Wednesday 17 / June / 2026
India is in confidential discussions with Russia to gain access to the Tomtor rare earth metals deposit in the Sakha (Yakutia) region, one of the world's largest undeveloped rare earth resources. According to Reuters, India's state-owned company IREL is holding talks with Russia's state-owned oil company Rosneft regarding potential cooperation on the project.
Under the proposed arrangement, mineral samples from the Tomtor deposit would undergo preliminary processing in Russia before being sent to India for detailed analysis. The evaluation would help Indian experts determine the deposit's mineral composition and assess the viability of deeper collaboration.
The negotiations reflect India's broader strategy to secure reliable supplies of critical minerals and reduce dependence on China, which dominates global rare earth production and processing. Rare earth elements are essential for manufacturing permanent magnets used in electric vehicles, renewable energy systems, electronics, and defense equipment.
For Russia, the initiative represents another opportunity to expand economic cooperation with India while accelerating development of its domestic critical minerals sector. Control of the Tomtor project was transferred to Rosneft in 2025 as Moscow intensified efforts to exploit strategic mineral resources.
Although India possesses the world's third-largest rare earth reserves, it lacks a fully developed rare earth magnet manufacturing industry. To address this gap, New Delhi approved a $771 million program in November 2025 aimed at establishing domestic rare earth magnet production capabilities.
India is simultaneously pursuing critical mineral opportunities in several countries, including Argentina, Australia and Malawi, while exploring partnerships with companies in Japan and South Korea.
The discussions also fit into a wider trend of expanding India-Russia resource cooperation. Earlier reports indicated that Indian state-owned firms, including Steel Authority of India (SAIL) and National Mineral Development Corporation (NMDC), were exploring potential acquisitions of Russian coal assets. An Indian delegation visited Russia in May for talks with government officials and coal industry representatives.
Why it matters
India: Gains access to a potentially significant source of rare earth materials crucial for clean energy, electronics, and defense industries.
Russia: Attracts investment and advances development of strategic mineral resources despite Western sanctions.
Global supply chains: The move could contribute to efforts by major economies to diversify rare earth supplies away from China, which currently dominates processing and magnet production.
