Assam, which is traditionally know for its oil and natural gas reserves and tea plantations, is looking to expand in a big way in the mining sector, including that of rare earth elements.

A study released by Geological Survey of India in June on geological potential of North East India said that Assam’s Jashora and Samchampi alkaline complexes located in Karbi Anglong district have demonstrated “encouraging results” of rare earth elements concentration ranging from 1,000 to 5,000 ppm (parts per million) alongside associated elements such as niobium and ytrrium.

“Critical minerals have been found in two hill districts of Assam — Dima Hasao and Karbi Anglong and according to the reports of the GSI, they are rich in rare earth elements and we are going in full swing to tap into the potential. We are putting a lot of pressure on GSI to submit the reports quickly so that we can go for auction, said Ajay Tewari, additional chief secretary to the government of Assam, department of home, mines and minerals.

Speaking at an event organised by Assocham in Calcutta on Friday, Tiwari said that the mineral rich districts of Assam, which were earlier unapproachable due to insurgency, can now benefit from mining activities and the state by working with local authorities has already started mobilising public opinion.

“We have sped up the process of giving clearances. We are also working in tandem with the private players, the government institutions,” said Tewari.

He said that the state is expected to see a significant investment from the cement industry in the coming years following the auction of five limestone blocks earlier in February. Dalmia Bharat, Ambuja Cements and Star Cement were among the preferred bidders for these blocks.

The GSI report estimates that Assam’s largest non-energy mineral resource is limestone with over 1,490 million tonnes delineated in Dima Hasao district alone.

Tewari also said the state is planning to tap into its unexplored coal reserves.

“The chief minister of Assam had a discussion with the Union coal minister that there is a place called Lekhapani close to the Arunachal border which is rich in coal but has not been explored so far.

“The primary reason was insurgency. But now it’s absolutely clear. If Coal India has any reservation, we will move ourselves as there are private parties as well in the mining sector,” he said.

Highlighting the state’s focus on the mining industry, Tewari said that at the Advantage Assam event in February, there were 14 memorandum of understandings in the mining sector for more than ₹46,000 crore investment.