The Ministry of Mines has launched an auction for two offshore mineral blocks in the Andaman Sea, opening access to polymetallic nodules and crusts rich in strategic metals. The move aims to reduce India’s dependence on imported minerals and strengthen domestic supply chains for clean energy and advanced manufacturing. The auction is governed by the Offshore Areas Mineral (Development and Regulation) Act, 2002 and the Offshore Areas Mineral (Auction) Rules, 2024.
Key facts
- Two blocks auctioned: Sewell Rise-01 and West Sewell Ridge-01
- Location: Andaman Sea (Sewell Rise in southern region; West Sewell Ridge off Great Nicobar Island)
- Total area: over 1,632 square kilometres
- Minerals present: cobalt, nickel, manganese, copper and rare earth elements
- Tender documents on sale from: 1 October 2026
- Pre-Bid Conference: 4 November 2026
- Query submission deadline: 13 November 2026
- Tender document purchase deadline: 21 December 2026, 5:00 PM IST
- Bid submission deadline: 28 December 2026, 5:00 PM IST
- Auction platform: MSTC (Metal Scrap Trading Corporation)
What minerals are being auctioned
The two offshore blocks contain polymetallic nodules and crusts, which are potato-sized rocks found on the ocean floor. These nodules and crusts naturally accumulate metals such as cobalt, nickel, manganese, copper and rare earth elements. These materials are essential for manufacturing lithium-ion batteries for electric vehicles, renewable energy storage systems, electronics and defence applications. Currently, India imports a significant portion of these minerals, making offshore exploration strategically important for long-term mineral security.
Why this auction matters
India’s demand for minerals used in clean energy and advanced manufacturing is growing rapidly. Securing domestic sources reduces reliance on imports and helps stabilise costs. The Ministry of Mines views offshore mineral exploration as a new frontier that can supplement land-based mining. The Secretary of the Ministry emphasised the need for responsible, environmentally conscious development of these resources alongside scientific and technological innovation.
How the auction works
The auction follows a transparent electronic bidding process conducted through the MSTC platform. The process is open to prospective bidders who meet the eligibility criteria outlined in the detailed tender documents. Interested parties must purchase tender documents by 21 December 2026. A Pre-Bid Conference on 4 November will allow bidders to clarify questions about the blocks, terms and conditions. Queries must be submitted by 13 November. Final bids will be accepted until 28 December 2026 at 5:00 PM IST.
What applicants need to know
All eligibility criteria, block details, auction terms and tender conditions are available on the MSTC auction platform. The auction grants a Composite Licence, which allows both exploration and development rights for the awarded blocks. The Ministry is specifically inviting industry stakeholders, explorers with technological capabilities and public sector enterprises to participate. Successful bidders will be required to follow environmental standards and use appropriate technology for responsible resource extraction.
What this means for you
If you work in mining, materials science, renewable energy or manufacturing, this auction opens new business opportunities in India’s emerging offshore mineral sector. For investors and companies in defence, electronics and electric vehicle industries, successful development of these blocks could reduce material costs and supply chain risks. Students and professionals in geology, marine engineering and environmental management may find new career paths in offshore mineral exploration and development.
What happens next
Tender documents are available for purchase from 1 October 2026. The Pre-Bid Conference on 4 November will address questions from prospective bidders. The submission window for bids closes on 28 December 2026. Following the auction, successful bidders will receive a Composite Licence to explore and develop the mineral resources in their respective blocks.