Coal India (CIL) and IREL (India) have signed a non-binding memorandum of understanding (MoU) to collaborate on developing critical minerals, such as rare earth elements (REE) and mineral sands.

The partnership will focus on acquiring assets and sourcing raw materials domestically and internationally, as well as building mining, extraction, and refining capabilities. According to CIL, the initiative aims to reduce India's dependence on imports for critical minerals like lithium and cobalt, supporting the nation's clean energy goals.

The government in the Union Budget 2024-25 had announced Critical Mineral Mission with the aim of expanding domestic production, recycling, and incentivising the acquisition of assets. India is among the few countries capable of producing rare earth elements. Likewise, IREL has been aiming for self-sufficiency in mining, processing, and refining these elements.