Following the Centre’s announcement on developing rare earth corridors (RECs) in four southern states in the latest Union Budget for the financial year 2026-27, Andhra Pradesh has begun the process of developing the corridor, with an aim to harness its abundant rare earth mineral wealth, a senior minister said.
The Andhra rare earth corridor includes the entire coast and parts of Rayalaseema, especially in the Anantapur and Sri Sathya Sai region. While in the coastal corridor, focus will be on beach sand mining, in the Rayalaseema area, terrain exploration will be undertaken, officials said.
State Mines Minister Kullu Ravindra, in a statement before the Assembly on Friday, said the state’s 970-km-long coastline contains enormous rare earth mineral resources in beach sands, especially in north Andhra.
Citing data from the Directorate of Atomic Minerals for Exploration and Research, he said the state had identified eight areas bearing beach sand minerals (BSM) spread over 7,762 hectares, with estimated reserves of about 102 million tons.
“We have sent proposals to the Center to reserve these areas for the Andhra Pradesh Mineral Development Corporation (APMDC),” he added.
In Srikakulam district alone, the Atomic Energy Department and Union Mines Ministry have recommended award of mining contracts to APMDC in two sandy beach areas in Jara mandal, covering 670 hectares and 239 hectares with reserves of 97 million tonnes, the minister said. “We have issued a letter of intent for an integrated lease covering over 909 hectares in Gara Mandal. Mining contracts for three additional BSM bearing areas at Icherla, Ranstalam and Gara Mandal, with reserves of 41 million tonnes, are in process,” he said.
Ravindra added that Andhra Pradesh possesses more than 30% of the country’s monazite reserves, along with precious minerals such as neodymium, praseodymium, titanium-bearing ilmenite, zircon, garnet and sillimanite, all of which are essential for sectors including aerospace, ceramics, nuclear energy and advanced manufacturing.
He said that the country is not only focusing on extraction, but on creating an integrated value chain to enhance the processing of rare earth minerals and value-added industries.
A mines department official confirmed that large deposits of rare earth minerals have been discovered in parts of Rayalaseema.
Exploration activities are currently underway in the Anantapur and Sri Sathya Sai areas, where surveys and research have indicated the presence of several high-value minerals.
According to the official, in 2023, the Hyderabad-based National Institute of Geophysical Research conducted extensive studies in the Anantapur district and reportedly identified the presence of several rare earths, including niobium, neodymium, cerium, lanthanum, praseodymium, scandium, zirconium and lithium.
He added: “These metals are essential for modern technologies and are widely used in the manufacture of aircraft components, smartphones, wind turbines and computers. Lithium, in particular, is considered one of the rarest and most strategically important metals due to its extensive use in batteries.”
Preliminary findings indicate the presence of lithium deposits in Tadimari, Turakavari Palli and Dadhithota areas of Anantapur district. “Lithium is a key component in battery production, especially for electric vehicles, digital cameras and mobile devices,” he said.
As part of the exploration, the Atomic Minerals Directorate for Exploration and Research (AMD), Geological Survey of India (GSI) and NGRI conducted ground-level surveys along with helicopter aerial reconnaissance in Anantapur and Sri Sathya Sai areas, the official said.
“Some of these metals are used in the manufacturing of rare earth permanent magnets (REPM), which are in high demand from the renewable energy, aerospace, defense and electronics sectors,” the official added.
