AP Govt. eyeing ₹20,000 crore investment in rare earth mineral processing sector, says minister

Excise Minister Kollu Ravindra | Photo credit: File Photo

Excise, Mines and Geology Minister Kollu Ravindra said the government is formulating an action plan to set up titanium sponge, titanium metal and rare earth and advanced mineral processing industries, with an aim to attract investment of over ₹20,000 crore.

Attracted by transparent government policies and reforms, reputed companies like JSW Steel, Vedanta, Hindustan Zinc, Ambuja Cements, Shree Cement, Dalmia Cement and JK Cement have stepped up to invest in the state’s mining sector. Their entry would lead to efficient use of resources and accelerate industrial development, thereby creating thousands of jobs, he noted.

Addressing the media at the Secretariat on Thursday, Mr. Ravindra said that Andhra Pradesh has the second largest deposits of beach sand after Tamil Nadu and efforts are underway to create wealth from it.

Minerals such as ilmenite, rutile, zircon, garnet and titanium found along the coast of the state were highly valued in the international market.

He said the Jonnagiri gold project in Anantapur district with 13 tonnes of gold reserves will soon enter the commercial production phase and will be a major milestone in the state’s mineral sector. In addition, iron ore and limestone exploration has progressed rapidly in 17 mineral blocks in Chittoor district.

The minister claimed that AP Minor Mineral Policy-2025 has attracted huge investment and increased revenue for the government.

Over the past two years, over 1,700 applications for mining permits have been received and 172 have been granted. The auction of mineral blocks in AP has been expedited in accordance with the Mines and Minerals Development and Regulation Act. So far, 21 mineral blocks have been auctioned and 11 mining leases and 10 combined licenses have been granted.

Under the free sand policy, 19,185,793 metric tonnes of sand have been supplied and the government has set up 412 sand centres/dispatch centers and 238 depots across the state. More than ₹3,500 crore demand notices have been issued to curb illegal mining.

Gold mining sites

Chief Secretary Mukesh Kumar said potential gold mining sites have been identified at four locations, including Chigurugunta (Chittoor district), Ramagiri (Anantapur) and Visakhapatnam.

Published – 18 Jun 2026 23:57 IST