LICO Materials secures INR 240 crore investment and government incentives for critical mineral recycling facility in Karnataka

Type: Investment · Technology: Mining · Country: India · Value: INR 28.8M · Announced: 2026-05-07

LICO Materials committed to invest INR 240 crore in its Karnataka facility to produce battery-grade critical minerals from end-of-life lithium-ion batteries, qualifying for a 20% capital expenditure subsidy and multi-year operational expenditure subsidies linked to incremental commercial sales through FY 2030-31. The project, selected under the Ministry of Mines’ Incentive Scheme for Promotion of Critical Mineral Recycling, targets annual recovery of lithium, nickel, and cobalt at 99% battery-grade purity for reintegration into cell and battery manufacturing. The hydrometallurgical expansion will add 10,000 TPA of material extraction capacity across two adjacent plants in KIADB, Karnataka, with one dedicated to mechanical shredding and classification of battery packs and the other to critical mineral extraction. The scheme, backed by a total outlay of INR 1,500 crore, aims to expand India’s recycling capacity for critical minerals from lithium-ion batteries, e-waste, and industrial scrap, reducing import dependence and supporting clean energy and advanced manufacturing sectors.

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