The royalty rates for lithium extraction by mining companies will be fixed at 3% of prices prevailing on the London Metal Exchange (LME), the government said in a statement.
India has been exploring ways to secure supplies of lithium, a critical raw material used to make electric vehicle batteries, and found its first lithium deposits in February in the federally controlled region of Jammu & Kashmir.
In June, Reuters reported that the government planned to fix the royalty rate for lithium extraction at 3%.
The government also set the royalty for niobium mining at 3% of the average sale price, and for rare earth oxide at 1% of the average sale price.
(Reporting by Shivam Patel and Blassy Boben; Editing by Louise Heavens and Clarence Fernandez)
