Hindustan Zinc Ltd (HZL) has received a composite licence from the Andhra Pradesh government to explore and mine a tungsten block, marking a significant step in the Vedanta Group company's expansion into critical and high-value minerals beyond its core business of zinc, lead, and silver.
Hindustan Zinc Ltd (HZL), a company under the Vedanta Group, announced on Saturday, November 15, 2025, that it has officially been granted a composite licence by the Andhra Pradesh state government to explore and mine a tungsten and associated mineral block. This major development underscores HZL's strategic move to diversify its portfolio into critical and high-value minerals essential for advanced manufacturing and aligns with the nation's push for self-reliance in strategic resources.
The composite licence is a crucial concession in the mining sector, as it is a single, two-stage approval that grants the right to conduct initial exploration for minerals followed by the right to commence mining operations if the exploration proves successful.
This latest acquisition follows a competitive auction process conducted by the Centre earlier this year, where HZL was declared the preferred bidder for the block. The formal receipt of the licence from the state government solidifies the company's entry into the tungsten market, a mineral known for its strategic importance due to its exceptional hardness and high melting point.
"This milestone marks another step forward in Hindustan Zinc's journey of expanding its mineral footprint and contributing to the nation's self-reliance in critical and strategic minerals," said Arun Misra, CEO of HZL. The move is a clear indication of the company's ambition to look beyond its established dominance in zinc, lead, and silver production.
Tungsten is classified as a critical mineral due to its vital role in various high-tech and defence applications. It is used extensively in the production of filaments for lighting, Tungsten Carbide (a key material for cutting tools and armour-piercing ammunition), and as an alloy in steel production to increase strength and heat resistance. Securing a domestic source for tungsten contributes directly to strengthening India's advanced manufacturing capabilities and reducing reliance on imports for these strategic materials.
Despite its new venture, HZL maintains its formidable position as a global leader in its established commodities. The company is currently the world's largest integrated zinc producer and is counted among the top five silver producers globally. HZL's extensive reach is evident in its supply to more than 40 countries, and it commands a significant market share, holding approximately 77% of the primary zinc market in India.
The exploration and potential subsequent mining of the Andhra Pradesh tungsten block represent a strategic expansion that leverages HZL's deep expertise in large-scale resource extraction and processing.
