The JV company has the mandate for acquisition, exploration, and processing of strategic minerals abroad for commercial use and for supplying to meet the domestic requirement. The objective of setting up KABIL is to ensure a consistent supply of critical and strategic minerals to the Indian domestic market. While KABIL would ensure mineral security of the nation, it would also help in realising the overall objective of import substitution.
Twelve strategic minerals have been identified and the initial focus will be on lithium
and cobalt. Preliminary due-diligence of identified assets shall be initiated soon. Earlier in February 2019, the central government's planning think tank NITI Aayog had cleared the proposal to form the JV company by the three CPSEs (central public sector enterprises) to acquire minerals that are not available in India. It may be noted that KABIL will be among a handful of companies
in the country for the acquisition of mineral assets abroad.
KABIL would carry out identification, acquisition, exploration, development, mining, and processing of strategic minerals overseas for commercial use and meeting the country’s requirement of these minerals. The sourcing of these minerals or metals is to be done by creating trading opportunities, G2G (government-to-government) collaborations with the producing countries or strategic acquisitions or investments in the exploration and mining assets of these minerals in the source countries.
The new company will help in building partnerships with other mineral-rich countries like Australia and those in Africa and South America, where Indian expertise in exploration and mineral processing will be mutually beneficial bringing about new economic opportunities.