Indian critical minerals producer Lohum is pursuing strategic acquisitions of nickel mines in Indonesia and the Philippines as part of an ambitious expansion plan to increase its nickel production capacity tenfold, according to Reuters reporting from September 22, 2026. The company's founder and chief executive Rajat Verma stated that the expansion aims to meet rising global demand for battery minerals driven by the transition to renewable energy and electric vehicles. Lohum currently produces 1,000 metric tons of nickel annually through recycling operations at its facility in Gujarat, western India.
The company targets increasing this capacity to 10,000 metric tons of nickel per year within the next 18 months, though Verma indicated that successful acquisition of high-quality mines could result in even greater production capacity. India's strategic focus on securing critical raw materials reflects broader national objectives to support rapid economic growth while reducing dependence on Chinese supply chains and developing domestic sources of minerals essential for the green energy transition. This effort aligns with India's commitment to increased renewable energy adoption and electric vehicle deployment.
To finance its expansion plans, Lohum is seeking to raise 10 billion rupees (approximately $105 million) in equity and 20 billion rupees in debt financing over the next 12 to 18 months. The company is currently in discussions with potential investors, though Verma declined to identify specific parties. Lohum's growth strategy extends beyond nickel production.
The company is investing $100 million in Zimbabwe to develop lithium mining operations, having secured rights to 10 lithium mining blocks with estimated ore deposits of 30 million to 40 million tons. This initiative aims to make Lohum the first Indian company to produce lithium from overseas assets. The company plans to process ore into lithium sulphate in Zimbabwe before shipping it to India for refinement into lithium carbonate, which is essential for battery manufacturers.
Additionally, Lohum is establishing a 5,000 metric ton annual capacity plant to manufacture cathode active material in Uttar Pradesh, scheduled for commissioning by March 2027. This facility will require both nickel and lithium as raw materials. The company is also developing a lithium-ion battery recycling plant in Sharjah, United Arab Emirates, in partnership with local government authorities.
This facility is expected to become operational by early 2027. Verma confirmed that Lohum is scouting for rare earth elements in Southeast Asia and is constructing a rare earth magnet production plant in Uttar Pradesh with an annual capacity of 1,200 metric tons. China's dominance in rare earth supply chains, particularly in the refining stages, underscores the strategic importance of India's efforts to develop alternative sources of these critical materials.
Source: Reuters, September 22, 2026. Exchange rate: $1 = 95.81 rupees.
Source: reuters.com