source of neodymium, used in permanent magnets for industrial and technological applications.

Government’s Fifth Auction Round

As per news reports, in the latest mineral auction, the government included blocks of potash, tungsten, and rare earths for the first time. HZL emerged as one of the successful bidders in this tranche. This is part of a larger plan to strengthen India’s access to minerals that are critical for energy and technology requirements.

Use of AI and Drones

HZL has issued international tenders for exploration using artificial intelligence and drones. The company is looking to collaborate with partners in countries including Australia, South Africa, Chile, and China.

Importance of Rare Earths

Rare earth elements are widely used in smartphones, wind turbines, electric vehicles, defence systems, and advanced electronics. While these minerals are relatively common in the Earth’s crust, deposits that are commercially viable are limited. Processing is complex and energy-intensive, adding to supply challenges.

At present, China dominates global supply, accounting for around 60-70% of production and refining capacity. This concentration of resources has left many countries dependent on imports. India’s initiatives, including HZL’s expansion, are seen against this backdrop.

Read more: IREL Eyes to Collaborate with Japan, South Korea for Rare Earth Magnet Production!

Hindustan Zinc Share Price Performance 

As of 09:20 AM on August 26, 2025, Hindustan Zinc share price was trading at ₹432.50, a 0.51% decrease from the previous closing price. 

Conclusion

HZL’s expansion into rare earths and critical minerals shows a shift in India’s mining sector toward building a more secure resource base.

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