Coal India Ventures into Rare Earths with Ontillu-Chandragiri Block Win

Coal India Limited (CIL), the state-owned mining giant, has taken another bold step in diversifying its mineral portfolio. The company has been declared the Preferred Bidder for the Ontillu-Chandragiri Block in Andhra Pradesh under Tranche I of the Exploration Licence Grant Auction conducted by the Ministry of Mines. This acquisition represents a major stride in India’s mission to secure critical rare earth elements (REEs), essential for advancing clean energy technologies and strategic industries.


About the Ontillu-Chandragiri Block

The Ontillu-Chandragiri Block, spread across Tirupati and Chittoor districts in Andhra Pradesh, has been earmarked for the exploration of rare earth elements. These resources play a crucial role in producing high-tech applications such as:

  • Renewable energy systems (wind turbines, solar panels)

  • Electric vehicles and advanced batteries

  • Consumer electronics and telecommunications

  • Defense and aerospace equipment

By winning this block, CIL is positioning itself at the forefront of India’s rare earth exploration drive.


A Milestone in Coal India’s Diversification

Traditionally known for its dominance in coal production, Coal India has been actively diversifying into strategic minerals to support India’s energy transition. The Ontillu-Chandragiri win builds upon its earlier achievements, including:

  • Khattali Chhoti Graphite Block (Tranche II)

  • Oranga-Revatipur Graphite Block (Tranche V)

These acquisitions reflect CIL’s strategic vision to evolve into a multi-mineral company contributing to India’s industrial growth and sustainability goals.


Significance for India’s Clean Energy Future

India is among the world’s fastest-growing markets for electric mobility and renewable energy, both of which rely heavily on rare earth elements and specialty minerals. By securing exploration rights at Ontillu-Chandragiri, CIL is:

  • Reducing India’s dependence on imports of rare earths.

  • Strengthening the domestic supply chain for clean energy technologies.

  • Supporting the government’s “Atmanirbhar Bharat” initiative in critical sectors.


Coal India’s successful bid for the Ontillu-Chandragiri Block is more than a corporate milestone—it is a national step forward in securing vital minerals for the future. As the company diversifies beyond coal, its growing presence in rare earths and graphite underscores its role in shaping India’s clean energy, technology, and industrial transformation.