Hindustan Zinc is set to expand its metal portfolio by introducing three new metals over the next five years, supported by a pipeline of ten mineral blocks currently under exploration. Chief Executive Officer Arun Mishra disclosed that the company recently acquired a rare earth mineral block rich in monazite in Uttar Pradesh and is now awaiting regulatory clearances to start geological exploration.
“We are waiting to get the license, sign an agreement and then we will conduct the geological exploration,” Mishra stated.
Monazite is a significant mineral containing neodymium, a crucial rare earth element utilized in permanent magnets for electric vehicles (EVs), wind turbines, and electronics.
Focus on Mining
The mining of rare earth minerals has become increasingly important for India, particularly as China has restricted its exports to safeguard its reserves for domestic use. These export limitations have impacted various industries, including battery and EV manufacturers.
According to the Indian Mineral Yearbook from March 2021, India possesses an estimated 12.73 million tons of monazite, predominantly found along beach sands in states such as Kerala, Tamil Nadu, Andhra Pradesh, and Odisha.
Hindustan Zinc aims to add three additional metals to its portfolio over the next five years, which could include copper, gold, or other options.
Exploration Timeline
“We must ensure there is no forest cover before we can begin exploration. Therefore, we are targeting to start exploration by July or August; we aim to initiate activities across all blocks,” Mishra noted.
The company has started diversifying its mineral portfolio by acquiring potash and tungsten blocks, significantly enhancing Hindustan Zinc’s position in India’s critical minerals sector, particularly within the rare earth ecosystem, which is essential for defense, electronics, and clean energy.
Addressing the challenges related to ore quality, Mishra explained that many mines remain largely unexplored, resulting in lower premiums for these resources.
Silver Demand
Despite the volatility and recent surge in silver prices, Mishra anticipates robust demand driven by applications in photovoltaic cells and other industries. He noted that no metal besides gold exhibits better conductivity than silver.
“Finding an alternative will not be easy. The industrial demand for silver will continue to increase, thus prices are expected to rise,” he concluded.
The article was published on April 27, 2026.
