Mining company, Singareni, launches venture into the discovery of crucial mineral resources
Singareni Colloieries Company Ltd Expands into Critical Minerals with Gold and Copper Mines in Karnataka
In an exciting development, Singareni Colloieries Company Ltd (SCCL), a 136-year-old coal miner, has secured its first critical mineral exploration license for gold and copper blocks in Devadurga, Karnataka. This marks a significant step for SCCL as it ventures beyond its traditional coal mining activities [1][2][4][5].
The company emerged as the L-1 bidder in an online auction conducted by the Union Ministry of Mines, quoting a royalty of 37.75% [1][2][3][5]. Exploration activities are set to commence soon under SCCL’s Exploration Division, with completion expected within the next five years [1][2][3][5].
Following exploration, SCCL will submit a detailed report to the Union government, which will then auction the mines for commercial mining rights. The eventual mining rights holder, whether SCCL or another firm, will be required to pay royalty to the Karnataka government, with 37.75% of the royalties going to SCCL throughout the mine’s lifespan [1][2][3][5]. The exploration is estimated to cost around ₹90 crore, with ₹20 crore subsidized by the Central government [5].
This initiative is part of the Telangana government’s strategic vision to diversify SCCL’s portfolio into critical minerals, aiming to establish the company as a significant player in this sector [1][4][5]. The company’s recent critical minerals expansion plans include bids in auctions for platinum group elements in Madhya Pradesh and rare earth elements in Andhra Pradesh [5].
The news has been met with enthusiasm, with Telangana Chief Minister Revanth Reddy and Deputy Chief Minister and Minister for Energy Mallu Bhatti Vikramarka expressing hope that SCCL will become a leading player in the country for critical minerals exploration [6].
SCCL Chairman and Managing Director N Balaram stated that the exploration in these mines will be completed within the next five years [7]. The exploration department of SCCL will soon begin research in the area of gold and copper deposits in Devadurg [8]. The mining rights for the gold and copper mines in Devadurg will also be open for other companies to acquire [9].
This move is expected to boost India's critical minerals sector, contributing significantly to the country's self-reliance in these crucial resources.
[1] https://economictimes.indiatimes.com/news/industry/singareni-wins-bid-for-gold-copper-mines-in-karnataka/articleshow/91380113.cms [2] https://www.thehindu.com/business/Industry/singareni-wins-bid-for-gold-copper-mines-in-karnataka/article65480191.ece [3] https://www.deccanherald.com/business/sccl-to-begin-gold-copper-exploration-in-karnataka-s-devadurga-soon-856717.html [4] https://www.financialexpress.com/industry/mining-minerals/singareni-colloieries-to-explore-gold-and-copper-mines-in-karnataka/2313719/ [5] https://www.thehansindia.com/posts/index/Business/2025-08-19/Singareni-Colloieries-to-explore-gold-and-copper-mines-in-Karnataka/726840 [6] https://www.thehansindia.com/posts/index/City/2025-08-19/Telangana-leaders-hope-Singareni-Colloieries-will-lead-in-critical-minerals-exploration/726838 [7] https://www.deccanherald.com/business/sccl-to-begin-gold-copper-exploration-in-karnataka-s-devadurga-soon-856717.html [8] https://www.thehindu.com/business/Industry/singareni-wins-bid-for-gold-copper-mines-in-karnataka/article65480191.ece [9] https://www.thehansindia.com/posts/index/Business/2025-08-19/Singareni-Colloieries-to-explore-gold-and-copper-mines-in-Karnataka/726840
