Hindustan Copper and GAIL to Collaborate on Exploration of Critical Minerals in India and Abroad
Hindustan Copper Ltd (HCL) is set to sign a Memorandum of Understanding (MoU) with GAIL (India) Ltd for the joint exploration of critical mineral assets in a strategic move to strengthen India’s clean energy ecosystem and reduce dependency on imported resources. A senior official familiar with the development confirmed the upcoming agreement, which will mark a significant step toward building a resilient domestic value chain for minerals vital to energy transition technologies.
The partnership aims to pool the core strengths of both central public sector enterprises — HCL’s expertise in mining and resource development, and GAIL’s vast experience in energy infrastructure. Together, they plan to identify, evaluate, and develop prospective mineral blocks both within India and abroad. The focus will be on copper and other critical minerals that are essential for manufacturing electric vehicles, solar panels, battery storage units, and other components of low-carbon infrastructure. “This partnership aligns with our long-term strategy to diversify mineral sourcing and create a robust domestic ecosystem for critical raw materials,” the official said. He added that the collaboration would also enhance India’s strategic autonomy in securing key inputs for future energy technologies.
This is part of a broader series of alliances initiated by Hindustan Copper in recent months. On June 30, HCL signed a similar pact with Coal India Ltd to jointly explore mineral blocks, with the potential to involve international partners. Earlier in June, HCL formalized an agreement with RITES Ltd to bolster logistics and supply chain systems for critical minerals. It has also teamed up with Indian Oil Corporation and GAIL in a separate initiative to jointly bid for blocks listed in upcoming government auctions. On the global front, Hindustan Copper signed a landmark MoU in April with Chilean state-run mining giant CODELCO — one of the world’s largest copper producers. That agreement, HCL’s first international strategic mining partnership, was aimed at exchanging technical knowledge, fostering joint research, and exploring commercial opportunities for mineral exploration and development.
These developments come at a time when copper and other strategic minerals are playing a central role in India’s clean energy shift. Copper, in particular, is critical for power transmission, EV infrastructure, and grid-scale batteries. The government has made it clear that building domestic capacity in these resources is vital. The Ministry of Mines has launched a series of auctions for mineral blocks across the country, seeking to reduce import dependency and encourage public-private investments in exploration. Hindustan Copper, the only vertically integrated copper producer in India, is currently in the midst of a ₹2,000-crore expansion plan. The company aims to increase its ore production capacity from 4 million tonnes per annum (MTPA) to 12.2 MTPA by the financial year 2030. This capacity addition is seen as essential to meet the surging demand for copper in domestic and global markets. The company has also reported record performance in FY 2024–25, including its highest-ever turnover and profit, driven by improved operational efficiency and rising commodity prices.
The strategic collaboration with GAIL comes at a time when India is accelerating its efforts to secure supplies of lithium, cobalt, rare earth elements, and other metals critical for clean energy and high-tech manufacturing. The Centre’s mineral strategy prioritizes the development of a full-fledged critical minerals ecosystem, combining exploration, processing, and circular economy models such as battery recycling. By combining mining expertise and energy sector experience, the HCL–GAIL partnership seeks to not only address immediate supply chain gaps but also build long-term capabilities for sustainable and secure resource management. The collaboration also reflects a growing trend of cross-sector alliances among Indian public sector enterprises to tackle shared strategic goals.
As India positions itself as a global manufacturing hub for energy and technology solutions, partnerships like these are expected to play a foundational role in achieving mineral independence. Both HCL and GAIL are expected to begin groundwork on identifying priority mineral zones shortly after the MoU is formally signed.
