India has decided to step back from a lithium project in Mali backed by Russia’s state nuclear company, Rosatom, citing serious security concerns, sources told Reuters. The move comes as New Delhi looks to protect its investments in the politically unstable West African nation.
Russia has been building ties with several African nations through military cooperation and other partnerships. Mali and neighbouring Burkina Faso are among the countries where Moscow has strengthened its presence.
India pulls out of Russian-backed Mali lithium project
According to Reuters, Western countries including Britain, France, and the United States have recently urged their citizens to leave Mali. The warnings follow growing attacks by militants linked to al Qaeda, who are targeting economic projects and foreign investments.
“The project is on hold because we cannot be spending on something where there is a chance we will lose our investment,” one source involved in the decision told Reuters, speaking on condition of anonymity due to the confidential nature of the discussions.
Last year, Rosatom reached out to India’s government-backed companies, Khanij Bidesh India Ltd (KABIL) and NLC India Ltd, to explore lithium in Mali. Lithium is a key metal for electric vehicle batteries, and Mali has emerged as a promising source. Neither India’s mining ministry, KABIL, nor NLC India have issues any official confirmation.
India eyes stable Lithium supply
As the world’s fastest-growing major economy, India wants a reliable supply of lithium to meet rising demand and reduce carbon emissions. India aims for electric vehicles to account for 30% of cars and 80% of two-wheelers by 2030, up from 4% and 6% today.
India has recently sought deals to access critical minerals in resource-rich countries such as Argentina, Australia, and Chile. In 2024, KABIL signed a pact with a state-owned firm in Argentina to explore and mine five lithium blocks, but no similar deals have been signed since.