India is pulling out of a lithium project in Mali backed by Russia’s state nuclear corporation, Rosatom, due to security concerns, sources said, as New Delhi seeks to protect its investments in the politically unstable West African country, Reuters reported.
Western nations, including Britain, France, and the United States, have warned citizens to leave Mali amid rising threats from al Qaeda-linked militants targeting economic assets and foreign investments.
Last year, Rosatom approached India’s government-backed firms, Khanij Bidesh India Ltd (KABIL) and NLC India Ltd (NLCI.NS), to explore lithium in Mali, an emerging producer of the metal essential for electric vehicle batteries.
“The project is on hold because we cannot be spending on something where there is a chance we will lose our investment,” one source said. Both sources, directly involved in the decision, spoke on condition of anonymity due to the confidential nature of the discussions.
Don’t Miss This:
Mali Opens $65 Million Bougouni Lithium Mine Backed By UK And China To Boost Resource Sovereignty
India’s mining ministry, KABIL, and NLC India did not respond to Reuters requests for comment, while Rosatom declined to comment.
Russia has been strengthening ties with several African nations, including Mali and Burkina Faso, through military cooperation and other partnerships.
As the world’s fastest-growing major economy, India is seeking a reliable supply of lithium to meet rising demand for the metal, which is critical to reducing carbon emissions in the country, the world’s third-largest emitter.
New Delhi has set targets of 30% electric vehicle penetration and 80% for two-wheelers by 2030, up from current levels of 4% and 6%, respectively.
India has recently intensified efforts to secure critical minerals from resource-rich countries such as Argentina, Australia, and Chile.
In 2024, KABIL signed an exploration and development agreement with a state-owned firm in Argentina to develop five lithium blocks but has not entered into similar deals since.
Don’t Miss This:
China’s Zijin to Launch Congo’s First Lithium Production in June at Disputed Manono Site
Image Credit: The West Africa Democracy Radio (WADR)
