Singareni Collieries Company (SCCL) has decided to set up a rare earth elements (REE) processing plant in collaboration with the Non-Ferrous Materials Technology Development Centre (NFTDC).

The pilot plant, expected to be built soon, will focus on extracting rare earth elements from overburden, fly ash, and other waste materials generated from SCCL's coal mining and thermal power activities. The pilot project will be based in Kothagudem and aims to explore the commercial viability of these elements. Initial research has already identified traces of rare earths in the by-products of mining.

The plant's scale will depend on the concentration of rare earth elements and their economic feasibility. The collaboration was formalised with an agreement signed by officials from both organizations on 23 October, 2025.