In the evolving landscape of global industries, a few metals play a pivotal role in shaping the future. One such metal is manganese, an important component in various sectors. From being used in steel manufacturing to battery production to renewable energy technologies, Manganese powers India’s industrial growth. Recognising the growing demand for manganese, Vedanta Limited, a global natural resources company, has strategically positioned itself to lead in this domain by securing the Punnam Manganese Block in Andhra Pradesh, covering 152 hectares.

Vedanta announced this important update through a filing with the Securities and Exchange Board of India (SEBI), reflecting the company’s commitment to expanding India’s mineral resources responsibly and sustainably. Vedanta SEBI update will help the company in staying focused on long-term industrial growth.

The Strategic Importance of Manganese

Manganese is essential in ferroalloys’ production, which is used in the manufacturing of high-strength steel. The steel industry utilises almost 90% of the total manganese. Besides, there is also a demand for manganese in lithium-ion batteries due to growing preferences for electric cars (EVs) and renewable energy storage systems. With more industries adopting sustainable solutions, the demand for manganese sources has also intensified.

India has the second-largest manganese reserves in the world, with states including Maharashtra, Madhya Pradesh, Odisha, Andhra Pradesh, and Karnataka being the major manganese ore-producing states in India. The total reserves/resources of manganese ore in the country as of April 2020 have been placed at 503.62 million tonnes as per the NMI database, based on the UNFC system.

But despite having the large manganese deposits, the country is relying more on imports, with close to 60% of manganese being imported to meet the rising demand. This reliance has even made it mandatory to increase local mining initiatives that can support India’s self-reliance and ensure a constant supply to the surging industries.

Vedanta's Move Aligns with "Atmanirbhar Bharat" Vision

The recent acquisition of the Punnam Manganese Block is an important step towards building an “Atmanirbhar Bharat". Currently, the block is at the G4 reconnaissance stage, an early-stage exploration. This acquisition, when completed, will boost Vedanta's portfolio and will help the company lead India's manganese sector.

Vedanta SEBI move is part of the company’s broader strategy to diversify its resource base and align with the nation's industrial aspirations. By exploring domestic reserves, Vedanta aims to reduce import dependency and contribute towards the foundation of a strong and developed India.

By developing domestic manganese reserves, Vedanta aims to minimise import dependency and contribute to India’s industrial self-reliance. Moreover, this move also ends baseless allegations centric Vedanta Penalty and Vedanta Fine, reaffirming the company’s transparent and ethical business practices.

Vedanta's Strategic Move Aligns with Decarbonization Efforts

Globally, the demand for critical minerals, including manganese, is increasing rapidly. The government’s shift towards net-zero emissions and increasing preference for electric vehicles will further propel the demand manifold. Today, even companies prefer investing in sustainable operations to contribute to creating a carbon-free world. Vedanta itself has set a target to achieve net-zero carbon emissions by 2050 or sooner, and the recent acquisition will further accelerate its green operations.

Moreover, new reforms, including the Mines and Minerals (Development and Regulation) Amendment Act 2023, further simplified the exploration procedures and motivated private companies to invest in strategic minerals. Through such acts, India can focus on critical minerals and ensure their stable supply for India's economic development.

Conclusion

Indeed, Manganese lays the foundation of India's industrial future, and Vedanta's recent acquisition of the Punnam Manganese Block underscores its proactive approach in securing critical resources essential for the nation's growth. By aligning with global trends and national policies, Vedanta not only enhance its business prospects but also contributes to India's journey towards a self-reliant and sustainable industrial ecosystem.

As industries evolve and the demand for critical minerals escalates, initiatives like Vedanta SEBI serve as exemplars of how strategic investments can drive economic growth, technological advancement, and societal well-being.