Under the leadership of Chief Minister Vishnu Deo Sai, the Chhattisgarh government has set new benchmarks in economic and industrial development through a transparent mining policy, e-auction, digital surveillance, and environmentally sensitive mining strategies. The structured excavation of mineral resources has led to a historic increase in mineral revenue. Since the state’s formation, mineral revenue has grown 30 times, reaching ₹13,000 crore in 2023-24, while ₹11,581 crore has already been earned in the first 11 months of FY 2024-25. This remarkable growth is attributed to transparent mining policies and effective governance. So far, 44 mineral blocks have been successfully e-auctioned, including 14 limestone, 9 iron ore, 11 bauxite, 3 gold, 2 nickel-chromium, 2 graphite, 2 glauconite, and 1 lithium block.

Key Highlights: 

• ₹11,581 Crore Mineral Revenue Earned from April to February in FY 2024-25
• Successful E-Auction of 44 Mineral Blocks: India’s First Lithium Block Auctioned
• Ongoing E-Auction of Three New Iron Ore Blocks in the Bailadila Region
• ₹1,673 Crore Received Under the District Mineral Fund in FY 2024-25; 9,362 Development Projects Approved
• Plan to Establish a State Mineral Exploration Trust

Successful Auction of 10 Critical and Deep-Seated Mineral Blocks

Recognising the strategic importance of critical minerals, the Government of India launched the National Critical Minerals Mission in January 2025. In alignment with this initiative, the Chhattisgarh government has prioritized exploration projects, with 31 out of 56 ongoing projects focused on critical and deep-seated minerals.

So far, 10 such blocks have been auctioned, including 1 lithium, 3 gold, 2 nickel-chromium, 2 graphite, and 2 glauconite blocks. Notably, India’s first lithium block auction was successfully conducted by the central government, allotting the Katghora

lithium block in Korba district to South Mykey Mining Company at a 76% premium. Further lithium exploration is underway in Sukma and Korba districts, with promising reserves.

Bailadila Iron Ore: A Pillar of India’s Mining Industry

Bailadila is home to one of India’s largest iron ore reserves, with ongoing e-auctions for three new iron ore blocks, set to conclude by March 2025. The auction process for the Hahaladdi iron ore block in Kanker district is also in its final stage.

Environmental Sustainability and Transparent Monitoring

The government has implemented several initiatives to ensure environmentally balanced and scientifically driven mining operations. Satellite imagery and mining surveillance systems actively monitor illegal mining activities. Systematic and scientific mining methods are being promoted in minor mineral quarries, with environmental conservation as a priority.

Additionally, the state has introduced a ‘star rating’ system to incentivize leaseholders adopting best mining practices.

Investing Mineral Revenue in Social Development and Infrastructure

A significant portion of mineral revenue is being reinvested in social development. The District Mineral Fund Trust has received ₹1,673 crore in FY 2024-25, funding 9,362 projects in education, healthcare, roads, drinking water, and skill development, significantly improving living standards in mining-affected areas.

Expanding Mineral Exploration and New Projects

The Chhattisgarh government has initiated exploration in 13 mineral projects, covering limestone, bauxite, iron ore, and graphite. Initial surveys indicate reserves of 283 million tonnes of limestone, 67 million tonnes of iron ore, and 3 lakh tonnes of bauxite.

Exploration of gold, graphite, and glauconite is also underway, while a proposal for uranium exploration in Jajawal, Surajpur district has been submitted to the Department of Atomic Energy.

Additionally, Coal Bed Methane exploration licenses have been granted to Vedanta Ltd. and Oilmax in Koriya district, while Manganese Ore India Ltd. (MOIL) has identified manganese deposits in Balrampur.

To streamline exploration efforts, the central government has established the National Mineral Exploration Trust. The Chhattisgarh government is also working to create a State Mineral Exploration Trust to systematically develop and explore minor minerals.

Chhattisgarh: A Mining and Economic Powerhouse

Chhattisgarh is one of India’s most mineral-rich states, boasting 28 types of minerals, including coal, iron ore, limestone, bauxite, gold, nickel, chromium, and platinum group elements. Under Chief Minister Vishnu Deo Sai’s leadership, the state’s transparent policies, sustainable strategies, and efficient administration are positioning Chhattisgarh as a leading industrial and economic hub.

Leveraging its vast mineral wealth, the state is not only achieving economic growth but also advancing toward sustainable and green development. In the coming years, Chhattisgarh is set to further solidify its identity as India’s premier mining hub through strategic initiatives and resource management.

Views expressed by: P. Dayanand, IAS, Secretary, Mineral Resource Department, Government of Chhattisgarh

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