Shares of Hindustan Copper and NALCO rose up to 7% on January 16 after a joint venture between the companies and Mineral Exploration signed a landmark agreement for the first-ever exploration and mining of lithium.

Hindustan Copper’s shares hit an intraday high of Rs 275, while NALCO saw its shares hit a 52-week high of Rs 144, up 7% and 6.3% higher than their respective previous closing prices on the National Stock Exchange (NSE). NALCO’s shares closed 2.73% higher at Rs 139, and those of Hindustan Copper 3.58% higher at Rs 266.15. 

The Ministry of Mines announced in a press release that a joint venture between NALCO, Hindustan Copper, and Mineral Exploration, Khanij Bidesh India Limited (KABIL), signed an agreement with Argentina’s CAMYEN SE to explore and develop five lithium mines. 

The agreement is the first-ever lithium exploration and mining project by an Indian government company. The agreement would allow KABIL to commence exploration and development of five lithium brine blocks in Catamarca, Argentina.

According to this Agreement, KABIL has been granted exploration and exclusive rights for five blocks to evaluate, prospect and explore lithium. Subsequently, exploitation rights for commercial production will be granted upon the discovery of lithium minerals.