As China tightens the noose on rare earth exports, India is to soon put into operation its 10,000 tonnes Monazite processing plant in the eastern state of Odisha. The coastal stretch in Bramhagiri in Odisha's Puri district is the second area where the mineral deposits have been found in the state. Previously, deposits have been found in the coastal areas of the Ganjam district.

 

Indian Rare Earths, which has bagged permission to mine rare earths in the coastal stretch, has taken a lease and is looking to mine around 2,500 hectares. 

 

The Atomic Minerals Directorate for Exploration and Research, Hyderabad, a constituent unit under India's Department of Atomic Energy, had conducted a survey and found huge deposits of rare earths minerals in the coastal stretch of Puri.

 

Indian Rare Earths has been mining and separating heavy minerals like ilmenite, rutile, zircon, silimanite, garnet and monazite from beach sands which are high in demand domestically as well as for exports. These minerals are used in the manufacture of white pigment, ceramics, polishing glass and TV tubes.

 

There is another 12,000 tonne Monazite processing plant near Vizag,  the second largest city in Andhra Pradesh, and a major sea port, which is being set up with Toyota's help. The area is expected to yield high purity RE oxides, including Neodymium, that is used in permanent magnets.

 

"The Odisha plant could be commissioned by December. We will carry out dry runs, and hopefully, start production early next year,'' said R N Patra, chairman, Indian Rare Earths Limited.

 

Set up at an investment of $25 million (Rs 1.4 billion), around 2,250 tonnes of RE will be separated at Indian Rare Earth's Aluva facility in Kerala for domestic consumption, while the rest will be exported.

 

Patra added that from a standing start, India would be able to achieve 4% of global production.

The company has managed to mine around 35% of the leased area so far of the 2,400 hectares that has been taken on lease, and separated the heavy minerals from the sand.